Millions of dollars blocked in Ethereum due to code error

Ethereum users have lost their access to approximately $ 280 millions when a developer has deleted a part of the library code from the Parity Technologies soft. What the developer was actually trying to do, was to fix a security bug from the Parity wallet. The irony of this situation is that the sequence of code he deleted, was a bug fix for another severe issue. In July 2017, a hacker has stolen $32 million worth of Ethereum. After this well organised cyber attack, the platform has enforced its security with the deleted sequence of code.

Parity has issued a warning regarding the library problem. The code error has affected all multisig wallets created by the company.

Multisig wallets are the wallets that use multiple private keys to authorize transactions.

Apparently, a GitHub user with the nickname ‘Devops199’ discovered that the library wasn’t properly secured. He accessed a service without intention, that was converting multisig wallets into normal ones. When he realised what he did, Devops199 tried to fix his mistake by deleting the whole sequence of code from the library. All the multisig wallets that were using that library, weren’t able to access it anymore and the transactions became impossible.

Parity has announced that the problem was triggered involuntary and that the multisig wallets have become unusable because the library that was deleted, was the essence of those wallets. In theory, the wallets haven’t disappeared or haven’t been stolen and the team members of the company are searching for a solution. They are trying to find out the exact amount that is missing for the moment, so there are no speculations.

The users have been warned not to open their multisig wallets or transfer Ether to the affected wallets for the moment.