FTX, BlockFi claimant data compromised in Kroll ‘cybersecurity incident’

Kroll, the bankruptcy claims agent of collapsed cryptocurrency exchange FTX, suffered a “cybersecurity incident” that compromised certain non-sensitive user data.

FTX tweeted today that Kroll is informing affected individuals about measures they can take to protect themselves.

“FTX account passwords were not maintained by Kroll, and FTX’s own systems were not affected,” FTX said.

The bankrupt exchange warned claimants to “remain on high alert for attempted fraud and scam emails impersonating parties in the bankruptcy.”

BlockFi, another bankrupt crypto firm, was also affected by what appears to be the same incident, it tweeted today.

BlockFi said it only learned of the incident on Wednesday, adding Kroll had confirmed that an unauthorized party got access to certain BlockFi client data housed on Kroll’s platform.

“To be clear, BlockFi’s internal systems and client funds were not impacted,” the crypto lending firm said.

What happened?

In one email — received by an FTX claimant and obtained by The Block — Kroll said that an unauthorized third party gained control of a mobile phone number belonging to a Kroll employee and from that gained access to files in the company’s cloud-based systems.

These files included some claimants’ personal information, including names, addresses, email addresses and the balances in their FTX accounts.

“When Kroll became aware of the incident, it acted quickly to secure the impacted Kroll account and launched an investigation,” the email said, without elaborating when the agent learned about the incident. 

Claimants are advised to remain alert for potential scams, as the attacker might use the information to send phishing emails, Kroll warned.

Kroll did not immediately respond to The Block’s request for comment.

Bankruptcy proceedings

Earlier this week, FTX said it is looking to Mike Novogratz’s Galaxy Digital to help manage its crypto holdings.

In April, FTX said it had recovered over $7.3 billion in cash and liquid crypto assets.

(Updates to add more details.)