Wednesday, August 17

Hackers violated the Chivo Wallet configuration process

As has been reported on previous occasions, El Salvador, in September, recognized the main cryptocurrency of the market, Bitcoin as legal tender within the country. However, since its announcement, and the creation of its digital wallet, Chivo Wallet, there have been numerous problems and criticisms to which the government of President Nayib Bukele has had to submit.

Recently, Salvadorans reported that hackers violated their identities, stealing them to claim the USD 30 that this government credited for free to citizens as an incentive to use Bitcoin.

In this sense, Salvadorans who have never even used the digital wallet, Chivo Wallet, reported that their bank accounts have been linked to the application. To then make withdrawals of funds through the government wallet.

According to information provided by the CoinDesk portal, between October 9 and 14 at least 755 notifications received a human rights organization in El Salvador. Who reported identity theft through goat wallets. Which indicates, according to reports, that hackers have stolen the identities of hundreds of Salvadorans.

And, the hackers had an economic appeal. That is, the USD 30 incentive for each person who registered and used their wallet. In this sense, users through Twitter, indicated what happened and in repeated cases warned of the seriousness of the event and even expressed their actions against this situation.

Bank scam through Chivo Wallet in El Salvador

This was the case of Doctor Ricardo Lara. Salvadoran writer, columnist and doctor who denounced In his social networks, operations of the national bank that were fraudulently linked to a Chivo Wallet account, emptying his money.

The doctor has been one of the victims of this scam that he wanted to leave reflected in a thread through his Twitter account. Where it indicates that it has even made the respective report to the bank and has chosen to file a complaint with the Prosecutor’s Office; “I don’t believe in the institution, but I will,” he explained.

«I reported the case to the bank and I am preparing the complaint before the Prosecutor’s Office (I do not believe in the institution, but I will). Since apart from the money stolen this can generate serious legal consequences against me. Everyone knows the large number of identity theft with the unauthorized use of DUI to create accounts in the Chivo Wallet and collect the bonus “. Lara posted.

Wallet security level

Now, according to Chivo’s official website, opening an account requires scanning the DUI from the front and the back, and then performing facial recognition to verify the identity of the registrant. But several Salvadorans reported evidence that the system is flawed.

However, despite the above, a Salvadoran YouTuber learned of the hackers, while remembering that his grandmother had not opened her Chivo Wallet and decided to use the case as evidence. Even though he only had a photocopy of his DUI, he tried it anyway. And, to his amazement, the application accepted the document as valid.

Flores continued with the verification process, which then requested real-time facial recognition. The YouTuber snapped a picture of a poster on his wall of Sarah Connor, a character from the “Terminator” movie series. Seconds later, Chivo Wallet welcomed its grandmother and launched the $ 30 incentive.

The victims emphasized that they are not against the Bukele government or its decision to legalize Bitcoin. Rather, they just wanted to raise awareness that such fraudulent acts are happening today.

Fortunately, there are non-governmental organizations like Cristosal, who are doing everything they can to help resolve this issue. For now, it remains to be expected that the government of Nayib Bukele will solve these irregularities.