- FTX has agreed to pay $6 million in compensation to its affected account holders.
- Bankman-Fried emphasized that this was a one-time consideration.
- Several cryptocurrency traders sustained significant losses due to a hack.
Crypto exchange platform FTX has agreed to pay $6 million in compensation to its affected account holders impacted by a phishing incident via a third-party website.
Sam Bankman-Fried, the CEO of FTX made the official announcement on Twitter:
Bankman-Fried emphasized that this was a one-time consideration and won’t be “making a habit” of compensating preys caught up in phishing efforts that target non-FTX websites.
In related news, a security alert was issued by the crypto trading bot provider 3Commas after it identified unauthorized purchases of DMG crypto pairs on the FTX exchange using certain API keys.
On Saturday, several crypto traders sustained significant losses as a result of hackers stealing digital assets valued at millions of dollars from their FTX accounts by abusing an API connected to the trading accounts.
Furthermore, several 3Commas-connected FTX users who received a notice stating that their API is “invalid” or “needs upgrading,” must generate new API keys. Commenting on this regard, 3Commas advised that:
It is possible your API details were compromised and FTX has deleted the API key
Preliminary investigations reveal that fake websites posing as 3Commas were being utilized to steal API keys when customers linked their FTX accounts. Later, the unlawful DMG trades were carried out using the FTX API keys.
The team of 3Commas further added:
To reiterate and clarify, there has been no breach of either 3Commas account security databases or API keys. This is an issue that has affected multiple users who have never been customers of 3Commas so there is no possibility that it is a leak of API keys originating from 3Commas
Following the incident, FTX and 3Commas discovered suspicious accounts based on user activity and suspended the API keys to stop additional losses.
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