Topic: FTX has been hacked, delete the app, don't go to website (Read 899 times)

In a new episode of this crazy FTX drama, the hacker was "ordered by the Bahamian government".


So the government hacked and confiscate exchange funds. Well, it is strange to see a government doing something illegal. On the other hand, funds are safer in anyone's hand but FTX.

Certainly, the blockchain is decentralized and Bitcoin is decentralized as well, but unfortunately there is no complete independence, meaning we need third-party services necessary to exchange bitcoins for dollars, how can you convert bitcoins to dollars without third-party services? From here comes centralization and control by exchanges and governments.
Unless there is a real independence of Bitcoin as a payment method i.e. 1BTC=1BTC not 1BTC=×××××$ there will be no complete decentralization and we will remain subject to the terms of the third party.

Centralization is not about the price, or even the control of the coins neither, it’s about control over the blockchain. It means that we shouldn't be really considering this as a threat since that won't happen. Sure there could be some situations where we let our coins be controlled by these exchanges, or we let the price be moving up or down based on what Elon says etc etc.

But at the end of the day, blockchain itself is decentralized and that’s all that matters for the safety, security and the future of bitcoin. This is why I believe that there are not that many people going against the idea of decentralization and if all understands the true decentralization, they wouldn't worry about FTX situation.

The most coincidental case is that I just watched a movie that was documented last year about a big fintech that pretended to have been hacked and the account balances of its customers were set to zero. But to my dismay, the purported monies stolen were actually stolen by the company's CEO himself. It was all a well-planned job by the CEO's hacker daughter that was just used by her father without knowing the intention of the father.

In light of this, Sam Bankman-Fried can't be exonerated in this case. But he would also be so dumb to engage in such acts. The trust would surely be revealed over time.

Always remember that if you trust someone else with your crypto and hope to earn an interest on your holdings, you are always going to be taking a risk on the potential of an interest earned. Nothing is for free in this world and that is what most staking is all about and that is what real physical banks are all about. The difference is that the latter is regulated and have gone through many decades of stress test vs crypto.

A much better idea to hold BTC (only btc) in your own private wallet and wait/pray/hope that it appreciates in value as the number iin circulation drops.

I just heard from the best friend of a member of my family that they were affected by FTX too. These were people employed in Malaysia (had no idea). Actually met them in the summer when they told me they were working in crypto too, very good company, very good job, somehow slipped my consciousness if they actually mentioned FTX.

Spectacular fallout with the staff is what I'm hearing. Losing their jobs overnight is one thing, but most of them actually kept their money/crypto savings with FTX and can't touch it now. I almost regret now not advising them when we met about "not your keys" but I did mention not to trust companies to take care of you (crypto or otherwise), but I'd long ago stopped trying to tell people they didn't really have BTC if they bought it and it lives in some app.

They're younger than me, and new to crypto, this is a hard lesson to swallow for anyone, really feel bad for people who got in like this.

Something tells me when they uproot this whole mess, there will be plenty of other unforeseen exposures.

im surprised no ones yet using the name
'scam bankman fraud'
to explain the guy that owned FTX.. seems a obvious moniker for him

its coming to light now that although FTX was well advertised (US football stadiums) shilled youtube influencers and the likes. FTX was not popular in regards to numbers of customers

what is being found out is FTX was not widely used by the same customer numbers as coinbase/binance customer account numbers.. but instead that it was large institutional whales invested in FTX
big Names not big numbers

though even at say $15billion loss. a total of 1.2m users is not that much in average value per user, its just $12.5k each
or the more plausible amount of 100k whales is $150k each

...
as for "the hack". i see more of a "lets retire and say someone else stole the funds"
the "dont use our website or app" i see as more of a 'stop doing a bank run" scare tactic for those trying to access their accounts to withdraw
and account access denied as "it was the hack not us"

...
well the future now is 'scam bankman fraud' may have escaped the bankruptcy legal liability when he resigned(bureaucracy of write offs of fiat liability). but it seems he has not escaped the unlawful criminal fraud his business is being investigated for

news of a "hack" is just the sideshow. 'scam bankman fraud' has alot of questions to answer to about HIS activities prior to resignation

The latest news is that around 15.49 trillion customer funds have disappeared on the FTX exchange. On the other hand, we need to be aware of this case of losing money. Personally, I'm not really sure this happened without insider involvement, as their connections have been quite large since FTX started being acquired by Binance.

Even US regulators are starting to investigate FTX regarding cases of misuse of customer funds, it is almost certain that FTX will go bankrupt if this problem starts to develop. Don't go to FTX website anymore and uninstall all FTX apps, it's much better and keeps us all safe.

Pretty much this.  Although there are limits to my optimism when it comes to human greed and laziness.  No matter how bad exchanges get, I'm sure some determined idiots will continue to put themselves at risk by relinquishing ownership of their BTC.  People seem to have little to no concept that "deposit" means "hand over to a total stranger and you may never see it again".  I wonder how many people would still do it if it was worded in such a way.

It's a shame to really let "once" a good app like that go. I checked mine as soon as I made that post to see what's gwan with the app. It didn't load and I let it be. Now that I read your post I had to force myself to reality and then delete it. As for the allegation of FTX assessing customers funds linked with their bank accounts, that will really be the height of criminality.

