FTX allegedly hacks, drains customers’ wallets; Officials recommend deleting their app

by James · November 12, 2022

The FTX crypto exchange platform just filed for bankruptcy on Friday the 11th. November.

Rumored FTX Hack Allegedly drains wallet; Officials say users must delete their apps

(Photo: Photo illustration by Leon Neal/Getty Images)
In this photo illustration, the FTX logo and mobile app ads appear on screens on November 10, 2022 in London, England. The Bahamas-based crypto exchange’s larger rival, Binance, walked away from a potential rescue deal as FTX struggles with a wave of customer withdrawals that have created a liquidity crisis.

However, it seems that the digital coin trading company’s troubles are not over.

Aside from the financial doom, FTX has to deal with an alleged breach of cyber security.

Although the massive hack has yet to be confirmed, officials are warning users to delete their apps.

AFR reported that the FTX breach may have drained more than $600 million from users’ wallets.

The rumored FTX hack allegedly drains your wallet

According to NDTV’s latest report, transfers, which the crypto exchange company did not address, occurred on the same day that FTX filed for bankruptcy.

(Photo: Photo by OLIVIER DOULIERY/AFP via Getty Images)
This stock photo shows a smartphone screen displaying the logo of FTX, the crypto exchange platform, with a screen showing the FTX website in the background in Arlington, Virginia on February 10, 2022. – Sam Bankman-Fried donned a suit and tie this week, leaving his preferred hoodie and dark T-shirt for a US Senator hearing.

Also Read: FTX Update: Sam Bankman-Fried’s stock market crash wipes out his $16 billion fortune

Following several reports, FTX warned users to avoid installing app upgrades via their official Telegram account. The company even said that consumers must delete their applications.

“FTX has been hacked. FTX apps are malware. Delete them. Chat is open. Do not access the FTX website as it may download trojans,” said an FTX account administrator.

Affected cryptocurrencies include Solana, Binance Smart Chain tokens, as well as Ethereum tokens. Officials said these digital coins were transferred to decentralized exchanges, such as 1 inch.

FTX is now investigating the breach

FTX General Counsel Ryne Miller said, via his official Twitter accountthat they are already investigating the alleged security hack.

He announced that FTX US and FTX are both taking precautionary steps to transfer all of their digital assets to cold storage.

The official further stated that they are already speeding up processes to reduce damage.

In the comments section, some Twitter users shared their opinions. One of them even believed that the breach is an inside job.

Since FTX is still investigating the alleged hack, if you are among the concerned users, the best thing to do is to wait for the company’s further announcements.

You can check his official Twitter post below to see more details.

After the Chapter 11 bankruptcy filings – FTX US and FTX [dot] com initiated precautionary measures to move all digital assets to cold storage. The process was sped up tonight – to reduce damage from observing unauthorized transactions.

— Ryne Miller (@_Ryne_Miller) 12 November 2022