FTX forewarns exchanges to freeze stolen funds to prevent hacker cashing out

FTX announced on Nov. 20 that exchanges need to remain alert relating to unapproved fund transfers from FTX Global and related debtors on Nov. 11.

The transfers sent were through intermediate wallets and FTX alerted exchanges to take all procedures to ensure the unapproved funds be taken and returned to the personal bankruptcy estate.

(1/2) Exchanges ought to understand that certain funds transferred from FTX Global and related debtors without permission on 11/11/22 are being transferred to them through intermediate wallets.

— FTX (@FTX_Official) November 20, 2022

Prior to the FTX statement, blockchain data platform, Chainalysis tweeted out a thread describing that funds taken from FTX were on the relocation and that exchanges need to be prepared to freeze them if the hacker chooses to cash out.2/

Reports that the funds stolen from FTX were in fact sent out to the Securities Commission of The Bahamas are inaccurate. Some funds were stolen, and other funds were sent to the regulators.

— Chainalysis (@chainalysis) November 20, 2022

Chainalysis clarified that reports recommending FTX’s stolen funds were sent out to the Securities Commission of The Bahamas (SCB) were false. The Chainalysis team confirmed that some of the funds had certainly been taken however some funds were sent out to the regulators.Posted In: Analysis