Disputifier Shopify App Hack: Lessons in E-Commerce Security

In a startling incident that has sent ripples through the e-commerce community, the Disputifier Shopify app—a popular tool for automated chargeback management—was exploited by a hacker on January 9, 2026. The breach allowed unauthorized refunds on Shopify orders for a small number of affected merchants, highlighting vulnerabilities in third-party app integrations. While the company has assured users that financial impacts will be fully mitigated, the event underscores the critical need for robust security measures in the digital retail space.

The Incident Unfolds

Reports began surfacing on social media platforms late on January 9, with users alerting the community to unusual activity linked to Disputifier. One post described how a "rogue hacker" exploited an API leak to trigger millions in refunds across multiple stores in seconds.

INSANE LEAK ON SHOPIFY WITH THEIR TOP CHARGEBACK APP Disputifer is a Shopify app that prevents chargebacks & auto-responds to them if a customer makes a bank dispute a ROGUE HACKER found an API leak and just ran a script to refund MILLIONS OF DOLLARS in seconds... CRAZY

— Ant (@AnthonyLapietra) January 9, 2026

Another account shared a screenshot purportedly showing the hack in action, warning that Disputifier had been compromised and urging immediate uninstallation.

Disputifier just got hacked and is refunding people’s Shopify orders

— Ryan Kamal (@ryxnk) January 9, 2026

According to community discussions, the vulnerability stemmed from exposed API tokens or keys, possibly in the app's frontend. This allowed the attacker to automate refunds without proper authorization. Affected merchants reported seeing batches of orders refunded en masse, prompting urgent calls to payment processors like Shopify Payments to void transactions before settlement.

Competitors in the chargeback space, such as Chargeblast, quickly offered migration assistance, emphasizing the need to revoke app access immediately.

Disputifier is undergoing an API hack & customers are refunding millions in volume via Shopify App. What you need to do: 1. Uninstall Disputifier app and revoke access to Shopify 2. @chargeblast can manually handle the disputifier alerts for you, and then help you migrate without a lapse in coverage. Add both support@chargeblast.io to Shopify and Disputifier account 3. DM me or @chargeblast and we will assist with priority in getting you migrated

— Patrick Petteruti (@pattypetteruti) January 9, 2026

Adding to the concern, several posts claimed a data leak accompanied the hack, exposing personal details like names, addresses, emails, and store domains. Users alleged that the hacker had shared this information, potentially linking individuals to their e-commerce operations. One merchant expressed frustration over the lack of acknowledgment in official updates, questioning why the focus remained solely on refunds rather than the broader privacy breach.

Official Response from Disputifier

Disputifier's founder, Mark Wagner, issued statements acknowledging the "isolated disruption" and detailing the company's response. The team collaborated with IT specialists and forensic experts to investigate, temporarily disabling refund processing and rotating API tokens to contain the issue. In a follow-up post from the official account, the company clarified that the exploit affected less than 0.1% of customers, with no lasting financial losses as refunds were either canceled or reimbursed.

Just wanted to provide an update to everyone who has seen today’s news There was a security vulnerability which led to an exploit that a hacker used to refund Shopify orders across a handful of our clients. However, no clients have taken or will take any financial losses Most of these refunds were able to be canceled by the processor, and we will be reimbursing 100% of losses for any clients that weren’t able to cancel refunds. This issue impacted <.1% of our customers. Only a small number of customers on the Shopify app were impacted. Regardless, it was an absolute abhorrence that this occurred and is being taken extremely seriously. The issue was resolved permanently and will not occur again. Alert coverage If you are on Disputifier, your alerts will continue to function and prevent chargebacks. If you uninstalled Disputifier today, we will continue to handle alerts and refunds over the weekend regardless. It is important to ensure that we have an active collaborator access account in order to process refunds during this time. Impact to existing merchants As I mentioned, no clients will experience any financial loss from this situation. We did take our merchant-facing app down as a temporary measure. App access will be restored as soon as possible. Even while you cannot access the app, you will still be getting alerts and these will still be refunded. Go forward: Disputifier will continue to help protect merchants from chargebacks. We will invest heavily in cyber security and ensure that any vulnerabilities are prevented or promptly resolved. We will continue cooperating with law enforcement to bring this individual to justice. We truly appreciate everyone who’s reached out in support of us and look forward to sharing more updates as they become available. For any questions, please feel free to reach out to us at incidentresponse@disputifier.com

— Disputifier (@disputifier) January 10, 2026

They also committed to ongoing chargeback alerts for users, even those who uninstalled the app, and pledged heavy investments in cybersecurity moving forward. The app was delisted from the Shopify App Store—either voluntarily or by Shopify—to prevent further installations, effectively disabling it across all stores. Merchants were directed to contact incidentresponse@disputifier.com for support.

Community reactions were mixed: some praised the handling, while others criticized the company for allegedly ignoring a prior bug bounty report, which may have contributed to the vulnerability.

Good Practices for E-Commerce Security

This hack serves as a stark reminder of the risks inherent in relying on third-party apps for sensitive operations like payments and disputes. To safeguard against similar incidents, merchants and developers should adopt the following best practices:

• Regular Security Audits and Penetration Testing: Conduct routine vulnerability scans and ethical hacking simulations to identify weaknesses before malicious actors do. Tools like bug bounty programs can incentivize white-hat hackers to report issues responsibly, potentially averting disasters like this one.
• API Key Management: Never expose API tokens in client-side code. Use secure vaults, rotation policies, and least-privilege access to minimize exposure.
• Multi-Factor Authentication (MFA) and Strong Passwords: Enforce MFA across all accounts and change passwords periodically. Revoke access for former employees or apps immediately upon departure or uninstallation.
• Data Encryption and Minimization: Encrypt sensitive information at rest and in transit, and only collect what's necessary. In cases of breaches, transparent communication about data leaks is essential to maintain trust.
• Backup and Recovery Plans: Maintain offsite backups and have incident response protocols in place, including contacts for payment processors to quickly halt unauthorized transactions.

The Importance of Strong Security and Testing

In the fast-paced world of e-commerce, where apps like Disputifier handle millions in transactions, skimping on security can lead to catastrophic outcomes—not just financial losses, but reputational damage and legal repercussions. Thorough testing, including unit tests for code integrity and stress tests for system resilience, is non-negotiable. As one affected user noted, cybersecurity is no longer a "sci-fi" concern but a daily reality that demands proactive measures. Ignoring reports or cutting corners, as alleged in this case, can "kill your entire business overnight."

For Shopify merchants, this event emphasizes vetting apps rigorously through reviews, security certifications, and direct inquiries about their practices. As the e-commerce landscape evolves, prioritizing security isn't just good business—it's essential for survival.