January 18, 2023 7:15PM
CNBC reported that cyber criminals managed to take $415 million worth of cryptocurrency from accounts at the now defunct cryptocurrency exchange FTX. The report was based on a statement by the company’s lawyers and advisors.
It is believed that the hackers gained access to the FTX system in 2022, with $323 million being taken from the international branch, while another $90 million was removed from the US branch. The theft was discovered shortly after the exchange collapsed and the stolen crypto was valued at around $477 million.
The people behind the attack cannot be identified, but some experts think an individual close to the founder of FTX, Sam Bankman-Fried, may have had something to do with it. The complexity and coordination of the attack could be an indication of an FTX employee’s involvement.
According to the report “Maximizing FTX’s Recoveries,” the lawyers and consultants of the firm have determined that $5.5 billion can be recovered from the company. This includes the estate of Sam Bankman-Fried in the Bahamas, which is estimated to be in the hundreds of millions of US dollars. Within a few months, the former billionaire’s fortune has been nearly eradicated, from $15.6 billion to just $100,000.
Federal prosecutors have charged the former CEO and founder of FTX with money laundering and fraud. Bankman-Fried has pleaded not guilty and is currently on bail for $250 million, with a trial set to take place in October 2023.
