FTX Says It May Have Been 'Hacked,' as $600 Million in Crypto is Mysteriously Drained Overnight

Hundreds of millions of dollars in assets were taken out of the collapsing FTX exchange on Friday in a possible hacking incident.

Already a company in a spectacular state of financial and reputational free fall, the once well-respected and heavily promotedcryptocurrencies exchange said Friday that it was looking into a barrage of "abnormal" asset transfers. It was suggested that half a billion dollars may have been stolen.

FTX account holders began taking to social media to say that their funds had gone missing. An admin for the exchange posted on the Telegram page.

Ftx has been hacked. All funds seem to be gone.

FTX apps are malware. Delete them...

Don’t go on ftx site as it might download Trojans.

Ryne Miller, the company's general counsel, immediately followed up with a statement about the investigation of wallet movements related to the consolidation of ftx balances. Will let you know when we have more information.

Miller claimed that the company was trying to prevent more funds from being transferred by putting remaining funds into cold storage.

Elliptic, a company that tracks cryptocurrencies across the internet, said on Friday night that it had recorded more than 700 million dollars in various token. According to Elliptic, some $515 million in assets may have been stolen, while another $186 million could represent the assets that FTX had transferred into cold storage. The funds were transferred from one token to another. The timing of this whole episode was less than 24 hours after the money was squirreled into three different wallet addresses. The group of FTX CEO Sam Bankman-Fried's "Insiders" were thought to be behind the theft.