Hackers Breach Personal Data of 58,000 Customers of Bitcoin ATM Operator Byte Federal
A recent cyberattack has exposed the personal information of over 58,000 customers of Byte Federal, a prominent Bitcoin ATM operator based in the United States.
The breach, which occurred on September 30, was the result of hackers exploiting a vulnerability in GitLab, a third-party project management software used by Byte Federal. This allowed the attackers to compromise a server and access sensitive customer data.
The compromised information includes names, addresses, phone numbers, government-issued IDs, Social Security numbers, transaction history, and user photographs. While no funds were stolen, Byte Federal has advised all customers to reset their login credentials as a precautionary measure. Additionally, the company has performed a hard reset on all customer accounts to enhance security.
Following the breach, Byte Federal is collaborating with a cybersecurity team to investigate the incident and identify the root cause. Despite the security lapse, the company has reassured customers that there is currently no evidence of the leaked data being misused.
Byte Federal, currently ranked as the eighth largest Bitcoin ATM operator in the US, operates 1,387 machines nationwide. However, the company is also facing legal challenges, including a trademark infringement lawsuit filed by Bitcoin Depot, a prominent competitor in the crypto ATM market.
Concerns surrounding cryptocurrency ATMs have been mounting globally, with regulators in Australia, the United Kingdom, and Germany issuing warnings about the potential risks associated with these machines. Authorities have ramped up oversight and enforcement actions against unlicensed operators to curb illicit activities facilitated by cryptocurrency ATMs.
As the investigation into the cyber breach continues, Byte Federal remains committed to safeguarding customer data and enhancing security measures to prevent future incidents.