FTX Is Investigating a Potential Hack Amid Bankruptcy Filing

A hacker or group of hackers appears to have attempted to steal $400 million of customer funds from the cryptocurrency exchange FTX as the platform grapples with its bankruptcy, alongside widening questions about its business practices.

  • WALL STREET JOURNAL – Bankrupt cryptocurrency exchange FTX is probing a potential hack and asked customers to stay off the FTX website, the company said. More than $400 million worth of crypto funds appears to be missing, according to crypto analytics firm Elliptic Enterprises Ltd. 
  • AXIOS – Many consumers, companies and crypto projects have their funds trapped on the exchange while bankruptcy proceedings begin. They are anxiously waiting to see how much they will get back, and how soon.
  • DECRYPT – The exodus, all visible on blockchain tracker Etherscan, totaled around $650 million according to pseudonymous blockchain sleuth ZachXBT, widely trusted by the DeFi community.
  • FOX BUSINESS – Reuters, citing two people familiar with the matter, reported that at least $1 billion of customer funds had disappeared and that people told the news outlet that Bankman-Fried had secretly transferred $10 billion of customer funds from FTX to his trading company Alameda Research.