These incidents have become really disgusting, we are moving towards centralization little by little because we moved towards third-party services and lost decentralization and the goal of inventing Bitcoin (creating a peer-to-peer payment method without a third party), our money will not be safe anymore because it is not in our hands, our money in The truth is in the hands of a third party who can simply delete, block or freeze our balance.
This is another big lesson that should make us not trust any third party services and hold Bitcoin in our secure wallets whose keys we own, because it has been proven that there is no secure central exchange and not even a secure coin except Bitcoin.

This is just a simple step to take care of your money because these guys if they are hit with a huge blow such as this one, won't really care about their users anymore and they simply just turn away from them without even giving any serious remedy about it. I'm sure they are behind this hack and whatever plan they have right now, I'm sure their users are prone to lose more money. This is a serious matter for the FTX users, they should really get their funds and move them to the safest personal wallets they have or else they might gonna lose for they will be the next target.

What a collosal mess. I find it strange that this stuff happened when the market was rallying recently after a decent amount of time. FTX screwed themselves and the crypto market along with them.

Personally, I never used FTX(Thankfully) since I usually use Binance and LBC. These incidents chase away investors and cast dark shadows on the entire crypto market sadly.

These incidents prove the fact that it's always better to store your crypto in reliable wallets when compared to storing them in exchanges.

Fine. Let them be regulated. Let regulators shut down as many as possible and let the ones which still exist stop printing fake tokens out of thin air and running fractional reserve scams. Centralized exchanges have leeched off of bitcoin for long enough. I don't care if every single one of them ends up being regulated in to oblivion at this point. I've never used one anyway.

The worse centralized exchanges become, the more users who will start to use bitcoin as it was intended - peer to peer, without trusting any third parties.

No, but I'll tell you what I can verify - the bitcoin in my own wallets. Impossible to verify anything with a centralized exchange. If people had bothered to verify that they actually own bitcoin and not a worthless IOU from a centralized exchange, then they wouldn't be worried about verifying the source of information about exchanges being hacked.

This seems to be the open scam by the self management. I am sure about it as FTX has been hacked and chat is open indicate their dual personality i cant trust any Centralized exchange for trading now. Dear friends make sure to never hold your funds on any Centralized exchange for a long time period.

They’re not reliable anymore, that’s the point. You can only cross-check many different sources to make a good guess, with uncertainty remaining.

I did.

Not in this context. The exchange was already exposed for scamming, getting bankrupt and then being drained either trough hackers/ or the people in charge. Then also illegitimately accessing users' bank accounts. This isn’t proper working of an exchange, there’s no point in trying to use it again. This isn’t the same situation as a bridge being hacked for example, it’s a completely different case that affects the whole exchange.

What the OP was referring to was originally from an FTX admin in their official telegram group, not some social media heresy. OP did everything right to spread this news fast, even if we can’t exactly know what’s really the case yet. But time matters in this context.

Countless people have lost a lot of money because of it, but I'd say it's going to happen, it's unavoidable. The next one may be WON or QNP. We can only be careful. Watch for their changes. Some may gain, but most lose.

You're right, but we can't challenge the fact that we plebs who trade with small account sizes, and them whales who trade with large account sizes need centralized exchanges, AND trust is obviously VERY important. What kind of sector would cryptocurrencies be in the financial world if none of these exchanges are trustworthy? It will be bad for growth, and it will also be very bad for adoption.

Plus tin-foil hats on. Is FTX itself spreading FUD/misinformation to make all of their ex-users delete the app = delete evidence?

A very likely possibility they are trying to cover their footsteps with this hack kind of thing that they spread the word hack and get funds themselves with all this whole distrubance in the market about FTX.But for your safety don't install the app as along with losing funds you might be prone to data breach as well so be on safer side to uninstall and don't get involved with FTX at all.

Can you verify everything yourself? Definitely no, you might need third-party news to ascertain some things in certain situations, which was the reason for my reliable news outlets note. Also, make sure you know the full context of the subject you are replying to before doing so. Even the most hacked exchange still works properly when money is being stolen from it. Besides, did you not read the warnings from the OP that one should not open it for now to avoid trojan?

Exactly. For me, the official FTX Exchange still didn't release any statement that they have been hacked or funds are already gone.
I already can't open my FTX Exchange app, it just loads forever.
There are things that happen right now as Sam Bankman-Fried is rumored to have been arrested by some local authorities. I tend to wait for official announcements from other legit sources.

Nope, being exposed that executives/CEO of it have misused its funds was the first thing that has happened. And this hack just added pressure and more damage to what has been made.
Speculations are telling that they've just done an inside job so that they can still get sympathy from the community. But the thing is, they can no longer do anything with it. They've filed bankruptcy and that will never change and those that still have funds in there, it's unlikely they can get the whole thing. Lucky if they get a portion of it.

This shouldn't be a hack in my opinion because it's too close to their case, whether this is intentional or not but the impression is that FTX wants to wash their hands from their case

deleting the application and not opening the web is currently the best choice because to avoid, forget for a moment the assets that cannot be withdrawn from FTX for a while

It declared bankruptcy and then got hacked the next day.  Funny isn't it?  Most of us here shout an inside job but well, who knows...  The hacking incident cannot be used as a defense of why the exchange goes bankrupt.  It may be considered as one of the reasons to delay payments of clients but well, I still think the hacking incident is suspicious. 


