'Teflon' Sam Bankman-Fried illustrates why the crypto community holds
him in high regard, as Blockfolio exploit results in clear communication
and a rapid response.
On February 9, Blockfolio's Signal feed was briefly compromised, resulting in some users receiving racist messages within the company's app.
Users
said that the culprits went so far as to threaten loss of funds if
deposits were not removed from the crypto portfolio platform. While the
derogatory messages were reportedly scrubbed by Blockfolio's security
team within about 30 minutes, the incident left many wondering how such
an attack could have occurred.
Tweeting on Tuesday, SBF offered updates about the incident, alleging that a competing exchange was to blame.
“We have spent the last four hours investigating every angle and
tracking down leads; we're relieved to say that we've figured out what
happened,” SBF tweeted, adding:
“This offensive content
was produced and published by a competitor exchange of ours who
maliciously gained access to someone else's Blockfolio News/Signal
capabilities.”
The FTX CEO condemned the culprit, but did
not name the competitor. Access to the Signal feed reportedly did not
affect or jeopardize any funds.
According to SBF, Blockfolio has
completed their investigation into the matter, and the company has fixed
the vulnerability that ignited the situation. The FTX CEO promised to
improve the security infrastructure around Blockfolio’s non-trading
protocols to prevent similar incidents in the future.
Bankman-Fried
was praised by many in the cryptocurrency community for reacting
swiftly and transparently to the incident, and as a measure of
compensation he apparently added $10 to the trading accounts of affected
users. SBF also stated that he has donated to organizations dedicated
to fighting racial and societal injustices as a result of the incident.
FTX acquired Blockfolio for $150 million
back in August 2020. This is not the first security-related issue the
company has experienced. In May 2020, a white-hat hacker named Paul
Litvak reported a security flaw that exposed the platform's source code on older app versions to malicious actors.
At
the time, Litvak revealed that the vulnerability was over two years
old. Fortunately for Blockfolio, no malicious actor was any the wiser
about the flaw's existence, allowing the company to solve the issue and
double-down on a commitment to user privacy.
source link : https://cointelegraph.com/news/ftx-ceo-claims-competitor-responsible-for-racist-messages-delivered-to-blockfolio-users
