Trust Wallet completes initial user compensation, reigniting focus on crypto asset security

January 16, 2026, Trust Wallet officially announced the completion of compensation for the first batch of affected users related to the browser extension v2.68 security incident, marking a substantial progress in resolving this supply chain attack that impacted over 2,500 wallet addresses and resulted in approximately $8.5 million in losses.

Meanwhile, on the Gate exchange, Trust Wallet's token TWT remains stable at 0.9441 USDT, with a 24-hour increase of 4.55%, and a 24-hour trading volume exceeding 650,000 TWT.

01 Incident Review: From Vulnerability to Compensation Timeline

The root cause of this security incident traces back to the Sha1-Hulud industry-scale supply chain attack in November 2025. Attackers successfully infiltrated Trust Wallet's Chrome browser extension v2.68 by embedding malicious code.

According to post-incident statistics, this event affected a total of 2,520 wallet addresses, with stolen assets totaling about $8.5 million, which were transferred to 17 wallets controlled by the attackers.

Following the incident, Trust Wallet responded swiftly. The platform immediately rolled back the infected browser extension to a safe version and launched a comprehensive internal investigation.

After confirming the affected user scope and loss amounts, Trust Wallet officially initiated the compensation process at the end of December 2025, establishing a compensation fund of approximately $7 million.

02 Compensation Progress: First Batch Completed and Future Arrangements

As of January 16, 2026, Trust Wallet has completed compensation payments for the first batch of eligible users. The company stated that about 95% of affected funds have been claimed, with remaining claims being processed in batches.

For users who have not yet submitted claims, Trust Wallet has set a clear deadline: February 14, 2026. This timeframe provides ample opportunity for affected users to act and demonstrates the platform's determination to resolve the matter promptly.

To accelerate the compensation process, Trust Wallet partnered with Binance to establish a fast verification channel, simplifying identity verification and loss confirmation procedures. This cooperation significantly improved processing efficiency, enabling the first batch of compensations to be completed in a relatively short period.

Trust Wallet emphasized in its announcement that affected old wallets are no longer secure. Users are advised to update immediately to the latest version and use the newly launched “Asset Migration” feature to transfer funds, completely abandoning old wallets.

03 Market Response: TWT Price and Trading Dynamics Analysis

Following the announcement of the completion of the first batch of compensation, Trust Wallet's native token TWT showed a positive market response. On Gate exchange, the TWT/USDT trading pair is currently priced at 0.9441 USDT, with a 24-hour increase of 4.55%.

Trading data indicates that TWT reached a 24-hour high of 0.9517 USDT and a low of 0.9003 USDT on Gate, with price fluctuations within a reasonable range, reflecting rational market digestion of the incident.

Notably, the 24-hour trading volume on Gate for TWT reached 650,710 TWT, with a trading value of 610,600 USDT, demonstrating sustained investor interest and active trading.

This price performance may reflect market recognition of Trust Wallet's proactive handling of the security incident and fulfillment of compensation commitments. In the crypto industry, how projects respond to security issues is often a key indicator of their credibility.

04 Industry Insights: A New Paradigm for Handling Security Incidents

Trust Wallet's approach to this incident sets a reference example for the crypto industry. Unlike some projects that shift responsibility or delay responses after security breaches, Trust Wallet adopted a transparent and proactive strategy.

First, the platform quickly disclosed information after the incident, confirming affected scope and loss amounts, avoiding speculation and rumors. Second, it established clear compensation funds and procedures, providing affected users with a structured process. Lastly, it collaborated with leading industry exchanges to streamline verification and improve efficiency.

These measures not only help restore user trust but also lay a foundation for the long-term development of Trust Wallet and its TWT token. Supported by major exchanges like Gate, TWT remains a practical token connecting wallet functions with the DeFi ecosystem, with a solid value base.

For ordinary users, this incident also offers important security lessons: regularly update software versions, use hardware wallets for large assets, and diversify asset storage—basic security principles that should not be overlooked.

05 Future Outlook: Development Path for Trust Wallet and TWT

As the compensation work for the security incident gradually concludes, Trust Wallet is expected to allocate more resources to product innovation and ecosystem development. As the official wallet of Binance, Trust Wallet still has significant growth potential in cross-chain trading, DeFi integration, and NFT management.

From an tokenomics perspective, TWT, as the governance and utility token of the Trust Wallet ecosystem, its value is closely linked to the user base, feature richness, and ecosystem integration of the wallet. With ongoing support from major exchanges like Gate, TWT's liquidity and market recognition are likely to further improve.

For investors, besides monitoring price fluctuations on Gate, attention should also be paid to Trust Wallet's product updates, partnerships, and the overall crypto market environment. These factors will directly influence TWT's long-term value trajectory.

Asset Protection Tips After Security Incidents

To ensure asset security, Trust Wallet users should immediately take the following measures: check the browser extension version to ensure it is updated to the latest secure version; enable asset migration to transfer funds from potentially compromised old wallets to newly created secure wallets; submit a claim if they used v2.68 between December 24, 2025, and January 5, 2026, and suffered losses, and do so before February 14, 2026, through official channels.

Additionally, users are advised to enable all available security settings, including two-factor authentication, transaction passwords, and biometric verification; regularly review transaction history to detect anomalies promptly; and consider using hardware wallets for maximum security of large crypto holdings.

Future Outlook

On Gate exchange's trading page, TWT's price chart and trading data are updated in real-time, reflecting the market's reassessment of Trust Wallet's ability to handle security incidents. As the compensation process advances, Trust Wallet's transparent handling and proactive responsibility are gradually restoring user trust.

This incident also serves as a reminder to the entire industry that asset security is the cornerstone of the crypto ecosystem; any security vulnerability requires timely and transparent response. For cautious investors, Gate's real-time price data and depth liquidity provide reliable market references for decision-making.