After being the target of a cyberattack on June 11, digital currency brokerage company Floating Point Group has stated it has stopped trading, withdrawals, and deposits on its platform. According to FPG, the hack caused a total loss of $15 million to $20 million.
In response to learning about the security compromise, FPG reportedly froze all third-party accounts and moved wallets.
As per the post from the company’s official twitter profile on June 15. Trading, deposits, and withdrawals were later suspended “out of a great amount of caution.” The business also said that account segmentation “restricted the total effect” of the hack.
FPG is a global brokerage company that gives institutional customers exposure to the cryptocurrency markets. FPG manages $50 billion in assets on behalf of its clients, as per its website.
The most recent incident isn’t likely to encourage institutional interest in the cryptocurrency sector, which has already been hurt by deteriorating market conditions and rising regulatory antagonism.
FPG achieved its SOC 2 Type 1 approval in December 2022 after voluntarily consulting cybersecurity company Prescient Auditors. An authoritative audit that certifies the general security of a company’s internal data security is what gives rise to this certification.
FPG later commented, “We are in contact with the FBI, the Department of Homeland Security, our regulators, and Chainalysis to establish how this happened and to retrieve funds.
FPG added that it was unable to publicly release any additional information because the investigation was still underway with the relevant law enforcement bodies.
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