Script meetup tomorrow night!

Join us tomorrow night to talk about Script here at 6:30PM!

https://twitter.com/bergealex4/status/1674454861096660998

https://www.meetup.com/chibitdevs/events/295035330/

Milksad

Very similar to the Trust Wallet vuln discussed at May chibitdevs.

On Libbitcoin Explorer 3.x versions, bx seed uses the Mersenne Twister pseudorandom number generator (PRNG) initialized with 32 bits of system time.

The main theft occurred around 12 July 2023, although initial exploitation likely began at a smaller scale in May 2023.

https://milksad.info/

Credit: David Harding

BitForge

The Fireblocks cryptography research team has uncovered BitForge – a series of zero-day vulnerabilities in some of the most widely adopted implementations of multi-party computation (MPC) protocols, including GG-18, GG-20, and Lindell17.

Summary of both vulns

https://www.fireblocks.com/blog/bitforge-fireblocks-researchers-uncover-vulnerabilities-in-over-15-major-wallet-providers/

Abort Vulnerability

The exploit originates from Lindell17 implementations deviating from the specification of the academic paper and ignoring or mishandling aborts in case of failed signatures. Assuming privileged access on the part of the attacker, the vulnerability can be exploited to exfiltrate the key after approximately 200 signature requests. The vulnerability has been proven to be practical and validated on popular open source libraries and some real-world systems.

https://www.fireblocks.com/blog/lindell17-abort-vulnerability-technical-report

Paillier Key Vulnerability

The vulnerability originates with parties not checking to see if the attacker’s Paillier modulus, denoted N, has small factors or that it is a biprime. If exploited, the vulnerability allows a threat actor interacting with the signatories in the MPC protocol to steal their secret shards and ultimately obtain the master secret key. The severity of the vulnerability depends on the implementation parameters, so different parameter choices give rise to different attacks with varying degrees of effort/resources required to extract the full key. Some implementations are vulnerable to key extraction in 16 signatures, while others could require as many as 1 billion signatures.

https://www.fireblocks.com/blog/gg18-and-gg20-paillier-key-vulnerability-technical-report

Credit: Fireblocks, ZenGo, Coinbase

LN Dev Summit 2023!

At the end of June we got together in NYC for the annual specification meeting.

https://lists.linuxfoundation.org/pipermail/lightning-dev/2023-July/004014.html

Taproot extension BOLT

https://github.com/lightning/bolts/blob/e95e7acbda14e07fa53c1389f952481b822db795/bolt-simple-taproot.md#abstract

Credit: Carla Kirk-Cohen, Michael Levin, Roasbeef

Drivechain analysis/critiques

https://blog.bitmex.com/drivechains/

https://achimwarner.medium.com/thoughts-on-drivechain-ii-how-bad-is-mev-75da73969cef

Credit: BitMEX Research, Achim Warner

Vyper bug

On the 30th of July, 2023, multiple Curve.Fi liquidity pools were exploited as a result of a latent vulnerability in the Vyper compiler, specifically in versions 0.2.15, 0.2.16, and 0.3.0. While bug was identified and patched by the v0.3.1 release, the impact to protocols using the vulnerable compilers was not realized at the time and they were not explicitly notified. The vulnerability itself was an improperly implemented re-entrancy guard that could be bypassed under certain conditions which we will delve into in this report.

https://hackmd.io/@vyperlang/HJUgNMhs2

A total of ~$73.5M worth of cryptos on #Ethereum were stolen in the #Curve Reentrancy exploit. So far, ~73% of them (~$52.3M) have been returned.

https://twitter.com/PeckShieldAlert/status/1688404426825117697

Side channel attacks

https://www.nassiben.com/video-based-crypta

Demonstration of using video footage of the power indicator light on a smart card reader to extract secrets.

https://arxiv.org/pdf/2308.01074.pdf

Demo of a method to extract keystrokes using an instrumented smartphone (via mic) or over a video call. The techniques achieve 95% and 93% accuracy, respectively.

SSH-AGENT exploit

https://www.qualys.com/2023/07/19/cve-2023-38408/rce-openssh-forwarded-ssh-agent.txt

A very interesting technique which uses the side effects of loading shared libraries to get RCE via SSH agent forwarding.