You Didn't Get Hacked. Your Shipper Did.
Ep. 02

You Didn't Get Hacked. Your Shipper Did.

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Episode description

A company whose entire product is “don’t trust anybody” had about 80,000 customers’ names, phone numbers and home addresses stolen last month — twice, through two different vendors, without ever being hacked themselves.

Their shipping provider got breached through a dashboard tool. Their email provider got breached and used to phish their customers. And the data that leaked was data a contract said had been deleted five years ago. This is what a blast radius actually looks like — and what a small business is supposed to do about it on Monday morning.

CHAPTERS 00:00 The company that sells “trust nobody” 00:40 The Blast — Trezor, ShipMonk, and a dashboard 05:59 The part that made me do this episode 08:32 Radius Check — where does your company actually end? 10:45 The control nobody audits 16:46 The Fix — three things you can do this week 22:24 Where to go deeper

FREE cybersecurity foundations course: Inside The Blast Radius — https://www.skool.com/blastradius (The Fix maps to Module 1 “The Map” and Module 3 “Identity”. Both free.)

Watch the video edition: https://youtu.be/nn8Nr9FGZbI

SOURCES

THE BLAST RADIUS — Cyber • Tech • What’s Next. Hosted by Quinn “Q” Vidal. https://theblastradius.io · https://aiqso.io

Download transcript (.srt)
0:00

A company sells you a small little box.

0:04

Their entire job and their offering of that box is to not trust anybody.

0:09

Don't trust the exchange.

0:11

Don't trust the app.

0:12

Don't trust the cloud.

0:13

Hold your own keys.

0:14

Last month, about 80,000 of their customers got their names, their phone numbers, their home addresses stolen.

0:22

Here's the kicker.

0:23

The company was never hacked.

0:32

What's good, Internet?

0:32

This is your boy Q, a.k.a. your IT guy's IT guy, and this is The Blast Radius.

0:43

All right, The Blast.

0:44

One story that actually happened and the part everybody's coverage skipped.

0:49

The company is Trezor.

0:52

Now, if you're not into crypto, they make these hardware wallets, little physical

0:56

devices that hold your keys to cryptocurrency so that it stays off the

1:00

Internet.

1:00

Their whole pitch, the whole entire reason a product exists is

1:04

don't leave your money where somebody else holding can can find

1:09

it.

1:09

Trust nobody. Be your own bank. So here's what's happened.

1:14

August 10th, a company called ShipMonk tells Trezor, hey, we got breached.

1:21

Now, ShipMonk isn't a crypto company. They do fulfillment.

1:25

they're the ones in the warehouse they have the people who put the little thing in the box slap

1:30

a label on it and they hand it

1:33

to the carrier August 13th Trezor discloses 13,689

1:38

customers

1:39

were affected now 13,000 is a bad week regardless

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but it's a normal bad week you send emails

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you

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eat the headlines and you move on except

1:52

september 2nd ShipMonk comes back and says about

1:57

that

1:57

there's actually more turns out that the stolen files also had order records from an earlier

2:05

stretch of the relationships orders that came from november 2019 through august 2021

2:12

September 5th Trezor discloses again hey 67,000 more U. S.

2:18

customers so now let's do the math

2:22

13,689 plus 67,000 you're about roughly 87,000

2:28

people that got their names and information

2:34

addresses phone numbers shipping address order number now let's just sit with the shipping

2:42

address for just a second these are people who bought a hardware wallet the data set is

2:50

functionally a list of names home addresses of people who are publicly known to hold cryptocurrency

2:56

and how much hardware they bought to hold in it that's not a spam list that's a shopping list

3:04

Let's be real. There's a reason security world would call this one out for particular customers base.

3:11

A home address isn't just a leak or inconvenience. It's physical safety problem.

3:17

Here's where it gets good. And the part that nobody actually wants to remember or talk about.

3:23

The way in

3:25

was through a

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CVE-2026-72898.

3:31

That is an SQL injection.

3:35

want y'all to actually remember.

3:39

The way in was through a critical vulnerability, or what

3:45

some of us know in the field as a CVE,

3:49

2026-72898.

3:51

That's like the individual markings or identification of a particular vulnerability that is found in software or different tooling.

3:58

That's an SQL injection vulnerability in a piece of software called Metabase.

4:05

The severity score of this was a 10.

