Squid clarifies security incident: the vulnerability originated from a third-party Safe module, and the core protocol was not affected
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Jinse Finance reported that cross-chain liquidity protocol Squid has issued a statement regarding today’s security incident involving approximately $3.2 million, stating that the attack was unrelated to Squid’s core protocol and contracts, and that all Squid users and integrators were not affected and do not need to take any action. Squid explained that the exploited vulnerability was in a third-party Gnosis Safe module, which was deployed on the Base and Ethereum networks and verified on Basescan as “SquidRouterModule.” However, this contract was not developed, deployed, or operated by Squid, nor is it the official Squid Router contract, but rather a third-party smart wallet product integrating protocols such as Squid. The attack originated from a critical verification flaw in the module: the contract used a fixed string provided by the caller as the basis for “safe message” verification, and this string could be directly obtained from the verified contract code. Attackers could exploit this to execute arbitrary calldata arrays and thereby steal funds.
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