Someone has uncovered another browser security issue, which impacts all versions of Android. This issue occurs when users download a file from their browser and it runs from the SD card, enabling an attacker to possibly download a malicious file on the SD card. The attacker, however will not be able to exploit the root, cannot make changes, and has to know the exact file name and location on your device.
Google is aware of the issue and stated that it will be resolved in an update after Android 2.3 (Gingerbread) is released. (via Android Police)