Cryptocurrency brokerage Floating Point Group has confirmed that it has stopped trading, withdrawals and deposits on its platform after falling victim to a cyber attack on June 11. FPG estimated the total damage from the attack to be between $15 million and $20 million.
According to a June 15 tweet from FPG's official Twitter account, FPG locked down all third-party accounts and migrated wallets after discovering the security breach. It later halted transactions, deposits and withdrawals out of "extreme caution". Additionally, the company noted that its account isolation "limited the overall impact of the attack."
FPG is an international brokerage firm that provides institutional clients with access to the crypto market. FPG and its clients manage $50 billion in assets, according to its website.
The latest development is unlikely to bolster institutional interest in the crypto industry, which has been battered by shrinking market conditions and increased hostility from regulators. In December 2022, FPG voluntarily consulted with cybersecurity firm Prescient Auditors and received SOC 2 Type 1 certification. The certification is an official audit that verifies the overall security of a company's internal data controls.
"We are working with the FBI, DHS, OUR Regulators, and Chainalysis to UNDERSTAND HOW This Happened and Recover Assets," FPG WROTE in Subsent Comments. FPG ALS O Noted that It ’s not share any Other Details Publicly Due to Ongoing Investigations by Various Law enforcement agencies.