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You can't get higher than that. There's no 11. Now, Metabase, what is that? It's a business

4:15

intelligent tool. It's a dashboard. It's the thing that somebody on the ops team spun up so they

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could look at the charts, the orders this week, shipping times by the region, pretty little graphs

4:26

for the Monday meeting for the CEO. Nobody in the building thinks of this dashboard as a security

4:31

reporting product. It's the reporting tool. It's the thing that's plugged into a database so it

4:37

can draw the charts and we can see how our market is going or whether we're selling or not selling

4:42

but here's the problem a reporting tool has to be able to read everything or it can't really

4:50

report on anything so the attackers didn't break into Trezor they didn't break into the Trezor

4:56

wallets and Trezor was very clear about that the breach does not affect the security of the hardware

5:03

wallets nobody's coins removed the crypto part of

5:07

this story is fine they broke into the

5:10

warehouse's

5:11

chart tool same week different

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company a company called Mathspace

5:14

an online math learning platform

5:20

that has nothing to do with crypto nothing to do with any of this they were breached by their

5:26

Meta-based reporting system. Over a million students, staff, and parents. Same software,

5:33

completely unrelated victims. And that's what a real blast radius looks like. It doesn't travel

5:40

along your org charts.

5:43

It travels along your software bill of materials.

5:45

Trezor had a data

5:47

retention rule written into their contract. 90 days. That's genuinely a good practice.

5:53

A lot of companies 10 times their size don't even have anything remotely close to that.

5:58

And Trezor says, and they, quote, repeatedly requested and

6:02

received written assurance confirming the deletion of their data.

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Written assurance repeatedly.

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And the 2019 through 2021 orders were still

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sitting in their 2026 waiting to get stolen.

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this is the episode right here somebody sent the email say yeah we deleted it and everybody

6:25

filed that email and they felt good and it wasn't true maybe not even a lie maybe somebody truly

6:32

believed that the job ran but maybe it was on another system on the backup maybe the person

6:36

who deleted it left the company in his state archive it doesn't matter the paperwork said

6:42

gone.

6:43

The database said present.

6:46

Same window, completely separate incident.

6:52

Trezor's email provider, a company called Brevo got breached and the attackers used that

6:59

access to fish Trezor's customers.

7:03

347,000 emails went out.

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2,500 people clicked.

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so let's count in roughly one month this company got hit through their shipping vendor

7:15

and through their email two vendors two different companies and two different failures

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Trezor's own systems were never touched either time

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go look at the coverage most of it

7:28

reads

7:29

Trezor data breach some of it gets cute and implies that maybe the crypto people got their

7:35

wallets drain both wrong. Trezor did not get breached, not once, not twice. Trezor's security

7:43

did not fail. Their vendor's security failed and Trezor's customers paid for it. And honestly,

7:49

Trezor handled about as best as you can. As soon as they found out, they disclosed the information.

7:56

And again, when it got worse, they disclosed it. They emailed every new person they had.

8:00

They are not the villain of the story.

8:04

The real headline is this company whose entire product, trust nobody, got burned

8:11

twice by trusting somebody, not because they were careless, but because that's the

8:18

deal.

8:18

You cannot run a business without vendors and you cannot see inside your vendors.

8:24

And if it can can happen to a company that says paranoia for a living, we need to talk about it.

8:29

And that means what that means for the rest of us. Radius check.

8:37

Now, this is we figure out how far this thing actually reaches.

8:41

So here's the question I want you to sit with. Where does your company end?

8:46

Think about that.

8:47

Most people, if you ask them to draw a their security perimeter, they

8:51

probably likely drawing around their office or maybe their laptops, maybe the cloud

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stuff.

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If they're sharp, that's not your perimeter. And it's never been your perimeter in the 15 years that you're in business.

9:04

in my sleep because I built systems for hundreds of

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them.

9:10

Small shops, 10 people, you're selling something physical. Think about this.

9:14

who has your company's list of data right now? Your e-commerce platform, your payment processor,

9:23

the shipping and fulfillment provider, that's shit, Monk, in this story. Your email marketing

9:28

platform, that's Brevo. Your CRM, your accounting software, your support desk, your booking,

9:33

your scheduling tool, your payroll provider has employees, has everything. Your backup vendor

9:37

has a copy of it all. By definition, that's literally the product. That's 10 and I didn't

9:43

even try hard most shops i walk into and the real number is somewhere between 15 and 40 but nobody

9:50

in the building has ever written it down every single one of these companies have a bad tuesday

9:56

it puts all your customers addresses and internet and information and how will you find out about it

10:01

through an email after it's over not on your

10:08

get got by some

10:10

exotic ShipMonk

10:14

specific thing they got through a Metabase software ShipMonk didn't write that they did

10:21

but they installed because it was a good tool like that of any a thousand other companies who

10:26

install that system. So it's not just who do I trust, it's who do my vendors trust and what do

10:32

they install. That's the blast radius. It's not a circle around your building. It's a graph. It's a

10:38

node. Your vendors knows their software is a node. A hole anywhere upstream floods you entirely

10:45

downhill on you. You cannot audit that graph. And I want to be honest with y'all. I'm not trying to

10:51

sit here and stand y'all and telling you that running a 10 person shop, that you're going to

10:56

audit every software application, ShipMonk's, dashboards, software, et cetera. That's not a

