Information about the polynonce ecdsa attack vulnerability in Bitcoin Wallets.

16.02.2024
Information about the polynonce ecdsa attack vulnerability in Bitcoin Wallets.

Polynonce ecdsa attack is a vulnerability that affects bitcoin wallets that use the deterministic wallet generation algorithm. this algorithm generates a series of public keys and addresses based on a seed value, and the vulnerability occurs when the wallet is not properly designed to handle the polynonce value.

the polynonce value is a random number that is used to prevent replay attacks, where an attacker intercepts a transaction and sends it again later. the polynonce value is generated by the wallet and included in the transaction signature to prove that the transaction is unique and has not been tampered with.

the vulnerability occurs when the wallet generates the polynonce value using a deterministic algorithm, which means that the same polynonce value can be generated multiple times for different transactions. this can allow an attacker to intercept a transaction and modify the transaction data, while keeping the same polynonce value. the attacker can then send the modified transaction later, and it will be accepted by the network as a valid transaction.

to exploit this vulnerability, an attacker needs to intercept a transaction, modify the transaction data, and then send it again later using the same polynonce value. this can allow the attacker to steal funds from the victim’s wallet, or to send a modified transaction to a third party.

to mitigate this vulnerability, bitcoin wallets should use a random number generator to generate the polynonce value for each transaction, instead of using a deterministic algorithm. this can prevent an attacker from predicting the polynonce value and intercepting a transaction.

in conclusion, the polynonce ecdsa attack vulnerability is a serious issue that affects bitcoin wallets that use the deterministic wallet generation algorithm. it is important for wallet developers to properly handle the polynonce value to prevent replay attacks and to prevent attackers from intercepting transactions.


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