Keystone Breach Worsens: Stolen Verification Key Impacts Wallet Authenticity

Keystone has expanded the scope of last week’s website intrusion, saying the attacker not only accessed parts of its customer database but also stole a cryptographic key used to authenticate the company’s hardware wallets. The development raises new concerns for users who rely on device authenticity checks to reduce the risk of tampered products. In an update shared on Monday, Keystone warned that the stolen authentication key could enable counterfeit devices to pass its verification process. The company also disclosed the volume of buyer data it believes was exposed and outlined steps to destroy affected inventory.