I think the bankruptcy and closure of FTX won't pose a problem if we:

1.  Don't keep our coins in their exchange.
2.  Did not buy or invest in their FTT token.

So using exchanges as it was intended won't become worrisome because we only send the crypto we are to exchange and withdraw the funds when we are done.  It becomes worrisome if we use it beyond its purpose.

How about verifying information yourself, instead of relying on yet another middleman that wont serve you truth when it’s uncomfortable.

They also dont make much sense economically in the first place. In theory given enough time in a free market, the currency with the best monetary properties should come out as winner - theres no logical place for hypertokenization, as theres no need for people to keep value in worse currencies (except to speculate). In practice the market is never completely free because of regulation, so governments can force shitty currencies into circulation (still no place for other shitcoins). When things go bad, its incentivising people to gamble away their money on whatever promises big return as purchasing power deteriorates. Sadly many newbies dont understand markets well and fall for these fallacies again and again, not realising theyre just temporary + promoted ponzies.

And you know what? It is likely they are going to succeed and even more regulation will come to the exchanges, however what can be done about it when they are obviously mismanaging or outright stealing the funds of their customers? It is because of this the community has always warned against centralized services, but people simply do not learn their lesson and they keep making the same mistake over and over again, and unfortunately even with the collapse of FTX many people will still keep their coins at centralized exchanges.

Seems I was right, and FTX has started accessing users' bank accounts illegitimately: http://nitter.it/mikemcg0/status/1591477400634023938
All FTX users need to revoke access ASAP.

I wouldn't risk it. Uninstall the app and scan your phone for malware. In all likelihood it's not going to be functional going forward anyway.

Good. You were never supposed to trust them in the first place.

Because they're toxic, if not poison, as said. Complete lack of utility of a token (besides being fundamentally speculative) means it's in the boundaries of fraud.

According to them, they went bankrupt, and then got hacked. Whatever the sense that makes.

It can be said that the FTX exchange has taken the hearts of many customers to do their daily trading here as well as many who have kept money for a long time, we know they have offered many promotions before this incident even those who hold FTT tokens get special here of course many are tempted and make long-term holdings because of the offer, the fact is that we will no longer trust centralized exchanges even though Binance and other exchanges are still safe it can no longer be trusted to store money there.

Well, someone already thought that it seems that this scenario was calculated long before the time, this is according to some on twitter media that I know, so their plan was ripe and in the end it became a whole mass panic until bitcoin came along fall because a lot of money is wasted in this market certainly affects on a large scale.

This is becoming a bit worrisome doing business with all this centralized exchanges , Basically for all the day traders trading in these platforms not just only for people that store crypto in this exchanges. honestly non of these exchanges are to be trusted anymore even Binance to be precise, no one knows the one that the exchange is cooking up in the future.

In my general view of this recent events, seem to me that this is actually like a game plan (calcuted action) in order to cause mass panic and in order for investors to start yelling for the regulation of cryptos.

the feeling and opinion. is that SBF is saying that it got hacked to mitigate/delay/avoid liability of the losses the company has by pretending an outsider took the funds.. (essentially.. the funds were fine under his management but suddenly disappeared when he was not ceo(too convenient to be true though))

however its sounding more like SBF and other founders mis-apropriated funds over the years themselves...

the "story" is that hackers have access to the front end services of the user login pages and apps. so if users go to website or update app software the app/website supposedly meant to allow hackers access to users funds to steal it..

i call it a story because it sounds more like an excuse of "please dont log in" meaning "dont come to us trying to withdraw your funds
as a means of detering users from doing a bank run on the exchange to try to get their funds out

What exactly happened to Ftx exchange? Was it hacked before knowing it went backrupt or went bankrupt and got hacked of whatever little coins that had reminded in their wallets?? And from this message coming from support are they saying hackers got access to the main exchange wallet using its clients mobile wallets, if this is their story of defense it can't hold!

If I'm correct, I have seen a thread here on the forum that the FTX tracking app isn't working. I instantly checked as I had the app installed, I was also having the same issue as the author of that thread claimed. Check yours too, it won't work for you too.
Edit- got it, here you go- Blockfolio is Gone

I used to love FTX to be honest but that SBF dude was somewhat shady to me from the beginning when I first saw his interview with NAS Daily because he wanted to show up himself on that video lol.

I'll say tokens are double edge sword, some may experience profit when it still pumping, but most experience its sharpness when it is in the process of dumping most of the time.

Tokens are toxic, poison even.

But they become lethal when some company props them up to a high valuation. Because then that token's failure will wreak havoc on everyone who deals with the company.

I've the FTX tracking app I use to keep my portfolio in check. I hope the alleged malware doesn't affect it, anyway. In all honesty, I was sympathetic to SBF when the news first broke that his exchange was having financial crisis but with what's emanating now I'm beginning to think that dude is a criminal. If truly there's a hack, he's more likely the arrowhead. To even think he was reported to have used investors funds for stocks which crashed and led to his exposure, and now this hack. Dude is not clean whichever way we want to look at it.

