Canadian crypto exchange Catalyx ceases all trading following security breach
Quick Take
- The company suspects the breach may be an inside job.
CataX CTS Ltd., the Calgary-based company operating cryptocurrency trading platform Catalyx, has suspended trading and fund withdrawals at the exchange which was recently affected by a security breach, the company said on Thursday.
The suspension follows a cease trade order issued on Dec. 21 by the Alberta Securities Commission against the company and co-founder Jae Ho Lee.
As the security breach resulted in a loss in some of Catalyx customers’ crypto assets, the company launched an investigation with suspicion that an employee was involved in the incident.
CataX did not disclose the exact amount of losses, and did not immediately respond to The Block’s email enquiry for further details.
Global financial auditing firm Deloitte LLP will “provide forensic and investigative services to the company” in examining the incident, CataX said. The firm plans on updating its users after Deloitte finishes the investigation, the company noted in the statement.
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