Collapsed cryptocurrency exchange FTX faced a series of unauthorized transactions over the weekendprompting several warnings from users and analysts against interacting with their mobile app or website.
FTX-associated wallets saw some $266.3 million worth of outflows on November 11according to the analysis company Nansen. From FTXUS, a separate entity operating in the United States, would have left 73.4 million dollars.
$266M has been withdrawn from FTX in the last 24 hours
$73M from FTXUS pic.twitter.com/qoiroPSegq
— Nansen (@nansen_ai) November 12, 2022
$266 million has been withdrawn from FTX in the last 24 hours
$73 million from FTX US
The scale of the alleged attack appears to have escalated overnight, with FTX and FTX US net outflows totaling $659 millionaccording to Nansen data journalist Martin Lee. This represents roughly a third of the net outflows from wallets in the last seven days..
We’ve seen over $2B in net outflows from FTX Intl and FTX US over the past 7 days
Of which $659M (33%) happened in the last 24 Hours
Somehow no congestion or long wait times when the wallet was getting mass drained pic.twitter.com/NJJcMJppSZ
—Martin Lee | Nansen (@themlpx) November 12, 2022
We have seen over $2 billion in net outflows from FTX Intl and FTX US in the last 7 days
Of which 659 million dollars (33%) have occurred in the last 24 hours.
Somehow there has been no congestion and no long wait times while the wallet was massively emptying.
FTX US General Counsel Ryne Miller confirmed on November 12 that the transactions were unauthorized and that FTX US had moved all remaining crypto to offline storage as a precaution.
Following the Chapter 11 bankruptcy filings – FTX US and FTX [dot] com initiated precautionary steps to move all digital assets to cold storage. Process was expedited this evening – to mitigate damage upon observing unauthorized transactions.
— Ryne Miller (@_Ryne_Miller) November 12, 2022
Following the filing of Chapter 11 bankruptcy, FTX US and FTX [punto] com initiated precautionary measures to move all digital assets to offline storage. The process has been expedited this afternoon to mitigate damage from observing unauthorized transactions.
Investigating abnormalities with wallet movements related to consolidation of ftx balances across exchanges – unclear facts as other movements not clear. Will share more info as soon as we have it. @FTX_Official
— Ryne Miller (@_Ryne_Miller) November 12, 2022
Investigating abnormalities with wallet movements related to consolidation of ftx balances across different exchanges: unclear facts as well as other unclear movements. We will share more information as soon as we have it.
An administrator of the FTX Telegram group confirmed that the exchange was hacked and urged users not to use the FTX website due to potential security vulnerabilities.. “Do not enter the ftx site as you may download trojans,” community manager Rey wrote.
FTX crash and apparent security breach documented in near real time on Twitterwith some users claiming that FTX customers were receiving text messages and emails urging them to enter the app and website, which have since been infected with a Trojan.
Reports of SMS messages & emails being sent by FTX to customers to log into the app & website, which are infected with a trojan as part of the hack
FTX has millions of users. Things are about to get a LOT worse.
Please warn as many ppl as you can before it’s too late!
– Mario Nawfal (@MarioNawfal) November 12, 2022
Reports of text messages and emails sent by FTX to its customers to log into the app and website, which are infected with a Trojan horse as part of the hack.
FTX has millions of users. Things are about to get a lot worse.
Please let as many people know as you can before it’s too late!
Earlier in the week, FTX held the reins as one of the top three cryptocurrency exchanges. its monumental The collapse began on Nov. 7 when Binance CEO Changpeng Zhao tweeted that his exchange would liquidate its entire FTX Token (FTT) position amid rumors of insolvency and shady deals with sister company Alameda Research.. The announcement triggered a massive withdrawal of funds at FTX, from which it was unable to recover.
On November 11, former FTX CEO Sam Bankman-Fried announced that FTX, FTX US and Alameda Research were filing for bankruptcy..
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