Help me understand the mindset here.  What makes an exchange "great"?  I could argue it's not great because... well, look at the situation you find yourself in.  But you seem to have developed an emotional attachment to this particular service.  How did that happen?  And if the funds were recovered, would you continue to use the service if you had the option?  I'm pretty sure you won't have the option, but hypothetically?  I just don't get it, personally.  

This news has spread all over the media and you are right in saying that we don't know the true cause of what happened. Maybe this is a hacker attack (and this is a coincidence with the moment of the collapse of the exchange. ha, I almost believed it), or maybe the owner or the project team is trying to hide part of the funds (I would have believed it more). Against this background, claims of malware in the app and website look like fake (to me) to scare users away and buy time to withdraw money from the exchange. Too many suspicious coincidences.

The bad thing is that the consequences of these events will reverberate throughout the crypto industry for a long time to come, as has happened more than once before. Have you already noticed the change in the price of btc?

"hacked" yea right...
The original hack was a backdoor implanted by SBF that allowed him to move funds from FTX to Alameda without affecting the balance sheet. Remember that South Park meme where a bank employee says "and it's gone"? That's exactly what was happening to the coins you were depositing on FTX for many months but nobody knew about it. SBF controlled all the funds and I hope he gets all his and his family's money taken away for this. Unfortunately it took the liquidators about 6 years to count and sell Mt Gox assets so if you had something stuck on FTX you'll maybe get it back in 2030.

At least we can learn on other people's mistakes. Once again Novogratz is proving to the world how dumb he is. First Luna tattoo and investing in Do Kwon who run away with the money, now he says he lost 5% of all his money on FTX.
Not your keys not your bitcoins.

from what im gathering..

FTX had a token called FTT which alameda had ALOT (multiple $billions of value) which meant that alameda also meant to have bank account fiat to back up those tokens

so although customers put fiat deposits into FTX exchange. the conversion to FTT token meant the bank account fiat moved to alemeda to back the token

however alameda is supposedly (the speculation rumour) used that bank account fiat for alameda/FTX business plans and not kept it as reserves for customers to back the FTT token

this is why CZ pulled out and sold his stake in FTX because CZ paid using the FTT token which CZ found to be now fractional reserved/lost its peg due to not having the fiat to back the token. due to FTX/alameda spending the reserves on other business plans

..
but thats a fight for the fiat stuff of bankruptcy legal bureaucracy. which seems to be leading to unlawful criminal charges.

to me the fiat losses and shuffling is just side drama of fiat society stuff..

i personally want to know about the crypto custodial/reserves SBF handled, and where over the years they have shuffled around, and where they are right now
where by i want to know how much some secret entity(SBF or a partner has secret retirement fund keys) might be holding a big bag of crypto away from authorities to throw around in later years,, which would affect the crypto markets/industries long after the bankruptcy criminal actions of fiat have blown away in the wind of history

As far as I know FTX and FTX.us are two separate exchanges and have different headquarters and different servers, it's no coincidence that both exchanges were hacked at the same time. Only the insider and I think the head, he is the one who holds all the assets of the company, only he has the ability to create an attack on his own company. He will have to receive retribution for sabotaging Luna and other projects before. CZ did the right thing.

To me it does. I think it's Sam that's behind all of this including the "hack" that happened like a day after he stepped down as CEO.


I don't know how many of you already know about this, but there's a rumor the CEO of Alameda Caroline Ellison (who was Sam's girlfriend) was given 10 bn USD by Sam and some of that money was used to attack other exchanges and tokens. The money was used to attack Binance futures exchange and also to crash LUNA. Each of these attacks costed them a lot of money which is why so much f the users funds is missing from the exchange.

IMO we got ourselves the greatest villain of crypto since Karpeles.

when it comes to crypto. crypto does not just disapear off blockchains. and so users that deposit crypto but dont swap it for non crypto(fiat/non blockchain tokens) their crypto should be reserved and held and returned 1:1
by users not being able to get back their crypto is bad and can involve unlawful/criminal reasons why those cryptos are gone

he could be speaking to them about giving evidence/proof of "hack" meaning he is a witness/victim giving evidence of an outside crime.. or the authorities could be looking at him as a suspect of insider fraud

we dont know yet so its speculation..

anyways
legally(contract/finance(punishment:fines/restrictions)
he sidestepped liability of personal bankruptcy and having to be limited in his future business practices by stepping back as CEO and putting a fall guy in when filing bankruptcy. (captain did not go down with the ship)

however
lawfully(criminal(punishment: probation/prison))
he could be done for fraud or theft if authorities can prove he wronged his customers outside of the terms/conditions of user agreements and where he crossed the lines of tax law or accounting law

i never seen him as altruistic. he was a liquidator. yes for a 30yo he had a savvi business mind about some of the loopholes and methods to gain assets
even things like saying "dont use the app, dont use the site" is savvi way to stop a bank run by getting users to not go to the site (if there was no real hack but just insider shuffling of assets)
...

many businesses think if they throw in the word "investment company" they can get away with users losing their value. but this is about the exchange market orders of the users swapping at bad value and not able to trade back later at better value. where the market is not at fault for users decisions to trade badly

however as a custodian (holder) of users assets not traded. those assets  should not have moved/lost.

