Floating Point Group Halts Services After Loosing Up to $20M in Hack
The cryptocurrency brokerage firm, Floating Point Group (FPG) has suspended all activities on its platform, including trading, withdrawals, and deposits, following a cyberattack on June 11 that resulted in an estimated l...
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The cryptocurrency brokerage firm, Floating Point Group (FPG) has suspended all activities on its platform, including trading, withdrawals, and deposits, following a cyberattack on June 11 that resulted in an estimated loss of between $15 million to $20 million.
Floating Point Group Hacked
The confirmation by the platform was publicised today (Thursday) through a tweet. The crypto brokerage platform locked all third-party accounts and migrated wallets upon the discovery of the breach. Trading, withdrawals, and deposits were suspended as a consecutive step and considered “an abundance of caution.” It further highlighted that the segregated accounts on its platform had limited the impact of the attack.
2/5 Our account segregation limited the overall impact of the attack. We have ceased trading, deposits, and withdrawals, out of an abundance of caution. Finally, we have notified law enforcement and are actively cooperating with them on this matter.
— Floating Point Group (@fpgcrypto) June 14, 2023Floating Point Group operates internationally and enables its institutional clients to access the cryptocurrency markets. The company and its clients have $50 billion in assets, according to the FPG website.
Also, the brokerage took steps against safeguarding from hacks and breaches by obtaining the SOC 2 certification last December, which came after a consultation with cybersecurity firm Prescient Auditors. The SOC 2 certification ensures the overall safety of the company’s internal data controls.
Investigation Is Ongoing
The platform is now investigating the security breach. On top of that, it has approached US law enforcement agencies, including the Federal Bureau of Investigation, the Department of Homeland Security, as well as regulators.
“As this is an ongoing investigation with law enforcement, we cannot share specifics at this time,” FPG stated in one of the tweets.
“We will provide updates as they become available. Right now, we are working around the clock to investigate this incident, ensure the security of our systems, and recover assets.”
5/5 We will provide updates as they become available. Right now we are working around the clock to investigate this incident, ensure the security of our systems, and recover assets.
— Floating Point Group (@fpgcrypto) June 14, 2023 This article was written by Arnab Shome at www.financemagnates.com.Why this matters
This security story adds another data point to the current market tape and is useful when read alongside nearby source coverage.
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