The data of individuals making claims against bankrupt cryptocurrency exchange FTX has been exposed in a cybersecurity breach.
Kroll, the claims administrator handling FTX’s bankruptcy proceedings, fell victim to a cyber attack. The company clarifies that it did not possess customer passwords.
Claimants Advised To Be Vigilant
On August 25, FTX revealed in a series of posts on X (formerly Twitter), that the cyberattack exposed a fraction of its users data.
“FTX learned that Kroll, the claims agent in the bankruptcy, experienced a cybersecurity incident that compromised non-sensitive customer data of certain claimants in the pending bankruptcy case.”
The exact nature of the compromised data remains uncertain. However, FTX suggests that users do not need to change their private information just yet.
“FTX account passwords were not maintained by Kroll, and FTX’s own systems were not affected,” it states.
Kroll is reportedly notifying affected users directly along with guiding them through ways to safeguard their data.
FTX and Kroll claim to have “promptly contained” the incident. Users were once again cautioned to remain vigilant against individuals exploiting the FTX bankruptcy case.
“Please remain on high alert for attempted fraud and scam emails impersonating parties in the bankruptcy.”
Customer Data Breaches In Recent Times
Bankrupt crypto firms have experienced multiple customer data breaches in recent times.
Recently, bankrupt crypto lender Voyager reportedly experienced a data breach. Many believe it happened when customers were provided platform access in June to recover their funds. Even though customers managed to pull out over $491 million from the platform, there is a possibility that their personal information was at risk of exposure during this period.
In October 2022, another bankrupt crypto lender, Celsius, made public the names and transaction history of hundreds of thousands of its customers through a court submission.
The document, spanning 14,500 pages, disclosed details like customer names, crypto wallet IDs, types and sizes of transactions.
Numerous leaders in the crypto industry criticized this move as a significant breach of customer data.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content.
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