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Railway confirms breach exposed secrets for up to 100,000 workspaces, $740K in AI fraud

Railway disclosed that attackers exploited an unknown vulnerability in its build infrastructure on October 20 to escape filesystem isolation and steal an internal credential, later using a second flaw in a misconfigured trust relationship to access decrypted customer environment variables. The company says the breach may have exposed credentials for as many as 100,000 workspaces, about 1.85% of its total, and resulted in roughly $740,000 in fraudulent AI usage charges before engineers contained the intrusion after a 26-hour standoff.