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Crime and Investigations

$400 Million Allegedly Stolen From FTX

$400 Million Allegedly Stolen From FTX

More than $600 million in cryptocurrency left the wallets of bankrupt crypto company FTX late Friday, with no clear explanation as to why.

As users began reporting sudden drops in balances to $0, and analysts began tracking millions of dollars that appeared to be exiting the exchange, FTX general counsel Ryne Miller posted a statement on the company’s Telegram channel.

“FTX was hacked. The chat is open. Do not go to the FTX website as you may download Trojans. Note that some funds have been withdrawn.”

Miller also posted a statement on Twitter:

“We are investigating anomalies with the movement of funds related to FTX consolidating balances on various exchanges […] We will share more information as soon as we have it.”

On Twitter, members of the cryptocurrency community immediately suggested that the funds had been siphoned off in some sort of attack, pointing to the fact that some of the transactions appeared to include notes containing obscene jokes and insults directed at FTX founder Sam Bankman-Fried as evidence.

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Others have speculated that the leaks may have been coordinated by a member of Bankman-Fried’s inner circle, pointing out that the simultaneous and sophisticated hacking attacks on FTX and FTX US are indicative of a potential inside job.

So far, blockchain analyst ZachXBT has pegged the amount of cryptocurrency in circulation at $383 million.

ZachXBT also said that stablecoin issuer Tether has blacklisted portions of USDT linked to the address involved in the transfers, which Etherscan has now labeled the “FTX Accounts Drainer.”

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

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