I don't believe almost everything I read on social media because they are heresies, they are not worth acting upon decisively. So the OP is telling me that FTX could have let down its guard as totally as this, and would not be able to reclaim its site and apps again to the extent that all money is gone? To where? Such has never happened before to such a big company before, the worse is for the hackers to steal a certain amount, that's all.

This is yet another social media nonsense, which is why I only rely on what I read from reliable news outlets.

Good point. Thinking of it, they could even frame another FTX employee that they know has Kraken account and has access to everything needed, which would make him an obvious target.

doesn't this sound like a deliberate hack by an FTX insider? and they told me to delete the app and then run away. however, this hack sounds too coincidental. The news is currently circulating on social media.
they now look like criminals.

Remember that the person/people who pulled off this inside job had access to everything belonging to FTX - wallets, private keys, servers, websites, apps, source code, the lot. They would certainly have had access to transaction histories, and so could simply have picked the Kraken account of an unsuspecting FTX user to send some of the stolen funds to in order to throw people off the scent. And they could well have also had access to FTX's collected KYC data, meaning they could have used that data at any time in the past to open a Kraken account in someone else's name. Or they could just have bought some of the many many users' KYC data which is up for sale on the darknet.

It's too early to assume that whomever this Kraken account belongs to is the main culprit or indeed is actually involved at all.

In an industry that has become synonymous with scams and hacking, this latest FTX hacking incident is not anymore a big surprise to me and can even be just its natural progression as everybody on the FTX ship have been jumping from the platform. They decided that why not take some assets that they can salvaged but because the platform is now closed so nobody can be making any withdrawal the best option is to hack it from the inside out. I am looking forward for a more dramatic legal battle ahead to recover some of the hacked funds and to make those people responsible with this big mess accountable with the law. We don't need special laws to cover what SBF and his minions did...laws on stealing can easily take them.

I heard the news and saw that over three million dollars had been taken from it. But I believe millions and nine billion dollars have been taken out of there. But I'll hold their team management to account here. Maybe they did this politics not to be here. Due to which all the members of this team have removed all the money together. But please delete the app and website account very quickly. If there is money taken, remove it quickly and stay in save position.

In the face of this blackout about what happened, the incident caused a general state of panic among users, and they actually started asking questions about the integrity of trading platforms in general. There are many parties that publish information about Binance's relationship with what happened, and that it, too, can go bankrupt overnight.
The sharp decline in cryptocurrency prices further confirms these concerns among users.

Good call, I deleted it 2 days ago too. It's a shame what happened to this company, but that's normal if it's operated by clowns.

Just as I have always said, there is no hack without the aid of an insider who will leave the back end open for access, this one will not be different from all the previous incidents of exchange hacking in history, but just as we are advised to stay away from the site for now and also delete all softer that can connect your device to the exchange. I know when investigations are concluded the real fact will emerge and we can see the true picture of what transpired and how much is lost to this hack until then we can only feed on the assumptions of other speculators.

He's a person who have been donating a big part to the needy people. He lived simple lifestyle living in a shared appartment. He's portrayed as one among the best person in the cryptospace for what he have done to the community. Now this have changed completely and people are feeling bad. More than $600 million worth cryptocurrency have got hacked and transferred. No one is clear about the incident that happened with FTX.

I am still very confused why all these are happening ow that the exchange is I'm some shits. We can blame anyone now about the hack since we don't know how this started and how it will end. This is a great exchange and I think this news is really annoying and heart broken for the investors that has fund in the platform.
I still hope that all funds will be recovered if possible because this is one of the most annoying part when we talk about crypto exchanges and how they could be of importance when purchasing crypto.

I'm responding to the FTX story like it's a new drama from the owner of the FTX marketplace.
so I think the FTX market is making plays as if all the funds in it have been attacked by hackers.
Although everyone doesn't know for sure, stories like this date back to ancient times.

if indeed the FTX market was hit by a hacker attack why is it only now after the debate between binance and FTX? and I think this was all planned by the SBF

People on twitter are saying that Sam has been spotted speaking with authorities as of a couple hours ago. It seems like he may actually end up in jail. When you think about how he was donating so much money now it doesn’t make him seem like such a great guy. I don’t know what laws he broke exactly, but losing billions of dollars of other people’s money doesn’t make him seem as altruistic as he was being presented a few weeks ago.

Thanks for this information @OP, the FTX saga is one that have really shook the entire crypto community and market alike, and one that will go down in history and stay in people's lips for a considerable period of time.
I saw this news of the hack this morning and indeed, my hearts goes out to everyone out there that has been a victim of all this bruhaha in the industry.
In the end of it all, the only winners are those who keep to the golden rule of "not your keys, not your crypto"

this is another hard lesson for users who are storing their coins to crypto-exchanges. i can understand the trust given to this once a big exchange, but no matter what the reputation of the trading platform, better secure your funds in your own wallet.
most of us in this crypto market got a surprise when we read the news that binance is about to acquire ftx. we haven't seen this coming. but binance saw the trouble that ftx was in, and so they walked away from their initial offer.
this hack has high possibility that it is an inside job. trying to get money as much as they can.

