Kris Marszalek said in an interview that around 400 customer accounts have been compromised in a hack. His confirmation of the breach comes after a number of users alleged their funds had been stolen.
The exchange was back online about 14 hours after the incident, and all the impacted accounts were reimbursed, according to Marszalek.
The first official acknowledgement that a hack occurred is from Marszalek. On Sunday, a small number of users reported suspicious activity on their accounts, so the platform paused withdrawals. Customers were asked to reset their two-factorAuthentication out of an abundance of caution.
Users were reassured many times that customer funds were safe, and that the company would cover any losses.
The losses could be as much as 15 million dollars of the digital currency. About half of the funds were being sent to Tornado Cash to be washed. Tornado Cash says it can hide where it's being sent because it provides non-custodial anonymous transactions. The hack may have cost the exchange $33 million according to an analyst from OXT Research.
When asked about the scope of the losses, Marszalek said that a post-mortem of the incident would be posted on the company's website in the next couple of days.
In recent months, it has been pushing hard into U.S. markets, with stunts including a $700 million purchase of the naming rights to the Los Angeles Lakers and Clippers Arena. The expansion of its venture capital arm to $500 million could be in jeopardy because of the hack, but it is still considered the fastest-growing exchange in the space.
All Rights Reserved © 2024
