Carding 4 Carders
Professional
- Messages
- 2,730
- Reaction score
- 1,467
- Points
- 113
A former employee of Alameda Research, who held an engineering position, said that the company, affiliated with the collapsed FTX crypto exchange, was twice subjected to successful hacker attacks, as a result of which it lost about $150 million.
According to Aditya Baradwaj, the largest hack of Alameda occurred because one of the traders clicked on a phishing link. Then the attackers managed to withdraw about $100 million. In general, as the engineer said, the company was engaged in security on a residual basis. For example, some wallet keys and API tokens were stored in a plain text file and several people had access to it.
"FTX CEO Sam Bankman - Fried believed that the most important thing for a startup like Alameda is to develop as quickly as possible. To do this, he decided to ignore the design and accounting practices that are accepted as standard in technology and financial companies. Therefore, security checks were introduced as a last resort," Baradwaj said.
In the other two incidents, the company lost $40 million and $50 million, respectively. The hacker withdrew $50 million after receiving "an old version of the same text file with keys." He was able to transfer funds from some exchanges and place incorrect orders on them. And Alameda lost $40 million as a result of fraud on the part of the creator of the profitable mining project.
Aditya Baradwaja himself lost more than 90% of his liquid assets after the FTX crash.
Earlier, the former CEO of Alameda Research, Caroline Ellison, said in court that she committed financial crimes and fraud on behalf of Bankman-Fried.
According to Aditya Baradwaj, the largest hack of Alameda occurred because one of the traders clicked on a phishing link. Then the attackers managed to withdraw about $100 million. In general, as the engineer said, the company was engaged in security on a residual basis. For example, some wallet keys and API tokens were stored in a plain text file and several people had access to it.
"FTX CEO Sam Bankman - Fried believed that the most important thing for a startup like Alameda is to develop as quickly as possible. To do this, he decided to ignore the design and accounting practices that are accepted as standard in technology and financial companies. Therefore, security checks were introduced as a last resort," Baradwaj said.
In the other two incidents, the company lost $40 million and $50 million, respectively. The hacker withdrew $50 million after receiving "an old version of the same text file with keys." He was able to transfer funds from some exchanges and place incorrect orders on them. And Alameda lost $40 million as a result of fraud on the part of the creator of the profitable mining project.
Aditya Baradwaja himself lost more than 90% of his liquid assets after the FTX crash.
Earlier, the former CEO of Alameda Research, Caroline Ellison, said in court that she committed financial crimes and fraud on behalf of Bankman-Fried.
