Ctrl Wallet will permanently shut down on Aug. 3 following a security exploit tied to Cardano wallets, and it has told users to move their crypto out before core functions go offline. Anyone who waits can still recover funds by importing a recovery phrase into another wallet.
Ctrl Wallet is closing for good. The wallet provider said in a blog post published Tuesday that it will disable sending, receiving, swapping and all other functions from Aug. 3, leaving users only the ability to export their recovery phrases. It also confirmed it will immediately stop new downloads and pull the app from browser extension and mobile app stores.
The move follows a recent exploit affecting some Cardano wallets. On June 23, Ctrl Wallet said it had placed parts of its platform into temporary maintenance mode while engineers investigated the issue and worked to protect user assets.
Users get one month to move funds
Ahead of the deadline, the company has urged customers to transfer their holdings to another wallet or exchange rather than wait for services to be switched off. Users who do not move assets before Aug. 3 can still access their funds by importing their 12-word or 24-word recovery phrase into another compatible wallet.
Ctrl Wallet named MetaMask, Trust Wallet and Phantom as compatible alternatives for importing a seed phrase. The company also warned that there will be no migration token, token swap, or airdrop tied to the closure, and told customers to treat any posts or sites promising compensation as likely scams.
Formerly known as XDEFI Wallet, Ctrl Wallet lists more than 650,000 monthly users and supported more than 2,500 blockchain networks, including Cardano and Midnight.
A string of exploits across crypto
The shutdown lands amid repeated security failures across the sector. On June 24, attackers exploited a vulnerability in SecondFi, the Emurgo wallet Ctrl Wallet had transitioned toward, stealing about 16 million ADA worth roughly $2.4 million at the time. SecondFi later said it had secured about 129 million ADA and moved those funds to an independent third-party custodian.
Blockaid flagged an active exploit against the DeFi platform Summer.fi that drained about $6 million. Axelar, meanwhile, disabled its Secret Network bridge routes after an exploit cost roughly $4.7 million in bridged assets.
Source: crypto.news
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