Kroll, FTX’s bankruptcy claims agent, faced a cyber incident revealing claimants’ personal info like names, addresses, emails, and balances. FTX and BlockFi confirmed passwords and internal systems remained untouched.
Kroll, the company that helps with FTX’s bankruptcy claims, recently had a “cybersecurity incident.” Some customer data got exposed, but the important financial parts of FTX were not affected.
(1/3) 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.
— FTX (@FTX_Official) August 25, 2023
The Surprise Cyberattack
Here’s how they did it: First, they took control of an employee’s mobile phone number. Then, using that access, they managed to get into Kroll’s cloud. It’s like they found a door that wasn’t locked in the digital vault. And it wasn’t just FTX affected – BlockFi had the same security problem too.
Regarding recent third-party data incident: pic.twitter.com/WdezgAerLF
— BlockFi (@BlockFi) August 24, 2023
The files that got messed up have personal info of claimants, like names, addresses, emails, and how much money is in their FTX accounts. This is really bad news for crypto investors. But hold on, don’t worry too much just now.
FTX and BlockFi’s Reaction
Moving quickly, FTX posted a bunch of tweets to calm the claimants. They said that the passwords and their own systems were safe. BlockFi said the same thing, making sure people knew their inside stuff was okay.
Both companies also told claimants to stay watchful. They warned about scam emails pretending to be related to the bankruptcy. They sounded really worried, saying, “Be very careful to avoid fraud and scams.”
(1/3) 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.
— FTX (@FTX_Official) August 25, 2023
Kroll’s Protective Measures
Kroll didn’t just sit back after the breach. They acted fast, containing and fixing the problem. FTX’s tweets say they’re also telling the people affected what they can do to stay safe.
This isn’t just about one mistake – it shows how easily our stuff can be exposed. FTX joined with Galaxy Digital and recovered a crazy $7.3 billion, so this bad event happened at a really bad time.
The situation is a big reminder that in the fast-moving crypto world, our info can be gotten by others. It also shows even big companies can mess up, so regular people who have claims need to be careful and stay informed.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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