This is really crazy, first my funds which were shown on the app obviously become non-existent and now you can't even access the application to see those funds because probably it has been hacked, which is very obvious as most of the tech team and cyber security team might also have resigned. I have read tweets that people are even suspecting that SBF has himself taken the funds and has fled to some safe haven to make sure he can't be caught. I am just thinking of the users here, it was such a big exchange a lot of people must have had their accounts on it, some people might even be having their life savings on it.

Unfortunately it happened and actually they couldn't escape. I'm pretty sure it's an inside job even if no one backs up these allegations with evidence, but really it's really a job that makes people more and more frustrated as a result of FTX.

After some people lost money due to FTT dump, now it's the turn of all FTX users to lose their funds. It's heartbreaking.

After a sad day of bankruptcy announcement, another sad news of hacking happens.  It looks like someone is covering some trail.  I have a suspicion that this hacking is an inside job.  How could someone get a hold of the exchange internal system if that person is not an insider.  I hate it when people think that they are the only smart one in the world.  The current hack is really suspicious.


That could be the reason why the hack is instigated if the hack is an inside job.

Hackers are always at the fore front when some dude operation a major financial firm tries to run away with public funds. But anyways who can say,  that just the disadvantage of a centralized system control by someone..

Just imagine a case scenario where they couldn't be able to meet the withdrawal of their customers then came up with a story like this to escape the chaos their have gotten themselves into

The thing is, FTX fiasco already happened, and then this hacking news thing happen.  It is very suspicious, I also believe it is an attempt of the FTX owner to have a reason not to reimburse their user's funds.  Or to cover up the management's misappropriation of the fund.


It is possible that it is one way of running away with the remaining money of the exchange.


True it looks like FTX won't go down without causing their client more troubles.


And it is more possible that the head of management is the person behind the hacking.

I don't have FTX app installed in all of my devices neither having an account and having funds there. But I see some of my Facebook friends, even the famous Filipino Axie influencer Kookoo himself have lost a lot of money in FTX and I know how it feels.

This is why I would never ever going to store funds in exchanges, not even the juggernaut named Binance. This is such unfortunate that is happening to those who have invested and having their funds on FTX that affected the entire crypto market.

Hacked is the most effective reason when got problem with exchange market, actually this common reason not adapted by exchange market only but also many altcoin project when get dump price drastically announced later with their project have been hacked. I think just try run away with hacked reason happen to FTX exchange market, although have confirmed with many tweet updated with FTX hacked.

Seems less opportunity to get fund back in FTX account after several day withdrawing still can't process yet, I think have been the end of FTX exchange era and disappointed with many user have much fund hold on FTX. Have official announcement from the owner resigned but he not confirmed yet about when withdrawing open yet with many user can't withdraw their assets.

Both or so the thread reads.


So at this point my funds are more than 90% off exchanges.

Need some on the exchanges for business.

It is a big possibility that the hacking was done by an insider, it can never be done by someone that doesn’t have an insight of the company. And it can also be done by someone that have worked in the company before. Everyone  should stay safe.

Is it the the main FTX or FTX USA as well, which have been hacked?

What I find mildly interesting is that the BlockFi credit card (not debit card a real credit card) that was as far as I can tell issued by an independent bank stopped allowing users to buy things with about a 1 hour warning yesterday.

I have seen other, non crypto businesses implode in a spectacular fashion over the years but their rewards cards kept working. This gone.

Makes you wonder why, even when BANKS have failed their credit cards they issued kept working since well that part of the business always has a good value to sell off.
Was it really that bad that someone at Evolve Bank & Trust said "hell no, we're out of here"

Since BlockFi was based out of New Jersey figure somebody is going to get whacked.....Sorry Sopranos humor.

-Dave

100% inside job as a pro hacker that could be able to do something like that wouldn't send some of the hacked money to his Kraken account, which he allegedly did. Kraken chief security officer (that Nick Percoco guy) confirmed that they know who is behind that account.


https://twitter.com/c7five/status/1591433304871690242

Amazing if Twitter manages to turn in to even more of a mess than it has been the last few days under Musk's phenomenal leadership. And to think people in this space listen to him for investment advice. Lol.

Automatic updates are awful for the exact reason you have pointed out. But the fact remains that >99.99% of people do not have both the ability and the time to independently review the code for every update for every piece of software they use. So what do you do instead? Only verify the important ones? Wait a week after each update and ensure no vulnerabilities have been disclosed? What about if you miss some critical security patch or update in that time? There is no universally correct answer here.

The best thing most people could do would be to get their coins in to their own hardware or airgapped wallet. Doing that will protect you against almost all such malicious software or updates.

Haha. I had drafted the beginnings of a post when FTX starting looking sketchy. Then I had to edit it when they started looking for bail outs. Then I had to edit it again when the bail outs failed. Then after BlockFi also started looking sketchy and now this insider job scam as well I've given up editing it for now. It's just so hard to keep up with the plethora of shadiness, illegality, and outright scams in the world of centralized exchanges!

FTX has been "hacked", yeah. Just as MtGox, KuCoin, Coinbene, Bitfinex etc.  

