Some Blockfolio users received shocking messages from the app on Tuesday in what has now been confirmed as a breach of the platform’s signal feed.
The hackers responsible for the breach sent racist and offensive messages, threatening them to withdraw their funds or risk losing their deposits.
Responding to the matter, Blockfolio released a tweet apologizing for the incident while assuring users of the safety of their funds.
According to Blockfolio, the breach only affected the signal submitter protocols and not the actual trading environment.
The platform also promised to credit all trading feature-enabled users with $10 as well as others who sign up within the week.
FTX CEO Sam Bankman-Fried also responded to the incident via his Twitter account stating that the company will perform a security review of Blockfolio’s non-trading protocols. As previously reported, FTX acquired Blockfolio for $150 million back in August 2020. According to Bankman-Fried:
“No members of the Blockfolio team wanted this to happen. But we are all responsible for our product and will be doing what we can to fix this. I’ll also be donating to the ACLU today, as will a number of other staff members.”
The Blockfolio hack is yet another example of how non-deposit resources on crypto platforms are also being targeted by malicious hackers. Crypto exchanges and hardware wallet makers have seen breaches exposing sensitive user data in recent months.
Indeed, with the Ledger data breach, some affected users even received threats of physical harm after their phone numbers and home addresses were leaked online.