Crypto.com Denies Covering Up 2023 Data Leak After Hacker Claims

Crypto.com Denies Covering Up 2023 Data Breach After Scattered Spider Hack Reports

  • crypto.com denies concealing a 2023 user data breach from authorities.
  • A Hacking group called Scattered Spider reportedly gained access by phishing a Crypto.com employee account.
  • The exchange states the impact was limited, affecting a small number of users and involving no customer funds.
  • Crypto.com claims it notified U.S. and other regulators about the incident.
  • Questions remain about whether affected users were directly notified and if public filings were made.

Crypto.com has stated it did not hide a user data breach from authorities after reports emerged about a 2023 hack involving the company. The exchange confirmed that in early 2023, hackers used phishing techniques to access an employee account, exposing some user information.

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A spokesperson for Crypto.com told Cointelegraph that the company made a “Notice of Data Security incident filing” with the U.S. Nationwide Multistate Licensing System. The spokesperson also stated that further reports were filed with other relevant regulators.

According to the company, the breach resulted from a phishing campaign and led to the exposure of some personally identifiable information (PII) for a small number of users. The spokesperson said, “The incident was contained within hours of detection, and no customer funds were accessed or ever at risk.” It remains unclear if individuals affected by the breach were directly notified or if any filings have been made publicly available. Crypto.com did not respond to additional questions on user notification.

The details came after a Bloomberg report named Noah Urban, a member of the Scattered Spider group, who reportedly claimed responsibility for the hack. Blockchain investigator ZachXBT also said on X that Crypto.com “covered up a breach that impacted the personal information of your users” and referred to previous incidents. The report drew public criticism for Crypto.com’s approach to communicating about the breach, especially given other recent high-profile data leaks in the crypto industry.

Crypto.com CEO Kris Marszalek addressed the incident on X, denying allegations of secrecy and labeling online claims as “misinformation… spreading from uninformed sources.” Marszalek reiterated that the company notified regulators and did not fail to disclose the event.

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Earlier this month, the exchange finalized an agreement with Trump Media & Technology Group, parent company of Truth Social, to set up a Cronos (CRO) treasury, signifying closer ties between Crypto.com and the Trump-linked media entity.

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