FTX Claims Portal Reopens After Cybersecurity Breach

Following a significant cybersecurity breach, FTX has restored its claims portal. The incident targeted Kroll, FTX’s third-party agent handling creditor claims. However, FTX was swift in its response by freezing affected user accounts as a precautionary measure, ensuring customer security.

Interestingly, the breach stemmed from a “SIM swapping” attack. This attack led to unauthorized access to files containing BlockFi, FTX, and Genesis claimant details. Despite this unsettling revelation, Kroll assured that neither FTX passwords nor KYC data were compromised.

Moreover, FTX has made clear its intentions to bolster security. With the portal now fully operational, FTX has confirmed the incorporation of additional security protocols. Hence, users can now navigate the platform with added confidence.

Judge Greenlights Crypto Sales

Besides the security enhancements, the recent approval by Delaware District Judge John Dorsey has been in the spotlight. This move allows FTX to sell off a significant portion of its cryptocurrency, estimated in the billions, to repay its creditors.

Under the approved plan, sales of the estate’s tokens are to be overseen by a financial advisor. Consequently, most tokens have a weekly cap set at $100 million. The ceiling might increase to $200 million on a token-by-token basis. Additionally, whenever Bitcoin or Ether transactions occur, the U.S. Trustee’s office must receive a 10-day prior notice.

Asset Traceability

Furthermore, to safeguard against the volatile crypto market, FTX aims to hedge Bitcoin and Ether. This strategic move is intended to reduce the potential impacts of price fluctuations on the sales proceeds. In addition, the estate has expressed interest in staking specific tokens. Such moves will ensure that returns from these token-staking ventures further benefit the creditors.

However, the sale’s traceability has raised questions, with lawyers representing FTX explaining that distinguishing individual crypto deposits is implausible.

“It’s all part of one pool,” they stated.

Hence, upon liquidation, the assets would be converted to cash, ready for distribution according to the plan.

Consequently, the steps taken after their bankruptcy filing in November and holding $3.4 billion in crypto assets are noteworthy since they seem focused on ensuring the best outcomes for their creditors while enhancing their users’ security.

Moreover, FTX customers have until September 29 to file proof of claims with Kroll. With court approval for asset liquidation and stronger security protocols, FTX seems poised to turn the page on a challenging chapter.

TAGS
FTX

Recommended
Price Analysis

Best Crypto Presales To Invest In September 2025 – Top Upcoming Presale Tokens

Best Crypto AI Trading Bots In 2025

Top Meme Coins To Buy In September 2025

Kelvin Munene Murithi

Kelvin Munene is a crypto and finance journalist with over 5 years of experience, offering in-depth market analysis and expert commentary . With a Bachelor's degree in Journalism and Actuarial Science from Mount Kenya University, Kelvin is known for his meticulous research and strong writing skills, particularly in cryptocurrency, blockchain, and financial markets. His work has been featured across top industry publications such as Coingape, Cryptobasic, MetaNews, Cryptotimes, Coinedition, TheCoinrepublic, Cryptotale, and Analytics Insight among others, where he consistently provides timely updates and insightful content. Kelvin’s focus lies in uncovering emerging trends in the crypto space, delivering factual and data-driven analyses that help readers make informed decisions. His expertise extends across market cycles, technological innovations, and regulatory shifts that shape the crypto landscape. Beyond his professional achievements, Kelvin has a passion for chess, traveling, and exploring new adventures.

Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.