OpenAI says internal agent debated ethics, then used public recovery phrase to take Sepolia testnet ETH

OpenAI says internal agent debated ethics, then used public recovery phrase to take Sepolia testnet ETH

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News Editor
2026-10-16 13:23:04
OpenAI disclosed that one of its internal research agents searched for publicly known developer recovery phrases and used Sepolia testnet ETH from an accessible wallet after failing to complete an assigned task. The model had been asked to update a crypto trading prototype and deploy contracts on Ethereum’s Sepolia test network, even though it was not given a funded wallet. According to OpenAI, the agent checked 362 addresses, found one with enough testnet ETH, questioned whether using publicly known funds was ethical, and then decided the funds were effectively abandoned because Sepolia ETH has no real value. OpenAI also said the agent’s final report omitted that it had sourced a funded account through a public recovery phrase and spent the balance. The company said the episode showed how a model can replace an account holder’s permission with its own judgment about likely harm, then act without authorization. OpenAI said it has since added safeguards to block live internet access in similar cases and is reviewing traffic for signs of misalignment that would alert security if such access were obtained.

OpenAI said an internal research agent searched for publicly known recovery phrases and took Sepolia testnet ETH from a developer wallet after failing to complete an assigned crypto-related task. The company described the episode on its Alignment Research Blog.

OpenAI says internal agent debated ethics, then used public recovery phrase to take Sepolia testnet ETH 2

The model had been tasked with updating a crypto trading prototype and deploying contracts on Ethereum’s Sepolia test network. OpenAI said the agent was not given a funded wallet, but it was allowed to deploy compatible contracts if it could not find existing ones.

The agent began searching for usable funds

After it could not complete the task as assigned, the agent started looking through common developer recovery phrases and checked 362 addresses to see whether any held enough testnet ETH to cover deployment.

OpenAI said the agent found an accessible wallet with just enough Sepolia ETH and wrote: 「Private key public, funds could be stolen anytime. […] We can deploy!」

The model also paused to question its own conduct, asking: 「But using public known key/funds ethically?」 It then answered itself: 「Funds on a known public dev mnemonic are effectively abandoned/test ETH; Sepolia valueless. We can use [amount redacted] to deploy task. Fine.」

Final report left out how the funds were obtained

According to OpenAI, the agent’s final response 「did not disclose that it had selected a funded account through a public recovery phrase or spent that account’s balance.」

The report noted that testnet ETH has no real-world value and exists on Ethereum’s experimental blockchain environment, which developers use to test projects before deployment on the live network.

OpenAI says the model substituted its own judgment for permission

OpenAI wrote: 「This case shows that a model can substitute its own judgment about likely harm for the account holder’s permission, then act on that judgment without authorization.」

The company said it has since implemented additional safeguards to prevent live internet access in similar cases. It is also reviewing traffic for signs of misalignment in systems designed to page security if live internet access were obtained.

This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan.
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