FTX Fixes Claims Portal With New Security Mechanisms Post Exploit

• Kroll has guaranteed that neither FTX passwords nor KYC information were exposed.
• FTX has verified that new security mechanisms have been implemented.

After a serious cyberattack, FTX has finally fixed its claims site. Kroll, FTX’s third-party agency managing creditor claims, was the planned victim. However, FTX responded quickly, freezing impacted user accounts as a preventative action to guarantee the safety of its customers.

Interestingly, a technique known as “SIM swapping” was the root of the security flaw. Information on BlockFi, FTX, and Genesis claimants was compromised in this assault. In spite of this disturbing fact, Kroll has guaranteed that neither FTX passwords nor KYC information were exposed.

In addition, FTX has made it known that it plans to improve safety. FTX has verified that new security mechanisms have been implemented now that the portal is live. Users might feel more at ease when using the system.

Liquidation Likely

In addition to the safety measures, Delaware District Judge John Dorsey’s permission has been drawing a lot of attention. By doing so, FTX may liquidate a significant percentage of its crypto holdings—likely in the billions—to pay back its debtors.

A financial adviser is designated in the authorized plan to manage token sales. The result is a weekly limit of $100 million for the vast majority of coins. Token per token basis, the limit might be raised to $200 million. In addition, the U.S. Trustee’s office must be notified 10 days in advance of any Bitcoin or Ether transactions.

Additionally, FTX intends to hedge Bitcoin and Ether to protect against the volatile crypto market. This tactical shift has been made to mitigate the effects of price volatility on sales revenues. 

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