A mistake in the bulletproofs paper could have led to the theft of millions of dollars

Incognito offers confidential transactions through zero-knowledge proofs, so an attacker could have stolen millions of dollars of shielded funds without ever being detected or identified. After discovering the issue, we informed multiple members of the Incognito Chain team, who patched the vulnerability and released a new version of their privacy protocol. When this variant of bulletproofs is vulnerable to Frozen Heart, the severity escalates notably because it grants an attacker the liberty to select arbitrary values for the coins instead of being confined to random values.