A Secret FTX Hack, Hong Kong Warn Crypto Firms: Latest Crypto Updates


Many are saying that the crypto industry is going through some sort of drought. Well, it can be true, but since we’ve come back with a blog post dedicated to the latest crypto news, this drought will turn into excitement. Due to this fast-paced digital life, it can be so hard to read all the news in the crypto industry daily. Considering this problem, Coin Informer has taken the responsibility of posting one weekly blog post, specifically dedicated to the latest crypto updates. So, without further ado, read these top crypto updates from the last few days and keep yourself entertained and up-to-date with the crypto industry.

A Secret $400 Million Hack of FTX Solved, Three Individuals Being Charged: Latest Crypto Updates

January 31, 2024 (Wednesday). A district court in Washington D.C. charged three individuals, namely Robert Powell, Carter Rohn & Emily Hernandez, with carrying out a $400 million hack of FTX in 2022. They made a series of SIM-swap attacks to steal $400 of virtual currency.

The official part of the case file says,

1. On or about November 11, 2022, Powell instructed co-conspirators to execute a SIM swap of the cellular telephone account of an employee of Victim Company-1, which was maintained by AT&T.

2. On or about November 11, 2022, a co-conspirator sent Hernandez a fraudulent identification document with the PII of Victim Company-1’s employee but bearing Hernandez’s photograph, with Hernandez then used to impersonate that person at the service provider store in Texas.

3. On or about November 11, 2022, and continuing into November 12, 2022, co-conspirators transferred over $400 million in virtual currency from Victim Company-1’s virtual currency wallets to virtual currency wallets controlled by the co-conspirators.

It becomes very clear from this part of the court case file that the hack was done by Powell, Hernandez, and Rohn just a few hours before FTX filed for bankruptcy. Though the court file didn’t mention FTX’s name in loud and clear words, but everyone knows FYX has called to here as Victim Company 1. According to Elliptic, a blockchain security firm, FTX witnessed numerous unauthorized transactions worth around $400 million just before filing for bankruptcy.

The rumors also say co-conspirators (Powell, Hernandez & Rohn) transferred stolen tokens to Kraken.

John J. Ray III, a current CEO of FTX, says,

FTX’s poor security and lack of organized systems were the reasons behind this secret hack, which has now came out to the world. The system of FTX at that time was ‘Pure Hell.’

Pro-Crypto Nayib Bukele Declared Himself as El Salvador’s President for Second Term: Latest Crypto Updates

February 5, 2024. Imagine someone shocking the crypto world as well as the political landscape. Well, this has happened, and the man behind this is Nayib Bukele. You may have heard of Nayib Bukele if you’re a geopolitics enthusiast. He has newly become the president of El Salvador for the second term. During his first term of presidentship, he made a decision to adopt Bitcoin as a legal tender in his nation. This led to El Salvador becoming the first country to do so. Besides this, he has made several strategic decisions on crypto advancements.

In the political world, many experts criticize his unlawful way of declaring himself as president. While the crypto community is happy about him. Bukele becoming the president of El Salvador can bring many crypto advancements and changes in the world.

Hong Kong Warns Crypto Exchanges to Apply for VARP License Before February 29 or May Close Your Packs on May 31: Latest Crypto Updates

February 6, 2024. Hong Kong’s government is aiming to establish itself as a crypto hub by popularizing crypto among citizens and cracking down on illegal activities. On Tuesday morning, Hong Kong’s Securities and Futures Commission (SFC) issued a warning to all crypto exchanges to apply for VATP (Virtual Asset Trading Platform) license before February 29. If any firm doesn’t apply for it, they may face the closure by May 31.

Till now, OSL and Haskey Exchange have been the ones to get VATP licenses in Hong Kong. Moreover, fourteen other crypto firms have applied for this license.

Stay Tuned!

Each day, there is a new story in the crypto world. Someone might have gotten involved in drama, or someone might have gotten out, but the excitement of knowing more about it is the thing that makes crypto enthusiasts so alive and fresh. Coin Informer is your ultimate source of top news stories of the crypto world. Stay tuned for our upcoming Latest Crypto Updates to keep you up-to-date with the crypto industry.