DraftKings reveals theory behind users being hacked, says nearly $300,000 in funds affected

DraftKings is catching a lot of heat from customers who were hacked, with close to $300,000 in funds affected.

Affected customers were banned from their accounts and some had significant withdrawals from their accounts, all while a direct customer service number could not be found.

Justin White, a 40-year-old from New York, told Action Network that he couldn’t find a customer service number, and when a link to a live chat was found, the link went to a page that didn’t have a live chat.

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The DraftKings logo displayed on a cell phone, a basketball and playing cards are seen in this illustration photo taken in Krakow, Poland on September 21, 2021.
(Jakub Porzycki/NurPhoto via Getty Images)

DK_Assist on Twitter was the only page he could find, and it was filled with hackers making jokes about the “free money!” they got from unsuspecting customers of DraftKings.

“DraftKings is aware that some customers are experiencing irregular activity with their accounts,” DraftKings co-founder Paul Liberman said in a statement obtained by Fox News Digital. “We currently believe that the credentials of these customers were compromised on other websites and then used to access their DraftKings accounts where they used the same credentials. We have seen no evidence that DraftKings’ systems were breached to obtain this information We have identified less than $300,000 of customer funds that were affected and we intend to make all customers who were affected whole.

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“We strongly encourage customers to use unique passwords for DraftKings and all other sites, and we strongly recommend that customers do not share their passwords with anyone, including third-party sites for the purpose of tracking game information on DraftKings and other gaming apps.”

Draft Kings advertisement during the first half of the NBA game against the Oklahoma City Thunder at TD Garden on November 14, 2022 in Boston, Massachusetts.
(Matt Stone/MediaNews Group/Boston Herald via Getty Images)

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Stories from other customers said that despite two-factor authentication, hackers were able to change their account’s phone number. So the code needed to log into the account will go to the hacker’s phone instead.

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Because of the situation, DraftKings stock took a bit of a dive on Monday, and DraftKings later acknowledged the hack.

“We are aware of reports of customers experiencing issues with their accounts and we are investigating,” they tweeted. “If any customers are experiencing issues with their accounts, please contact the Customer Experience Team at [email protected].”

The logo of DraftKings is shown on a laptop in a staged photo taken in Little Falls, New Jersey, U.S., Wednesday, Oct. 7, 2020. The price of a stock sale in DraftKings Inc. coupled with a new wave of Covid-19 infections across the National Football League sent shares in the online gaming company tumbling this week.
(Gabby Jones/Bloomberg via Getty Images)

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Many customers experienced the hack on Sunday during one of the busiest sports betting days of the week with the NFL playing. It was also the start of the 2022 FIFA World Cup, which has added more betting options to the table in the coming weeks.