Cryptocurrency platform FTX victim of “unauthorized” transactions

This content was published on November 12, 2022 – 19:49
November 12 2022 – 19:49

(AFP)

Crypto exchange FTX has been the victim of “unauthorized” transactions, an executive of crypto exchange FTX said Saturday, a day after the industry’s major player went bankrupt and founder Sam Bankman-Fried resigned.

Ryne Miller, Legal Director of FTX, said on his Twitter account that “unauthorized transactions” were observed.

After filing for bankruptcy protection on Friday, FTX took “precautionary measures to move all digital assets into cold storage,” which means an online cryptocurrency storage bank, she said.

“The process has been accelerated (Friday night) to mitigate the damage by monitoring unauthorized transactions,” he said.

Late Friday Miller had reported an “investigation of anomalies in portfolio movements related to consolidation of currency balances between exchanges,” referring to “unclear events and movements.”

FTX, which until 10 days ago was considered the second largest cryptocurrency platform in the world and was valued at about 32 thousand million dollars, was hit by a lightning disaster.

The company, in a week-long crisis, was voluntarily placed under Chapter 11 protection of the US Bankruptcy Code on Friday. Its founder, 30-year-old Sam Bankman-Fried, resigned and was succeeded by John J. Ray III.