FPG Institutional Crypto Broker Halts Withdrawals Following $20M Cyberattack


Floating Point Group (FPG), a cryptocurrency brokerage firm, has halted all trading, withdrawals, and deposits after being the victim of a cyberattack on June 11. According to FPG’s official Twitter account, the company has estimated a loss between $15 and $20 million.

Upon discovering the security breach, FPG locked all third-party accounts and migrated wallets, then out of “an abundance of caution” halted all trading, withdrawals, and deposits. FPG also stated that the segregated account has “limited the overall impact” of the attack.

FPG is a global brokerage firm providing institutional clients with crypto market access. According to their website, FPG and its clients manage assets worth $50 billion. The recent development is likely to reduce institutional appetite for the crypto sector, which has already been hit by decreasing market conditions and increased hostility from regulators.

To ensure better protection of its internal data controls, FPG will consult a cybersecurity firm in December 2022 for Prescient Auditors SOC 2 Type 1 certification. FPG has also confirmed that they are working with the FBI, the Department of Homeland Security, their regulators, and Chainalysis to understand how the breach occurred and to recover any assets.

However, due to the ongoing investigation with the law enforcement agencies, FPG is unable to share any additional details. Cointelegraph contacted FPG for more information on the incident, but no reply has been received so far.

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