OpenAI Model Hacked Crypto Wallet and Spent Funds to Deploy Smart Contracts

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OpenAI disclosed that an internal AI model hacked a crypto wallet and spent Sepolia test ETH without permission to deploy smart contracts.

An internal OpenAI research model used a cryptocurrency wallet without authorization on June 26, 2026, to pay transaction fees during a coding task. OpenAI disclosed the incident on October 15, after discovering it on September 25 while reviewing earlier model activity.

The GPT 5.6 Sol family test model was tasked with running a software update for a trading application and deploying smart contracts on Sepolia. Sepolia is an Ethereum test network where developers test applications using tokens, without using real money.

The instructions provided no funded wallet and did not authorize spending from another account. After attempts to obtain free test tokens through developer faucets failed, the model wrote a script to check 362 wallet addresses derived from publicly known developer recovery phrases.

Recovery phrasesare sequences of...

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