From Coindesk:
It's time for: "Recent events should make you withdraw all your coins to your own wallet: Part 4".  

I think it's verified that they've been really hacked and a lot from their funds were stolen by the hackers. The most recent that I've heard is that they're finally able to at least get back from that hacked funds.

I don't know how but that's usually how it goes when there's a hacked exchange, they're trying to mitigate the losses and try to recover the hacked funds as soon as possible.

Just like what everyone is reminding, even if you're curious with the hack and if the community says so that don't visit even the website. Just don't.

Many people believe that this is inside job and can't blame them to think this way since this is common thing happen after a platform have an issue. So better listen first on what they are saying since not opening their site will make us safe since we don't know if hacker or them might do something nasty which can affect us badly.

This remind that no exchange is safe how big or trusted they are.

You think this hack is bad, wait till Twitter gets hit since so many of their IT / Security people have been fired and quit.
But eliminating all other things I have been saying for years unless you have a controlled multiple verification setup for updating anything like this you are just asking for trouble.


This is an edge case with the exchange imploding and everything else happening. So it could be the owners doing it, or it could be a low lever programmer that had access he or she should not have had and found a way to run with the funds.

It will probably take years to know the truth and even then we will never truly 100% know. With enough money involved, it's not that hard.

Remember it does not matter if the evidence exists or not, I can find it...

https://www.youtube.com/watch?v=c7o1tg1r_DM

-Dave

If you throw your money away at centralized shitcoins then this is to be expected. We've seen the exact same thing countless times before.

Don't fool yourself in to thinking Binance is any safer. Your coins are at risk.

This is a big blow to centralized exchanges and centralized scam coins. It is not a big blow to bitcoin. If anything, the more people who avoid centralized exchanges in the future because of events like these, then the better for bitcoin long term.

It will set some individuals back many years if they have lost a large amount of their money to such a scam. It will not set bitcoin back at all. Go and read the bitcoin GitHub or the bitcoin mailing list. Development continues just as it always has, with not a single mention of these events. Bitcoin doesn't care for centralized exchange trash.

Yes, this disaster is certainly a very good Hollywood movie material and they already have the lead in name: Jonah Hill which got a lot of facial similarities with SBF. Now, no matter how we take things here lightly, this is a very sad week for the whole cryptocurrency as this unfolding situation is a big blow to its core. Of course, am not worried of its survival because it will but this can surely set us many years backward. I would agree that there is a strong possibility that this is just an inside job...maybe even with the approval of SBF himself so he can get some of the money he needs while hiding somewhere in a remote island.

Many people lose money in LUNA and now many people lost money again in FTX (particularly investing into FTT token).

Hacked or whatever it is, FTX is f*cked up right now and I just hope that only few here lost their money in that exchange. I personally don't use that exchange and I'm only using Binance, but seeing investors lose money makes me sad for a bit but I guess it's normal in crypto already. Many also lost money in the past for different reasons and people just move on with it and be careful with their next investment.

I just saw a Facebook post a while ago saying that SBF is trying to escape using his private jet. No links though and no articles being released yet so maybe this isn't true. Just forget about FTX at all.

I wish it wasn't like that. I used to love FTX.

Dont trust. Self-custody correctly and youre safe. Saves time, money and nerves in the long run. Using a middlemen involves trust, which always has the possibility to be abused. Theres no way around it.

Both FTX and FTX.us were hacked. My understanding is that these are two entirely separate companies. FTX.us was continuing to server its users, was not involved in the Binance deal, had not had liquidity problems, and so on. They were an entirely separate company with separate wallets, separate databases, a separate back end, etc.

And so what is the likelihood of a random attacker breaking in to two entirely separate exchanges at the exact same time? Almost zero. And what is the likelihood of an attacker simultaneously gaining access to the accounts needed to push malicious app updates as well as the accounts needed to put malware on their website as well as both exchanges' wallets and private keys? Even closer to zero. This is almost certainly an inside job, the way I see it. And with that, any shred of hope that FTX users had of recovering even a portion of their assets is gone.

I don't know how FTX works (and I suppose it depends on the specifics of your bank/jurisdiction), but it is possible that FTX has permission to pull funds from users' linked bank accounts or cards to execute buy orders. Users need to make sure they revoke all access, if they haven't already when they went bankrupt. I'd also be concerned about the security of my other private keys and sensitive data which is present on any device which has since accessed/used/downloaded FTX software.

Don't trust exchanges. FTFY.

Exactly this. FTX was the 2nd(?) biggest exchange. If they can simultaneously go bankrupt and also scam all their users, then any other exchange (Binance included) can do that too. Any coin not in your own wallet is not yours.

Here's a simple way to find out: Is the exchange centralized/custodial? If yes, then it isn't safe.

The sad thing is; this is almost predictable. Seems to happen every time something like this happens. This isn't going to help the short term price either, and further reduces consumers confidence. Fortunately, in terms of price it's hitting us at a time where investment would've been low anyhow.

Unfortunately, a ton of people have yet again lost money. I just wish we could change the status quo, and eradicate exchanges which have wallets completely. There shouldn't be the option of storing money on an exchange, since that introduces bad practices, and even encourages them. That way, things like this wouldn't happen, and consumer confidence wouldn't be damaged, and ultimately people wouldn't lose their Bitcoin.

