Squid and Safe Labs say third-party module behind $3.2M exploit

A third-party module drained about $3 million from Safe wallets, with Squid attributing the incident to an external Safe module, saying its core systems were unaffected.

A suspected third-party Safe module exploit has drained about $3.2 million from wallets across Ethereum and Base, with multiple teams pointing to an external module as the cause.

Blockchain security platform Blockaid reported the incident on Monday, saying it involved a contract labeled “SquidRouterModule,” which initially led to confusion over a possible link to the cross-chain protocol Squid.

Squid later said on X that the issue was unrelated to its core protocol and instead involved a third-party module integrated into Safe wallets.

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