Tag: enforcement involvement opportunity

FBI Probes November 21 Blockchain Incident

The post FBI Probes November 21 Blockchacom. The cryptocurrency world was shaken when news broke that the FBI has launched an investigation into the November 21 Cardano chain split incident. This serious security event has raised important questions about blockchain safety and protocol testing procedures. The Cardano chain split represents one of the most significant security incidents in recent blockchain history, drawing federal attention to cryptocurrency infrastructure vulnerabilities. What Caused the Cardano Chain Split? The Cardano chain split occurred when developers conducted what they described as a security test that went terribly wrong. During routine protocol testing, a transaction exploited a deserialization bug in the system. This technical vulnerability caused the blockchain to temporarily divide into separate chains before developers could implement an emergency patch. Four Cardano developers involved in the incident have publicly acknowledged their careless actions. They explained they were attempting to determine if malicious transactions could be submitted to the network. However, they made a critical error by failing to properly test the transaction on the testnet first. How Did the FBI Get Involved in the Investigation? The Federal Bureau of Investigation entered the picture after the Cardano Foundation formally referred the matter to law enforcement. This move demonstrates the seriousness with which blockchain organizations treat security breaches, even when they appear to be accidental. Key aspects of the FBI investigation include: Examining the technical details of the deserialization bug Reviewing communication and documentation around the security test Assessing potential damage to network integrity Evaluating whether proper protocols were followed What Were the Developers Trying to Accomplish? The developers stated they were conducting legitimate security research to strengthen the Cardano network. Their goal was to identify potential vulnerabilities before malicious actors could exploit them. However, their methodology proved flawed when they used AI assistance to directly block traffic on a Linux server without adequate.