Security News
According to the US state's Department of Financial Services on Monday, Robinhood Crypto didn't hire sufficient staff and didn't invest in other resources for its anti-money-laundering and cybersecurity compliance programs. "As its business grew, Robinhood Crypto failed to invest the proper resources and attention to develop and maintain a culture of compliance - a failure that resulted in significant violations of the Department's anti-money laundering and cybersecurity regulations," New York's Superintendent of Financial Services Adrienne Harris said.
Forsage, an alleged crypto Ponzi scheme purporting to be a decentralized smart contract platform, bilked millions of investors worldwide out of more than $300 million, according to America's securities watchdog. These transactions totaled more than $300 million, according to the SEC. However, like any other pyramid scheme, the primary way that investors made money from Forsage was to recruit other investors, according to the watchdog.
IBM has started offering quantum-resistant crypto - using the quantum-resistant crypto recommended by the US National Institute of Standards and Technology. China is felt to be stealing data today, safe in the knowledge its future quantum computers will be able to decrypt it in the near future.
The US government is reportedly investigating Kraken, a massive cryptocurrency exchange suspected of violating sanctions against Iran, and is expected to slap the crypto behemoth with a fine in the near future. Allowing users in Iran to buy and sell tokens would put Kraken in violation of the sanctions, which has drawn the attention of federal investigators, the Times reported, citing five people affiliated with the company or with knowledge of the inquiry.
The U.S. Department of Justice has announced the seizure of $500,000 worth of Bitcoin from North Korean hackers who extorted digital payments from several organizations by using a new ransomware strain known as Maui. The DoJ did not disclose where the rest of the payments originated from.
A crook who created a business called My Big Coin to cheat victims out of more than $6 million has been found guilty by a jury. Randall Crater, 51, of East Hampton, New York was this week convicted [PDF] of four counts of wire fraud and three counts of money laundering.
The FBI has warned cryptocurrency owners and would-be owners about a scam involving phony liquidity mining that the bureau says has cost victims more than $70 million in combined losses since 2019. Liquidity mining is an investment strategy that appears to reward investors for contributing some of their crypto assets to a pool, which provides traders the liquidity necessary to conduct transactions.
A now-former Coinbase manager, his brother, and a friend were today charged with wire fraud conspiracy and wire fraud in connection with the first-ever cryptocurrency insider trading scheme in the US. Ishan Wahi, a 32-year-old ex-product manager at Coinbase Global who lives in Seattle, Washington, and his 26-year-old brother Nikhil Wahi, also from Seattle, were arrested Thursday morning. The US Department of Justice and FBI allege the three men pulled off a $1.5 million insider trading scheme by using confidential Coinbase information about which crypto-assets were scheduled to be listed on Coinbase's exchanges.
The U.S. Department of Justice has charged a former Coinbase manager and two co-conspirators with wire fraud conspiracy and scheme to commit insider trading in cryptocurrency assets. Defendant Ishan Wahi, who worked as a product manager for the company, is accused of abusing his position and insider knowledge to make cryptocurrency investments that were almost guaranteed to rise in price.
The Monetary Authority of Singapore said on Tuesday that its cryptocurrency regulations will add measures to protect consumers, in addition to ongoing work to contain money laundering and terrorist funding. Singapore's anti-crypto rhetoric has increased in recent weeks, after Terraform Labs' "UST" stablecoin collapsed and helped to spark market uncertainty that has sent the price of many crypto assets tumbling.