It's not unlikely a "hack", it's VERY VERY UNLIKELY a hack. They're going to run, then hide after what they did, and they're taking their users' money with them! Hahaha!

It's currently harder to trust which exchanges are safe for us plebs. I'm seeing some users in Twitter who tweet that "Binance is the safest" exchange, but how do we prove that unless everyone withdraws their coins to test if they have enough in their vaults/reserves to pay all their users.

Hackers are always online phishing and looking for what to hack FTX is a victim I just hope that all the people that has funds in their custody will be able to bear the lost  and learn that you shouldn't put your trust and funds on these centralized system because for funds is not save with them.

I suspect the FTX personnel contributed to the hack or FTX are bankrupt and coming up with fishery stories. Banks are also the same you can loose your funds anytime the bank crashes, security is the major challenge the centralized system is passing through. Save your funds in Bitcoin and be your own security because you will secure it best than anybody when you have the knowledge. Thank you OP I have deleted their app as I got this information.

I definitely won't believe this story, they've definitely gone bankrupt and can't liquidate their users, this is the perfect escape plan.

This is not the first time an exchange has crashed, we have had Mt.gox crashes before and the drop is said to be as severe as FTX but eventually people will quickly forget it and will still use centralized exchanges as their utility is essential.

The way a centralized exchange and a bank work is quite similar, but it's pretty lame when you compare how secure a bank is to a small exchange like FTX. Banks are backed by the government and banks bankrupt only when the government collapses but better be your own bank.

Thank You for the heads up what's more funny right now is seeing user's of Binance making mockery of FTX user's forgetting they are all in this together. If they are thinking they be safe with Binance then they are messing about. Get of Crypto that are Centralized and also Banks that are fully regulated. The cycle continues, MT. GOX FTX who's next ? Bring it coming.

here is the thing. crypto doesnt just vanish, (true crypto that uses blockchains.)
i do not believe it to be a hack.

much the same like other exchanges where CEOS retire claiming "hack" as the reason they move on

i feel its the management of ftx that syphoned funds out (taking the good assets out) and left ftx as a brand in a negative paper loss position in legal tax/debt law framework. where by just like all liquidation companies that company is left in a debt position that gets write off in a fiat world bankruptcy

knowing DCG is a large partner/stake holder of FTX i wouldnt be shocked if all the good assets turn up in their portfolio sooner or later

anyway i do find it funny how SBF resigned. .. put someone else in CEO status. and hen filed for bankruptcy and now news of a hack.. leaving the new guy with al the legal trouble and SBF able to carry on business as usual with his other projects.

SBF did not go down with the ship. he jumped off ship and in a lifeboat days before the ship hit the rocks

That competitor was down already, the likely scenario is that it was an inside job
as o_e_l_e_o suggested. It makes perfect sense, why hasn't FTX been hacked
before this, I mean I'm sure there were attacks of the platform in the past.

I have deleted the app as directed, luckily I have no funds on FTX  ^{or any other exchange}

"Hacker" was able to access source code and insert malicious code all unnoticed, then push an update to all users. I understand that's what these exchanges like to say for PR reasons while they escape with peoples' funds and evade authorities, but surely people have gotten wiser.

Anyways - Let this serve as a lesson for exchange users and traditional bank users. FTX began to collapse because they didn't have the billions in liquidity to deliver on their users' withdraw requests. They needed emergency funding that I believe they secured, of course that didn't matter in the end anyways, people lost confidence. Banking with fiat works the same - banks do not hold cash. If everyone, or enough people, lose confidence in the institution and flock to the banks to withdraw cash, the entire system collapses because they don't have enough cash on hand. All exchanges, banks, etc. work this way.

Centralized financial institutions do not responsibly hold your funds. Be your own bank.

I only trust exchanges with a few hundred $ worth of btc,
if I can make it into thousands then I cash out the original investment
don't trust exchanges with more than  a few hundred bucks

There is a high probability that it was done by their insiders. It is really inhumane. This is too dramatic. I really want to know how the user funds are solved.

Everyone needs to stay safe with their funds. This will all probably make headlines since theft is occurring now instead of what seemed to be financial incompetence. One does significantly better in the news than the other. How it will impact everything, no freaking clue.

Just a heads up: a lot of people might probably say that this is unlikely a "hack" and that some FTX personnel(regardless if it's SBF or not) is just running away with the funds(and I agree that this is highly more likely), but regardless — don't open the FTX website and uninstall all FTX apps. JUST TO BE EXTRA SURE.

I’ve heard over 300 million dollars has already been taken. Possibly up to a billion dollars. Early speculation is that it’s an inside job by FTX employees or possibly even Sam trying to make a getaway. I’ll wait until we find out what really happened but it sounds like this is quickly on its way to becoming a Hollywood movie. Be careful out there!

According to some people in social media, FTX has been hacked and users who have the app installed in their phones might be at risk for malware if they update this. It will be safer to delete it. It is also adviced to avoid going to the site because there might be trojans.

This is a public service announcement and I created this thread here in main bitcoin subforum on purpose where it will be seen by more people. Moderators can delete or move this thread later.