11:02

real thing, but that doesn't mean that you're helpless. It means that you're solving a different

11:07

problem than you may first thought about. All right. Now, let me tell you something from the

11:09

the third party risk is

11:12

a whole

11:13

department including vulnerabilities the fortune 100 companies fortune 500 whether it's government

11:19

financial it doesn't matter whether these classified and unclassified networks and

11:24

sometimes what gets identified as the crown jewels when you do this type of work that

11:29

touches these environments you're not going to do anything without a review not a vendor not a cable

11:34

not a laptop there's paperwork on top of paperwork and it literally takes months to get anything done

11:39

and every department and team that works in these environments know about it they complain about it

11:44

but it's just the way it is and you know what's the half half of that process is a theater it's

11:49

theatrics it's a lot of check boxes exercises and someone just has to point to when it all goes bad

11:54

but the other half is real and the real half is stupidity something simple where someone can just

12:01

say hey this is a list of everyone who touches this data and someone owns that list that's it

12:06

but the part that actually works and it's the part that small business skip entirely and it's not

12:12

because it's expensive it's because no one ever told you some of us have to learn the hard way

12:18

It's a real thing. Meanwhile, a small shop signs up for a SaaS product.

12:24

That's S.A.A.S. Software as a Service. And they sign about sign up in about four seconds with a credit card number.

12:31

They check box. I agree to the terms and services agreement that none of us read.

12:35

But at the same token, all of that data, that customer data has the same exposure, zero review.

12:42

And I'm not even mad. How can you expect a small business team to run a six month audit on every vendor that they're using information?

12:50

They're sending newsletters, emails, blasts saying that, hey, you know what? We need to do this.

12:56

Now, here's the thing I really want to drill down on, because this is the piece that's specific to the story.

13:01

And it's the one that almost nobody thinks about. Everybody thinks about access.

13:07

who can get in? Passwords, MFAs, what are multi-factor authentications, permissions,

13:14

they're good, they're necessary. But almost nobody thinks about the data retention. How long does

13:21

this company actually have or keep my data? Even after I've unsubscribed or I found a new vendor,

13:27

I'm no longer doing business with them. Do you know that they still have your data?

13:31

Trezor didn't think about it did think about it in fact they wrote out a 90-day retention

13:39

in the contract they asked specifically and they got it in writing and they still got burnt by a

13:46

six-year-old orders that were stolen so understanding what this proves you cannot

13:53

verify deletion from the outside there's no api or proof that it's gone you can't usually do a diff

14:00

on their database. You can ask a vendor to delete your data, but it's no different from you going to

14:06

one of your exes and be like, yo, you know all those pictures that you took of me? I don't want

14:10

you to have them anymore. Delete them. And then you get a text back and they say, yeah, we deleted

14:14

it. Yeah, right. The problem is, is that when you deal with these businesses and they give you a

14:22

promise or a reassurance, you have to only take it as far as they give it to you. But somewhere

14:27

silently that data may still exist and they may

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have legitimately tried to delete it but the checks

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and balances of it was it actually remove is a whole nother conversation which leaves exactly

14:41

two levers that you could control one it

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sounds simple but it's give them less every

14:51

optional

14:51

field in that software or that vendor that you're using is a field that can leak later on do they

14:57

really need the phone numbers of the customers do they need the date of birth do they need the

15:01

shipping address after the thing that they shipped and the return window is closed and you've never

15:06

collected any more data that data can be stolen if they're not if they're still keeping it why

15:11

are they still keeping it you can tell them hey if you manage my data delete that the reality of

15:17

is is that a tool that's no longer used but it's still in deployment in their environment can still

15:24

be a security risk that's not just fact that's

15:28

just not hearsay that's facts now to assume that

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it does leaks and leaks unfortunately happen so what do we do next but if we look at that example

15:40

that we talked about Brevo and that was the

15:45

half of the crm tool 347 000 phishing emails

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2,500 and people click on that why not because

15:54

they didn't know better but the email came from

15:58

a real sender though the the platform was real and the people that they were targeting were

16:04

actually really tree source customers so if you got an email from a vendor that that you do business

16:10

with and that your customer gets that email your customer says oh yeah they do business with them

16:15

So this is probably legitimate. And they actually had an order. Every single normal person is taught to check.

16:21

Well, do I know this company? Did I buy from all those gates were checked? Everything was passed.

16:26

There was existing order information.

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And when that information was found by attackers, they were literally operating from the inside.

16:35

So the defense can't be, oh, you got a spot, a fake email.

16:39

The defense has to be a thing that even when the message is perfect, you have to be careful.

16:49

All right. Now it's time for the fix. Three things that you can do today.

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And the first one is free that you can do today.

16:57

Every outside company that holds your customer or employee data, one row, each three

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columns, who they are, what they have and who owns the relationship on your

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side.

