Major crypto platform Crypto.com has suspended withdrawals and says that all funds are safe after what has been described as “unauthorized activity” in “a small number” of user accounts.
The update from Crypto.com followed user reports from earlier today about unusual on-chain activity from wallets belonging to this platform.
The reports were acknowledged by Crypto.com in a tweet around 04:45 UTC on Monday morning, saying “We have a small number of users reporting suspicious activity on their accounts.” The tweet added that withdrawals will be paused, and that “all funds are safe.”
Replying to the tweet, several users claimed their accounts had been hacked with funds missing. Among them was one user who claimed to have lost ETH 4.28, saying they were “stolen out of nowhere.”
Crypto.com referred back to its Twitter statement when reached for comment by Cryptonews.com.
The suspicious activity was also pointed out by dogecoin (DOGE) creator Billy Markus with the Twitter username Shibetoshi Nakamoto, who on Monday morning wrote “I see odd activity on one of the Ethereum hot wallets on Crypto.com.”
According to the latest update from the company at around 13:00 UTC, security on all accounts is now being enhanced out of “an abundance of caution.” Specifically, this requires users to sign back into their app and exchange accounts, and reset their 2-factor identification.
Until this update has been completed, withdrawals will remain suspended, the company said.
– Crypto Security in 2022: Prepare for More DeFi Hacks, Exchange Outages, and Noob Mistakes
– 1B Crypto Users, Friendlier Regulations, Countries Adopting Crypto – Crypto.com’s 2022 Predictions
– Crypto.com To Boost US Presence With a USD 216M Deal
(Updated at 14:08 UTC with a response from Crypto.com.)