By John Ikani
Cryptocurrency exchange FTX has announced that it has fallen victim to a massive hack, with hackers making off with a staggering $415 million worth of crypto assets.
According to the CEO of FTX – John Ray, the hack saw $323 million stolen from the international exchange and a further $90 million taken from the US platform since the company filed for bankruptcy.
The announcement comes amid mounting accusations that FTX co-founder Sam Bankman-Fried has been using billions of dollars from FTX users to pay off debts at his other company, Alameda Research. Bankman-Fried has pleaded not guilty to fraud charges.
Despite the staggering losses, FTX has stated that it has managed to recover over $5 billion in assets, including $1.7 billion in cash, $3.5 billion in liquid cryptocurrency, and $300 million in liquid securities.
The company, which was valued at $32 billion a year ago, filed for bankruptcy protection on November 11th, and it is estimated that $8 billion of customer funds are missing.
Bankman-Fried, who co-founded FTX in 2019, was one of the most high-profile figures in the cryptocurrency industry, known for his political ties, celebrity endorsements, and bailouts of other struggling firms. He was arrested in December in the Bahamas, where he lived and FTX was based.
The fallout from this hack is sure to send shockwaves through the cryptocurrency industry, with many now questioning the security of their investments.
FTX has urged customers to remain calm and assured them that they are working tirelessly to recover the stolen assets and bring the hackers to justice.
