CCN reports that a vendor has been selling user data obtained from KYC, know-your-customer data. According to the report this data had been taken from well-known cryptocurrency exchanges like Binance, Bittrex, Poloniex and Bitfinex.
The vendor goes by the name “ExploitDOT” and has been selling the data at “Dread,” a marketplace on the dark web.
This data hacking has been happening since July 2018, when the hacker put up an ad about selling documents containing information like identity card details, driving licenses. The vendor makes mention that the data had been taken from KYC checks of top cryptocurrency exchanges, and that data is sold from every country where these cryptocurrency exchanges operate.
On investigation by the reporter, it was found out that a huge amount of data was on sale being offered at prices of $10 for 100 documents or more, while discounts were offered to those who make bulk purchases. As reported, the ad is still up and running on the dark web.
Further investigation has been done by a cybersecurity expert who contacted the vendor as a buyer. The expert contacted the reporter giving out the details regarding their founding. They were able to receive free samples from the vendor. These samples served as proof that the hacked documents were very much real. The documents received included pictures of people holding up a paper with “Binance” along with the date and the time of the action, inscribed on it. These individuals’ faces, identity cards or drivers license could be clearly seen. The identity of the cybersecurity expert has been kept confidential as per their desire.
On contacting Binance, the cybersecurity expert was told that there were “some inconsistencies” between the data presented with and the “samples provided”. Binance’s spokesperson also claimed that they have their “theories in regards to how this information may have been obtained,” continuing that there had been no alarms or indications to unauthorized access to their system.
This data breach if is at a broad scale could end up negatively for cryptocurrency exchanges who are also facing a downturn in crypto users thanks to the recent crypto unpopularity.