Security Researchers Uncover Bypass of PayPal’s Two-Factor Authentication
 

Researchers at Duo Labs, the advanced research team at Duo Security, discovered that it is possible to bypass PayPal’s two-factor authentication (the Security Key mechanism, in PayPal nomenclature). The vulnerability lies primarily in the authentication flow for the PayPal API web service (api.paypal.com) — an API used by PayPal’s official mobile applications, as well as numerous third-party merchants and apps — but also partially in the official mobile apps themselves.

As of the date of this post (June 25), PayPal has put a workaround in place to limit the impact of the vulnerability, and is actively working on a permanent fix. In light of the vulnerability reporting timeline and the trivial discoverability of the vulnerability, we have elected to publicly disclose this issue, so that users can be informed to the risks to their PayPal account security.


https://www.duosecurity.com/blog/duo...authentication