- November 7, 2023
- Posted by: [email protected]
- Category:
Bitfinex, a prominent cryptocurrency exchange, recently encountered a “minor” security incident stemming from a hacking attempt on one of its customer support agents. This incident subsequently led to several users becoming targets of phishing attacks. The security breach took place between October 30 and November 5, as confirmed in a recent press release issued by Bitfinex.
Despite this incident, Bitfinex assured its customers that the impact was minimal and no significant harm occurred. The breach occurred through the phishing of a customer support agent who had access to partial information. Fortunately, this agent did not possess senior permissions and had limited access to supporting tools and help desk tickets, as Bitfinex confirmed. The exchange stressed that its core systems remained uncompromised, and no customer funds were lost throughout the event. Bitfinex stated, “At no time were customer assets on the platform at risk, nor was password information accessible.”
Bitfinex acknowledged that most of the affected customer accounts were either empty or inactive and is currently reviewing the incident and the compromised information. The exchange is actively contacting all affected customers. In the official announcement, Bitfinex declared the issue as resolved but mentioned that they continue to investigate the incident, review the compromised data, and reach out to impacted customers.
The company also reported the breach to law enforcement and is collaborating with investigative authorities to identify and apprehend the perpetrator behind the phishing attack. Bitfinex highlighted its history of successful convictions against individuals who have attempted to attack their operations in the past.
To prevent such incidents, Bitfinex mentioned that it regularly reviews its security protocols and mandates cybersecurity training for all employees. Founded in Hong Kong in 2012, Bitfinex has established itself as a significant player in the cryptocurrency industry and has risen to 17th place in CoinGecko’s “Trust Score” index among all cryptocurrency exchanges, under the leadership of CEO Jean-Louis van der Velde.
The security incident at Bitfinex occurs in a broader context of increasing hacks and scams in the cryptocurrency industry. A report by blockchain security platform Immunefi reveals that there were 76 hacks on crypto and Web3 projects and firms in the third quarter of 2023, a significant increase compared to the 30 hacks reported in the same period in 2022. In total, approximately $332 million has been lost to various exploits, hacks, and scams throughout September, marking a record-high month for cryptocurrency-related security breaches. This incident serves as a reminder of the ongoing challenges facing the industry in safeguarding digital assets and ensuring the security of cryptocurrency exchanges.
