Brazilian cryptocurrency exchange Foxbit has recently revealed that, via the BlinkTrade trading platform, it updated its login process, making it safer for users. The update may be too late, however, as recent reports suggest the company’s poor security allowed hackers to phish users out of an estimated 58 BTC (about $540,000).
The 58 BTC estimate comes from cybersecurity expert Leandro Trindade, who warned Foxbit something was wrong with its security practices on March 29. The cybersecurity expert realized something was up when he noticed local complaint portal Reclame Aqui was being flooded with Foxbit-related content. Upon digging deeper, he found most users were complaining the funds they had on the platform went missing. Trindade’s investigation found that, on Foxbit, users could change their two-factor authentication (2FA) settings using only one password.