Quick Take:

• Bitfinex CTO Paolo Ardoino casts doubt on ransomware group’s claim of breaching exchange’s data.
• FSOCIETY, the hacking group, asserted hacking Bitfinex, Rutgers University, and others.
• Ardoino questions authenticity, stating no breach detected and no direct communication from the group.
• Speculation arises that the group may be promoting ransomware tools rather than executing real hacks.

Bitfinex, a prominent cryptocurrency exchange, faces allegations of a data breach propagated by hacking group FSOCIETY. Paolo Ardoino, the CTO of Bitfinex and CEO of Tether, has expressed skepticism regarding the validity of these claims. FSOCIETY, known for its resemblance to a fictional hacking group from the TV series “Mr. Robot,” asserted on April 26 that it successfully breached Bitfinex’s systems, alongside other entities like Rutgers University and consulting firm SBC Global.

However, Ardoino has refuted these claims, stating that extensive analysis of Bitfinex’s systems has revealed no evidence of a breach. Furthermore, he noted that only a fraction of the email addresses supposedly obtained by the hackers matched legitimate Bitfinex users. Despite FSOCIETY’s ultimatum for contact within seven days, Ardoino emphasized that no direct communication was received from the group, raising doubts about the authenticity of their assertions.

Ardoino also shared insights from a security researcher suggesting that the motive behind FSOCIETY’s claims may be to promote its ransomware tools, which are allegedly sold for a subscription fee and a commission on stolen profits. This speculation questions the necessity for selling hacking tools if the group truly possessed the capability to breach Bitfinex’s security.

Bitfinex has a history with security breaches, notably the infamous 2016 hack where over 95,000 Bitcoins were stolen. In connection with this incident, individuals, including crypto rapper ‘Razzlekhan,’ pleaded guilty to money laundering charges. However, Ardoino’s response indicates a robust stance against potential threats, asserting the integrity of Bitfinex’s security measures amidst allegations of data breaches.