In this illustration, the FTX website is seen on a computer on November 10, 2022 in Atlanta, Georgia. Binance, the world’s largest cryptocurrency company, has agreed to acquire FTX, another major crypto exchange, in a rush sale aimed at preventing a liquidity crunch, dubbed “Lehman Moment.” in the cryptocurrency industry.
Michael M.Santiago | beautiful pictures
Crashed crypto exchange FTX said on Saturday that it is moving funds into offline storage after a series of “unauthorized transactions,” with analysts saying assets are worth millions of dollars. has been withdrawn from the platform.
FTX US general counsel, Ryne Miller, said in a tweet on Saturday that the exchange is speeding up the process of moving all digital assets into cold storage “to minimize the damage observed by unauthorized transactions.”
Cold storage refers to cryptocurrency wallets that are not connected to the internet as a precaution against hackers.
Late Friday, Miller tweeted that he is “investigating irregularities with wallet movements related to the consolidation of FTX balances across exchanges.”
Figures from Singapore-based analytics firm Nansen show a one-day net inflow from FTX of around $266 million, of which FTX US alone withdrew $73 million.
FTX did not respond to Reuters’ request for comment.
Sam Bankman-Fried, co-founder and chief executive officer of FTX, in Hong Kong, China, on Tuesday, May 11, 2021.
Lam Y Than | Bloomberg | beautiful pictures
In the wake of Miller’s tweets, FTX officials appeared to confirm rumors of a hack on the company’s Telegram channel, according to a CoinDesk report that said the exchange instructed customers to delete the apps. FTX and avoid their website.
“FTX has been hacked,” an account administrator on the FTX Support Telegram channel wrote in a statement, according to CoinDesk.
Reuters could not immediately verify the details posted on FTX’s private Telegram channel.
FTX, the cryptocurrency exchange arm of Alameda Research, and about 130 of its other firms have filed for bankruptcy protection from creditors in Delaware, FTX said Friday.
Struggling crypto trading platform has struggled to raise billions of dollars as traders withdraw $6 billion in crypto tokens from the platform in just 72 hours and rival exchanges Binance dropped a proposed rescue deal this week.
