Ethereum Wallets Might Be at Risk After Pectra Upgrade

Ethereum’s new Pectra upgrade introduced substantial changes to wallet functionality, but also brought a major security risk, according to developers. With the update, hackers can now steal funds by tricking users into signing a single offchain message, with no onchain transaction required.

The threat comes from EIP-7702, which allows wallet owners to delegate control by signing a message instead of sending a transaction. If attackers trick users into signing one of these messages, they can replace the wallet code and send funds to themselves.

Wallet experts warn that most platforms are not prepared to flag these new signature types, making users highly vulnerable to phishing and scam sites. “Users should not sign the messages they do not understand,” said Hacken security researcher Yehor Rudytsia.

After Pectra, hardware wallets are no longer safer by default, since they will also sign these dangerous messages without proper warning. To stay protected, users must read carefully before signing and wallets must upgrade how they display delegation requests.

US Vice President JD Vance to Speak at Bitcoin 2025

Vice President JD Vance will headline the Bitcoin 2025 conference in Las Vegas from May 27–29, organizers announced Friday. Vance follows President Trump, who spoke at last year's Bitcoin 2024 event and has since enacted several pro-crypto policies. The conference marks the first time a sitting vice president will publicly endorse Bitcoin at a major crypto gathering.

Vance previously disclosed personal Bitcoin holdings and has ties to Peter Thiel, a longtime crypto advocate. Trump’s family, including Eric and Donald Jr. will also appear at the event alongside top administration officials. The appearance adds weight to the administration’s continued embrace of digital assets despite growing ethical concerns from Democratic opponents.

Zerebro Founder Found Alive After Faked Death

Zerebro co-founder Jeffy Yu was reportedly discovered alive at his parents’ home in San Francisco, days after allegedly faking his suicide, according to the San Francisco Standard. Yu had released a staged video and obituary promoting a Solana meme coin, LLJEFFY, which surged to a $100 million market cap. The coin has since crashed over 98% amid revelations of onchain wallet activity.

Authorities confirmed no deaths matching Yu’s name had been reported during the period, fueling suspicions of a staged financial stunt. Yu refused to comment further, telling reporters he feared harassment and had to relocate. His actions have drawn criticism as another instance of financial manipulation within meme coin culture.

Lido DAO Votes to Replace Oracle After Security Breach

Lido DAO initiated an emergency vote on May 8 to replace a compromised oracle tied to validator Chorus One. The Ethereum address linked to the oracle was drained, though the issue did not affect Lido's core infrastructure. DAO members say the incident is under investigation, and the vote will conclude in the coming days.

Chorus One stated that a hot wallet key leak was the likely cause and is now transitioning to a new, secure environment. The breach underscores the rising cybersecurity risks in decentralized finance, which saw over $2 billion in losses in Q1 2025 alone. Analysts warn that continued exploits could draw G7-level scrutiny in upcoming summits.

Data of the Day

Unichain has overtaken Ethereum as the leading chain for Uniswap v4 transactions, according to new data from Dune Analytics. Unichain holds 75% of v4 market share, while Ethereum has dropped below 20%. The growth has been spurred by Unichain's lower fees, faster speeds, and a $45 million liquidity incentive program.

Launched in January, Uniswap v4 includes customizable hooks, dynamic fees, and native ETH support, features Unichain has optimized for. Built on Optimism’s Superchain, Unichain now ranks as the third-largest Layer 2 by total value locked. Developers plan to roll out sub-second blocks to further improve performance.

More Breaking News

• Conor McGregor proposed an Irish Bitcoin reserve as part of his presidential campaign, calling it a way to return financial power to the people.
• BlackRock met with the SEC's crypto task force to discuss allowing staking in ETFs and options rules for crypto-based funds.
• Coinbase launched 24/7 Bitcoin and Ethereum futures trading in the USA, just one day after announcing a $2.9B acquisition of Deribit.
• Senator Warren is pushing for legislation to block Big Tech from issuing stablecoins, citing concerns about Meta’s potential return to the space.
• Ledger regained control of its Discord server after a scammer hijacked a moderator account and attempted a seed phrase phishing attack.
• Gemini obtained a MiFID II license from Malta, clearing the way to offer crypto derivatives across the European Economic Area.
• Goldman Sachs increased its stake in BlackRock’s IBIT by 28% as the Bitcoin ETF hit a 20-day inflow streak, drawing over $5 billion.
• Germany seized $38M and dismantled crypto exchange eXch, suspected of laundering funds from the Bybit and Genesis hacks.
• Two Florida teens are being tried as adults after allegedly kidnapping a crypto holder in Las Vegas and stealing $4 million in assets.

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