Crypto Exchange FTX to provide $6m phishing compensation
The phishing incident involving a third-party website will result in around $6 million in compensation from the digital asset exchange FTX to its account holders. Sam Bankman-Fried, a crypto billionaire and the CEO of FTX, stated on Twitter on Monday that the company wouldn’t be “creating a practice” of rewarding users who fall victim to phishing attacks that target websites other than FTX.
If the perpetrators send back 95% of the $6 million taken from FTX accounts within 24 hours, “we’ll absolve them,” Bankman-Fried said.
Last week, Bankman-Fried proposed in a blog post what he called a “5-5 standard” where crypto hackers keep either 5% of the amount they’ve taken from a protocol or $5 million, whichever is smaller.
That was part of an effort to curb the security exploits plaguing the digital-asset industry.
