A bunch of high-net-worth Russian and CIS traders have filed a category motion lawsuit towards Atomic Pockets, a outstanding cryptocurrency platform, following a safety breach in June that resulted in losses of roughly $100 million.
The lawsuit, coordinated by German lawyer Max Gutbrod and Boris Feldman of Moscow’s Destra Authorized, represents about 50 shoppers who declare losses totaling round $12 million. Particular person losses vary from $150,000 to as a lot as $2 million.
Mr. Gutbrod, in a press release to bne IntelliNews, expressed frustration over Atomic Pockets’s dealing with of the breach. “They didn’t give our shoppers any details about the hack or go to the police to report it,” he mentioned.
Whereas preliminary suspicions pointed to the North Korean felony gang, Lazarus Group, current findings recommend a possible involvement of a Ukrainian hacker group. Feldman, citing investigations from blockchain evaluation specialists at Match Methods, famous, “They’ve discovered traces of involvement of Ukrainian hacker teams.”
The breach’s aftermath has raised questions concerning the safety measures of cryptocurrency platforms. Dyma Budorin, CEO of blockchain safety agency Hacken informed that Atomic Pockets may need inherent design flaws, suggesting that its restoration phrase era might be vulnerable to brute-force assaults by hackers.
Atomic Pockets, in a June 20 replace, said that “lower than 0.1%” of its app customers had been affected. Nonetheless, this declare was met with skepticism by a lot of its shoppers. The agency has but to supply an in depth technical clarification for the breach.
The incident underscores the rising reliance on cryptocurrencies in Russia, notably because the onset of the warfare with Ukraine. As sanctions tighten and the ruble faces decline, many Russians are turning to cryptocurrencies as a safeguard for his or her financial savings.
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