How Bitcoin Hackers Recovered $3 Million From Wallet Locked In 2013

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How Bitcoin Hackers Recovered $3 Million From Wallet Locked In 2013
BitcoinBitcoin HackerJoe Grand
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Davey is a four-decade veteran technology journalist and contributing editor at PC Pro magazine, a position he has held since the first issue was published in 1994. You can follow Davey on Mastodon, Twitter/X and most social networks as happygeek. Davey has spent more than 30 years as a freelance technology journalist.

Imagine if, back in 2013, you had locked 43.6 BTC securely away in your bitcoin wallet only to discover that your password no longer worked a decade later. Who would you turn to with just under $3 million at stake? A hacker called Joe Grand is the answer., Joe Grand and his team were able to recover the bitcoin thanks to a flaw in a version of the RoboForm password manager used to generate the secure password a decade ago.

When approached by Michael again a year later, Grand decided to give it a shot with the help of a German colleague, Bruno. After many months of hard work, the hackers reverse-engineered that very old version of the RoboForm software and discovered a security flaw in the pseudo-random number generator it employed at the time. It turned out that the password wasn’t as random as was thought, being tied to the date and time it was generated. “If you knew the date and time and other parameters, you could compute any password that would have been generated on a certain date and time in the past,” Zetter said.

Eventually, however, by adjusting the parameters after gaining more information from Michael, the password that was generated on May 15, 2013 at 16:10 GMT, had been found.

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