Researchers Recover $3M in Bitcoin Using Old Password Flaw

As an analyst with a background in cybersecurity and experience in digital currency recovery, I find this story absolutely fascinating. The ability of Joe Grand and Bruno to assist Michael in recovering his lost bitcoin is not only a testament to their expertise but also a reminder of the importance of securing digital assets effectively.

Two researchers, Joe Grand, a skilled hardware hacker, and his friend Bruno, collaborated to help Michael, a man in need, recoup nearly $3 million worth of bitcoin. In 2013, Michael had lost the password to his digital cryptocurrency stash.

In 2013, Michael utilized RoboForm password manager to generate a password for his digital wallet and securely stored the encoded version of it. However, unfortunately, the file containing this vital information got corrupted, preventing Michael from retrieving his valuable Bitcoin amount, which totaled 43.6 BTC.

Grand and Bruno took advantage of a preexisting vulnerability in RoboForm’s random number generator. This issue connected passwords with the generation date and time on the user’s system.

In 2022, Michael contacted Grand with vital information. He revealed that he had moved Bitcoins into his digital wallet on April 13, 2013. Based on this revelation, researchers were able to narrow down their search and eventually confirm that the password was created on May 15, 2013.

Grand and Bruno were given some of the Bitcoin sale proceeds as compensation; Michael kept 30 BTC, worth over $2 million at present value, after selling a portion of the recovered Bitcoin. He expressed his intention to hold onto his Bitcoins until their price reaches $100,000 per token.

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2024-05-29 01:25