An administrator first commented on FTX’s official channel, alleging that the cryptocurrency exchange had been hacked, and that “all assets seem to be gone.”
An administrator on FTX’s official Telegram channel said that the troubled cryptocurrency exchange may have had all of its cash stolen. On Friday, a message was issued that read “FTX has been compromised. All monies seem to be depleted.” This remark has now been deleted from the message, which now claims that “some funds were recovered.”
Moreover, the administrator said that the FTX mobile application and website were infiltrated and may download malware and Trojan infections onto users’ devices.
There may be “abnormalities with wallet movements due to the aggregation of FTX accounts across exchanges – uncertain facts as other moves are ambiguous,” FTX’s official Twitter account retweeted.
Since then, FTX US General Counsel Ryne Miller has clarified that both FTX and FTX.US relocated any remaining client monies to cold storage, tweeting: “Following the Chapter 11 bankruptcy filings, FTX US and FTX [dot] com took precautionary measures to move all digital assets to cold storage.” They said that “the procedure was accelerated this evening in an effort to limit the harm caused by the discovery of fraudulent transactions.”
Following rumours that more than $400 million was transferred from FTX accounts to a single wallet address.
This week, the fall of FTX shook the crypto industry, culminating in the company filing for Chapter 11 bankruptcy protection and the removal of CEO Sam Bankman-Fried.
Also Read: Dollar Index (DXY) Parabolic Rise Fails Due To Falling US Inflation
Wallets