FTX Reports $415m Cryptocurrency Heist

FTX, a cryptocurrency exchange currently facing bankruptcy, has announced that hackers have stolen $415 million worth of digital currency from the platform. The firm disclosed this information to its customers and stakeholders in a recent statement.

Assets Identified

Despite the theft, FTX revealed that they have identified $5.5 billion in liquid assets. This includes $1.7 billion in cash, $3.5 billion in crypto assets, and $0.3 billion in securities. However, $323 million from FTX.com and $90 million from the FTX US exchange were taken through unauthorized third-party transfers after the firm filed for chapter 11 bankruptcy on November 11, 2022.

Additional Losses

On top of the $415 million heist, an additional $2 million was also reported stolen from Alameda Research, a sister firm and crypto trader/hedge fund co-founded by FTX’s Sam Bankman-Fried. It is unclear if this theft is related to the $477 million stolen from FTX prior to the firm’s collapse.

Criminal Charges

In December, criminal charges were unveiled against Bankman-Fried, including conspiracy to commit wire fraud, commodities fraud, securities fraud, money laundering, and campaign finance violations. These charges carry a maximum jail term of over 100 years.

Expert Opinion

Ilia Kolochenko, founder of ImmuniWeb, cautioned against jumping to conclusions about the cause of the $415 million heist. He suggested that a thorough investigation by a reputable cybersecurity firm is necessary to determine whether the theft was due to external hackers, internal embezzlement, or a combination of both.

As the investigation unfolds, the cryptocurrency community awaits more information on the circumstances surrounding the significant losses suffered by FTX and its affiliated entities.