Jump to content

FTX Crypto Exchange Hacked Amid Bankruptcy Filing


MalwareTech
 Share

Recommended Posts

The FTX CEO has just announced that the exchange has been hacked. Last night, several big crypto-related social media accounts noticed coins being transferred out of FTX wallets.

The platform was already in the process of filing for bankruptcy after amounting $8 billion in debt.

It is estimated that $515 million in crypto currency was stolen, but it's unclear what percentage of customer funds this makes up. 

The CSO of Kraken, another crypto exchange, posted on tweeted that they knew the identity of the hacker, but has not released any further details.

https://www.coindesk.com/policy/2022/11/12/ftx-ceo-john-ray-confirms-late-night-hack-says-company-is-working-with-law-enforcement/

 

  • Like 2
Link to comment
Share on other sites

I like to dunk on crypto bros as much as the next guy, but this is just sad. People are losing their life savings. Hopefully the CEO gets locked up.

Edited by ChickenKing
Link to comment
Share on other sites

100:1 odds says it wasn't hacked. it was an inside job. SBF owes money to scary people in the criminal underworld in China and prolly Russia. people who aren't trying to hear any noise about waiting 5 years for an 80% loss of capital

1 hour ago, ChickenKing said:

I like to dunk on crypto bros as much as the next guy, but this is just sad. People are losing their life savings. Hopefully the CEO gets locked up.

this is the entire reason I joined twitter and started doing "citizen journalism" as Musk calls it. felt like maybe I could help stop the bleeding.

FWIW I would almost guarantee he's gonna be locked up if he doesn't get murdered first.

ps I made a 🧵 about the original collapse over here on this forum if anyone is curious how we got here.

  • Thanks 2
Link to comment
Share on other sites

1 hour ago, MalwareTech said:

It is estimated that $515 million in crypto currency was stolen, but it's unclear what percentage of customer funds this makes up. 

This is out of the last remaining $2B of the ~$10B they should have according to WSJ. But a lot of that remaining capital is in bullshit shitcoins... Don't have time to find link but they value one of their holdings at 10-20x the entire market cap of the coin.

Looking like basically going to be a total and complete 100% loss for anyone with funds on FTX

  • Like 1
Link to comment
Share on other sites

FTX and FTX.US were both hacked in a matter of minutes. Both separate companies, offices and had to be on different networks.  No possible way some random person breached both in a Hail Mary type situation and drained wallets that fast, the night they filed for bankruptcy. 100% inside job.

  • Like 3
Link to comment
Share on other sites

18 hours ago, MalwareTech said:

The CSO of Kraken, another crypto exchange, posted on tweeted that they knew the identity of the hacker, but has not released any further details.

FWIW Kraken has the KYC data on the wallet that sent some TRX gas to facilitate some of the movement... but that doesn't mean they know the identity of the hacker. people buy and sell KYC accounts on the darknet all the time.

ps I'm seeing that the FTX/Alameda C-suite has been trying to charter flights or otherwise get to Dubai... there's a reason I set my twitter account description to "in the land of the coins the man who makes it to dubai is king" a few months back lol.

  • Like 1
Link to comment
Share on other sites

if anyone had any doubts about whether it was an inside job, consider this.  

(tl;dr management pretended Bahamian govt required them to let Bahamians take money out. Government of Bahamas tweets "we definitely did not say that")

  • Like 1
Link to comment
Share on other sites

lol How is anyone actually surprised this happened? I've been yelling SOL, FTX, and any other VC coin is a scam since 2017.

  • Like 1
Link to comment
Share on other sites

Definitely the first transactions were a black hat, dumping them on DEX's into ETH, tons of slippage. This is common when a hacker doesn't care about loss of funds trying to consolidate into one token. The second group of wallets were definitely a white hat, seems the OG ETH sent to pay gas fees was funded on Binance.US. These funds were then sent to a wallet and set-up with a multi-sig to protect the assets. This usually is typically done to share responsibility of a transaction and protect it from a single abuser. Whether FTX paid a white hat, an employee, or just some random person trying to help, I have no idea.

Here's a rundown of wallets done by ZachXBT:

 https://twitter.com/zachxbt/status/1591475246250733568?s=20&t=C-lz9DEh3a-PfWr_w1vbgA

  • Like 1
Link to comment
Share on other sites

Too convenient not be an insider job. We are going bankrupt. Oh no, we were hacked, and all our funds are gone. That amount must have been in custody at some point, and with going bankrupt, the funds should have been frozen.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...