EMURGO has confirmed that SecondFi will not be resuming normal operations after the recent security incident involving its Cardano wallet. Despite the completion of audits, the company stated it will shift its focus solely to asset recovery for users affected by the breach.
Details of the Incident
Earlier reports indicated that the exploit drained approximately 16 million ADA from a total of 374 affected wallet addresses. As a response, SecondFi had set a two-week recovery plan but has now revised its approach. The company is urging all users to migrate away from the platform using official methods, including more secure wallet routes.
Focus on User Recovery
EMURGO has reassured unaffected users that their funds remain secure, but it emphasized the importance of leaving SecondFi as the recovery process takes precedence over platform operations. The ongoing situation has resulted in the hiring of multiple independent firms tasked with reviewing the incident and the vulnerabilities in the underlying code.
The company cautioned against premature publication of findings before the investigations are fully completed, as this could lead to misinformation. A patch has already been implemented to address the identified security flaw, and teams continue to look into the broader circumstances surrounding the breach.
Support for Affected Users
To assist users in the transition, EMURGO is developing tools that will include a recovery fund, wallet status checks, and secure migration routes for those looking to leave SecondFi. This week, the company plans to launch a dedicated site where users can check the status of their wallets and begin migration steps. This tool is currently under review for app store approval.
In addition to the migration tool, EMURGO intends to offer functionality for secure wallet exports, enabling users to seamlessly transition to hardware wallets or alternative platforms. Furthermore, a migration workshop will be held in Tokyo to provide in-person assistance.
Users are advised to follow only the official channels of SecondFi to avoid the risks of fake recovery accounts that have emerged following the exploit.
