Yoroi Hot Wallet Drained EchoLake90

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Yoroi Wallet Homepage/Logo

Reddit user EchoLake90 reported that their funds had disappeared from their Yoroi Wallet, and blockchain data showed that the funds were transfered to another wallet. EchoLake90 had stored their seed phrase securely offline, however they had entered the seed phrase when setting up the wallet a couple weeks prior. It is suspected that their computer may be compromised and running continual key logging software. There is no indication that they have pursued the matter with authorities or that any of their funds have been recovered.

This is a global/international case not involving a specific country.

About Yoroi Wallet

"Your gateway to the financial world Yoroi light wallet for Cardano & Ergo"

"I never used Yoroi until I saw a few subs mentioning it was easier and I got bored of waiting 30 minutes for Daed to fully sync because I never went in there... no reason to. Was staking, I knew how much I had... pointless to be in Daed all the time. Anyway, put my seed in a couple weeks back, now come home to disappeared Ada. I literally never touch my accounts. I'm so sick and confused at to what happened."

"I know... I have [a hardware wallet]. I simply thought the Daed wallet was good enough because I literally hardly ever check in on it. I just happened to read about the Yoroi wallet and wanted to try it, so I did. I know, I know... should've used it.. but the point remains, someone my wallet was drained and while the cold wallet is absolutely the best option, doubtful there's 100% use worldwide. It's scary stuff"

"Yes, this is a big fail on my part. I have owned a Ledger for a couple years and use it for everything BUT my Ada. I thin I had an issue setting it up and thought the Daed wallet was secure enough since I never use it only to send Ada in. I setup my Yoroi wallet a couple weeks back and this happened... obviously because I put my seed phrase on the net. There's no debate, you either have it on a hardware wallet or you're just waiting to be drained."

"I thought the website, but obviously now I cannot be sure. That would be unlike me to just grab from the brave/chrome store because I like to know I'm getting genuine article. Be second guessing myself for a while now"

"1 wallet. Just put in seed phrase to copy my Daed wallet and it was fine. Just happened a couple weeks later. I don't necessarily want to say it "has to be" the Yoroi wallet thing, but damn, it's all I have to think of that allowed my wallet to be drained like that."

"I just came home from work and see my WALLET DRAINED! I just moved to a Yoroi wallet from Daedalus a couple weeks ago and now this happened! 4k+ ADA Gone!! Am I losing my mind? I've never touched my Ada and it was staked with Titan. Holy F happened? NO... my seed phrase IS NOT on my computer. it's printed in a safe. This has got to be an error... how how how I checked Daed and there is nothing there... fully sync'd. I'm ded"

“I can guarantee you Yoroi isn't compromised because I submit the versions to each browser and the only versions ever submitted were by me. Additionally, you can't just inject code into Yoroi through a dependency to steal keys because Yoroi runs as a browser extension -- which unlike websites have a lot more security features. One of these security features is that the Yoroi Extension can't communicate with any website other than our server (which never receives your private key)

Additionally, you can't steal somebody's funds from Yoroi or Daedalus unless you also know their spending password, so unless the person has a keylogger on their machine they most likely gave their recovery phrase to somebody (either directly or indirectly by saving it somewhere online)”

"Nothing wrong with Yoroi, it is safe as Daedalus or any other wallets. The problem is 99,999% times on the user side as the safety of their funds rely on the ability of the user to keep their computer/phone safe. Sorry you have lost your ADA, what I would advise is you to take your computer to an cyber security specialist to determine how it was compromised and report it to your local authorities"

"I've downloaded Malwarebytes. I'm starting to think I got a bad version of Yoroi and when I put in my seed phrase to match my Daed wallet, it was compromised. This is the only thing that makes sense unfortunately. I'm not FUDing Yoroi, this is just my experience. I've had Ada many, many months to only use Yoroi once in last couple weeks to setup the wallet then I lost it all."

"No[ update]. I've seen posted here and elsewhere that Brave wasn't necessarily supported. Still unsure how it was drained, but it's only a lesson in either you do everything from a hardware wallet or you're naked on the web."

"It's hardware or bust. There is no grey area on this. I even watched a main influencer on twitter get rekt not using a cold wallet and Ada was my only asset not attached to my Ledger. Dunno what else to say other than PSA!"

This is a global/international case not involving a specific country.

The background of the exchange platform, service, or individuals involved, as it would have been seen or understood at the time of the events.

Include:

• Known history of when and how the service was started.
• What problems does the company or service claim to solve?
• What marketing materials were used by the firm or business?
• Audits performed, and excerpts that may have been included.
• Business registration documents shown (fake or legitimate).
• How were people recruited to participate?
• Public warnings and announcements prior to the event.

Don't Include:

• Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
• Anything that wasn't reasonably knowable at the time of the event.

There could be more than one section here. If the same platform is involved with multiple incidents, then it can be linked to a main article page.

The Reality

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• When the service was actually started (if different than the "official story").
• Who actually ran a service and their own personal history.
• How the service was structured behind the scenes. (For example, there was no "trading bot".)
• Details of what audits reported and how vulnerabilities were missed during auditing.

What Happened

The specific events of the loss and how it came about. What actually happened to cause the loss and some of the events leading up to it.

Key Event Timeline - Yoroi Hot Wallet Drained EchoLake90

Date	Event	Description
June 22nd, 2021 7:12:05 PM MDT	Theft Transaction	Suspected theft transaction on the blockchain.
June 23rd, 2021 11:17:56 AM MDT	Reddit Post	Issue is posted to Reddit.
July 8th, 2021 10:23:30 AM MDT	No Update	EchoLake90 posts that there's no update on their situation.

Technical Details

This section includes specific detailed technical analysis of any security breaches which happened. What specific software vulnerabilities contributed to the problem and how were they exploited?

Total Amount Lost

4,215.0 ADA x $1.1533 = 4861.1595 or $5k

The total amount lost has been estimated at $5,000 USD.

Immediate Reactions

How did the various parties involved (firm, platform, management, and/or affected individual(s)) deal with the events? Were services shut down? Were announcements made? Were groups formed?

Ultimate Outcome

What was the end result? Was any investigation done? Were any individuals prosecuted? Was there a lawsuit? Was any tracing done?

Total Amount Recovered

There do not appear to have been any funds recovered in this case.

What funds were recovered? What funds were reimbursed for those affected users?

Ongoing Developments

What parts of this case are still remaining to be concluded?

Individual Prevention Policies

No specific policies for individual prevention have yet been identified in this case.

For the full list of how to protect your funds as an individual, check our Prevention Policies for Individuals guide.

Platform Prevention Policies

Policies for platforms to take to prevent this situation have not yet been selected in this case.

For the full list of how to protect your funds as a financial service, check our Prevention Policies for Platforms guide.

Regulatory Prevention Policies

No specific regulatory policies have yet been identified in this case.

For the full list of regulatory policies that can prevent loss, check our Prevention Policies for Regulators guide.