On June 1, 2026, a security event involving Gnosis Pay revealed a serious flaw in the Zodiac Delay Module, enabling attackers to carry out nefarious activities from connected Safe smart wallets. Customers expressed alarm about the exploit once reports of depleted balances appeared. Gnosis worked swiftly to control the situation, halt the impacted systems, and promise to reimburse all affected customers from its treasury.

In addition to the vulnerability itself, the incident has garnered a lot of attention in the cryptocurrency community due to the way the exploit interacted with a security mechanism that was initially intended to safeguard users.

• How the Zodiac Delay Module Exploit Worked?
• Users Report Drained Balances From Linked Safe Wallets
• Gnosis Pauses Bridge & Moves to Contain the Damage
• Gnosis Treasury to Cover All User Losses

How the Zodiac Delay Module Exploit Worked?

The Zodiac Delay Module utilised in the Gnosis Pay ecosystem was the specific target of the exploit. The purpose of this module was to mandate a three-minute wait before some transactions from linked Safe smart wallets could be completed.