SecondFi Warns Compromised Wallet Holders Against Claiming NIGHT Tokens

The issue stems from a June security breach where a cryptographic flaw in SecondFi’s wallet software allowed unauthorized parties to derive private key material from Cardano blockchain data. That incident resulted in the theft of roughly 16.1 million ADA from 374 wallets. While SecondFi has since patched the software and ceased normal operations, the vulnerability remains permanently tied to the addresses created during the affected period.

SecondFi confirmed it has no control over the Midnight Foundation’s distribution rules for the Glacier Drop program. The current redemption mechanism does not support transferring allocations to secure, new wallets before the claim is finalized. Consequently, users face a binary choice: leave the tokens unclaimed or risk exposing their assets to the same parties who orchestrated the original breach. SecondFi’s existing recovery tools, including its migration portal and zero-knowledge proof recovery system, are unable to intercept or protect these specific NIGHT claims.