Institutional crypto broker FPG halts withdrawals after $20M cyberattack

Floating Point Group (FPG), a cryptocurrency brokerage firm, has verified that its platform has ceased trading, deposits, and withdrawals after being targeted in a cyberattack on June 11. FPG approximates that the attack led to a loss of between $15 million and $20 million.

On June 15th, FPG’s official twitter account reported that when the security breach was detected, all third party accounts were immediately locked and wallets were migrated. As an added precaution, trading, deposits, and withdrawals were also suspended.

The company additionally pointed out that their account segregation had “restricted the overall effect” of the assault.

FPG, an international brokerage firm, offers its institutional clients the opportunity to access crypto markets. The company’s website states that FPG and its customers are responsible for the management of $50 billion in assets.

It is unlikely that the most recent advancement will encourage institutional investors to become more involved in the crypto industry, which has already suffered from diminishing market conditions and a greater degree of opposition from regulators.

In December 2022, FPG proactively sought the services of cybersecurity firm Prescient Auditors and was granted its SOC 2 Type 1 certification. This certification is an official assessment which confirms the effectiveness of the company’s internal data security measures.

“In order to comprehend the situation and to reclaim the assets, FPG is collaborating with the FBI, the Department of Homeland Security, our regulators, and Chainalysis,” FPG declared in a subsequent remark.

North Korean hackers have stolen more than $100M from Atomic Wallet users.

FPG further remarked that, due to the continuing investigation in conjunction with the relevant law enforcement agencies, it is unable to make any further information public.

Cointelegraph reached out to FPG in order to obtain more details about the attack, but has yet to receive a reply.

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