ZachXBT Sounds Alarm as Trust Wallet Users Report Fund Drains

Blockchain investigator ZachXBT reported on December 25 that multiple Trust Wallet users experienced unauthorized fund outflows within the past few hours. 

Affected users say assets were drained from their wallet addresses without approval.

Major Security Warning For Trust Wallet Users?

According to ZachXBT, the exact root cause remains unconfirmed. However, the timing has raised concerns. Today’s incidents followed a recent update to Trust Wallet’s Chrome extension that was released a day earlier. 

ZachXBT has begun collecting wallet addresses linked to the suspected thefts and asked affected users to come forward as the investigation continues.

ZachXBT Issues Community Alert for Trust Wallet Users on His Telegram Group

While Trust Wallet has not yet issued a detailed technical explanation, the situation has renewed scrutiny around browser-based crypto wallets. 

Chrome extensions operate with elevated permissions. Security researchers have repeatedly warned that a single malicious update or compromised dependency can expose users to significant risk.

Recent months have already seen several high-profile extension-related wallet threats. 

Security firms previously flagged fake wallet extensions designed to capture seed phrases, allowing attackers to fully recreate wallets and drain funds later. 

Recently Reported Fake Chrome Extensions that Drain Crypto Wallets. Source: The Hacker News

In other cases, malicious trading “helper” extensions quietly modified transaction instructions, siphoning small amounts of crypto each time a user approved a swap.

More broadly, cybersecurity researchers have documented campaigns involving seemingly legitimate browser extensions that were later updated to inject scripts, reroute traffic, or harvest sensitive data. 

While not always crypto-specific, such capabilities can be repurposed to target wallet sessions, sign-in flows, or transaction approvals.

Against that backdrop, the Trust Wallet reports have triggered immediate concern across the crypto community. 

Users are being urged to review recent transactions, revoke unnecessary permissions, and avoid signing new transactions until more clarity emerges. 

Those who suspect compromise are advised to move remaining funds to new wallets created from fresh seed phrases.

As of publication, Trust Wallet has not confirmed whether the Chrome extension update is directly responsible.