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When you open up a bank statement and your credit card statements and you go

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line by line and you look at every reoccurring charge, that likely is a vendor

17:20

and most honest inventory that you ever built because it's the one that nobody ever

17:26

really curates.

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and I'm telling you right now don't be surprised as there's likely going to be at least two things

17:32

two vendors two subscription that you're still paying for still holding an open door for and

17:38

I promise you even on a personal or there was software that I was paying for my kids who are

17:42

now teenagers and the tool that I was a subscription I was paying for us for like when they were in

17:48

pre-k and I'm like why am I paying this five dollars but because it was so small amount

17:52

didn't pay no mind but the reality is everyone always finds something that they're paying for

17:58

that they should no longer be paying for or their subscription expired and they no longer do the

18:03

service you cannot protect though what you have never counted and when a vendor emails you at 6

18:09

p.m saying hey we had an incident the list and that difference of knowing between 10 minutes of

18:15

exactly what data was there and spending the next three days guessing and investigating it could be

18:21

the determination of whether your business continues to be successful or you take that PR

18:25

hit.

18:26

Next up, pick the top five from the list

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of the ones that are holding your most sensitive

18:32

information. Send one email. What data of ours do you currently hold? How far does it go back?

18:40

And what is your retention schedule? That's it. The whole email. Now, I just spent 10 minutes

18:46

telling you that Trezor did this and got burned anyway. So why am I telling you to do it?

18:51

Two reasons. One, the answer itself is intelligence.

18:56

Plenty of vendors are going to come back with all of it and forever we hold your data.

19:01

And now you know that you can decide if you're good with that.

19:05

Two, and this is the real one.

19:08

Trezor got burned, but Trezor also knew within days exactly who to notify what was taken.

19:15

they were disclosing while other companies were still scrambling trying to find out what exactly

19:21

was done taking how it happened and the typical statement you'll see in the news is we're still

19:27

investigating that means that they didn't have a no they didn't have an audit and they're probably

19:31

never going to truly know the effect and just might as well say everyone was compromised the

19:37

list does not prevent the breach the list turns a mystery into a notification that's a whole lot

19:43

worth more than at a 6 p.m. on a Friday would you rather someone say I think you were hacked

19:49

or just someone says hey your phone number and your name was breached but nothing else

19:54

so two moves on your side phishing resistant logins pass keys where you can get them a real

20:02

authentication app and when you can't get those at least have SMS codes for anything else that

20:08

matters the whole point is that when not if your people's who your employees their emails their

20:15

phone ups end up in someone else's phishing set a convincing message doesn't hand out an account

20:21

just like that when there's controls over the message it is perfect because now it doesn't

20:28

depend on someone having to notice hey does that email sound off your customer side you can then

20:34

tell them what you will never do. But before that happens, put it on your website, put it in your

20:39

contracts, put it in the order that we will never text you a link or update your payment. We will

20:45

never call you and ask for a code because here's what a lot of folks miss. When your email vendor

20:50

gets popped, the phish that comes out to your customers, and that's phish with a P-H-I-S-H,

20:57

has your name on it. The trust that gets spent is yours. You're the one who has to defy it and

21:03

you're the one that has to send the letters out later disclaiming that hey a compromise happened

21:07

with one of our vendors but you're the one taking a hit and it's the one that when you have that

21:11

conversation before it went wrong then you seem better prepared both of those will map to lessons

21:18

that will live free in the community right now fix one the counting what you've actually got

21:23

that's module one the map the whole idea you can't secure things that you haven't drawn you don't

21:29

understand, don't exist, you don't know your retention rates, that's imperative. The fix

21:35

number three that we talk about, that's the login app. That'll be on module three, identity,

21:40

passwords, MFAs, pass keys, free. Go to it right now. There's even a quiz. It'll take five minutes

21:46

once you go through the lesson and test your knowledge and tell you this is something that

21:50

if you don't know about it now, you might find out about it the hard way and that's never the

21:55

where you want

21:56

so that's

21:57

the radius on this one a company that sells trust nobody got hit twice by two different vendors

22:04

without ever being hacked the thing that failed wasn't a firewall it was an email from 2021 that

22:12

said yeah we deleted that information now you have a vendor list like that too maybe you just

22:19

haven't written it down go write it down today and if you want the lessons the map the identity

22:25

the stuff all that will be in the community it's called inside the blast radius on the platform

22:31

Skool — skool.com. the foundation's track is free and the link is in the description come in there

22:38

share your story come argue with me tell me that i'm wrong that's what i always love because i

22:44

always can tell you this when I'm right I'm right and when I'm wrong I could have been right because

22:49

I could have been right about being wrong and one day I might be wrong but that day ain't today

22:54

this is your boy Q everything has a blast radius just find out how much yours goes peace