- Kontigo reimbursed users after Hackers drained roughly $341,000 in USDC from more than 1,000 accounts.
- The company said on its X account it had detected unauthorized access that affected user funds.
- Hackers removed 340,905.28 USDC from 1,005 accounts; refunds have been processed.
- JP Morgan and payments firm Checkbook recently cut Kontigo’s access to U.S. banking services, citing compliance risks linked to Venezuela.
- The incident follows a U.S. operation that captured Venezuelan president Nicolás Maduro on Jan. 3 and amid reports the regime could hold about $60 billion in Bitcoin.
On Monday, Kontigo said it detected unauthorized access that affected user funds and that it had reimbursed impacted customers. The company reported the breach after attackers drained funds from more than 1,000 user accounts.
Kontigo said the attacker removed a total of 340,905.28 USDC from 1,005 accounts and that refunds for affected accounts have been processed. “detected an unauthorized access that affected funds of some users.” appears on the company’s X account.
The stolen tokens were denominated in USDC, a stablecoin pegged to the U.S. dollar (a type of cryptocurrency designed to keep a 1:1 value with USD). Kontigo described itself as a platform for saving and investing in “digital dollars.”
The breach comes after two financial firms cut Kontigo’s banking access. JP Morgan and payments firm Checkbook had provided virtual accounts to Kontigo; virtual accounts are bank account numbers issued to a company to help route and reconcile customer payments without separate physical accounts for each user. Both firms ended that arrangement, blaming compliance risks linked to Venezuela.
The incident also overlaps with major political and financial developments in Venezuela. A U.S. military operation seized Venezuelan president Nicolás Maduro from his Caracas residence on Jan. 3, an action reported by the BBC.
Recent trading and investigations have highlighted crypto flows tied to the country. A Polymarket account created in December netted a roughly $437,000 gain, after it bet $32,000 that Maduro would be removed. An investigation by Whale Hunting suggested the regime could hold about $60 billion in bitcoin. Opposition leader María Corina Machado has praised bitcoin as a way to withstand Venezuela’s economic crisis in coverage by Bitcoin Magazine.
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