MetaMask unstakes $1.4B of ETH after validator rewards stolen

Key points

• MetaMask said it is exiting 17,000 affected validators, over 523,000 staked ETH ($1.4 billion), after a security incident it says is confined to non-custodial staking operations.
• Researcher 0xKaden said block rewards from 18 MetaMask validators went to a Tornado Cash-funded address rather than the correct fee recipient.
• The exits pushed Ethereum's staking exit queue from around 200,000 ETH to over 700,000 ETH, extending withdrawal waits to nearly two weeks.

AI summary of Protos’s report, written only from the publisher’s text. Read the original for full context.