Telecommunications giant AT&T got sued for facilitating $24 Million cryptocurrency theft.
The AT&T company was accused by a customer for allowing hackers to swap his SIM card, in what appears to be an elaborate scheme by fraudsters. This action led to the lost of cryptocurrency worth millions of dollars.
Michael Terpin, a serial cryptocurrency entrepreneur and technology startup extraordinaire, claimed that the AT&T ’s lack of security allowed hackers to enter his wireless account on January 7, 2018, and steal crypto coins worth roughly $24 million.
Michael Terpin is a cryptocurrency entrepreneur and also the founder of Marketwired, currently the world’s third-largest company newswire. His cryptocurrency endeavors include the first angel group for bitcoin investments, BitAngels, as well as Bitcoin Syndicate, and CoinAgenda. His PR firm, Transform, also works with cryptocurrency-linked companies and other tech companies.
How it all Happened
Well, while it’s still unclear how this happened, however the lawsuit suggests they impersonated him to AT&T’s customer-service agents and requested that the phone number be transferred to their own device. Thus, the thieves replaced Terpin’s mobile SIM.
And with the thieves having access to his phone number, they were able to request a password change and reset the security on many of his accounts, effectively locking him out, he said.
Michael Terpin further said, “What AT&T did was like a hotel giving a thief with a fake ID a room key and a key to the room safe to steal jewelry in the safe from the rightful owner,”
The lawsuit described the case as an example of classic identity theft, in which hackers gained access to sensitive financial information by stealing personal data.
And at such Michael Terpin is seeking for a whooping $224 million compensation from the Telecom company. Pointing finger towards them for cryptocurrency theft.