Cryptocurrency

Stablecoin TrueUSD (TUSD) announced a potential leak of certain Know Your Customer (KYC) and transaction history data as one of TrueCoin’s third-party vendors got compromised. 

TrueCoin was the operator of the TUSD stablecoin till July 13, 2023. On Oct. 16, a third-party vendor’s security team informed TrueCoin of “an anomalous account change within [TrueCoin’s] organization made by a compromised support vendor.” As a result, TrueCoin suspects the compromise of some of TUSD’s existing customer data.

TrueCoin’s internal systems were not impacted or accessed, as the company confirmed that the attack was an isolated incident on a third-party vendor. “TUSD system is SECURE and not attacked. Both TUSD system and TUSD’s reserves are UNAFFECTED,” affirmed TrueUSD through its official X (formerly Twitter) account.

Data collected from such breaches — names, email addresses and phone numbers, among others — are typically used for phishing attacks. Attackers reach out to unwary investors by mimicking various crypto services, often promising high profits in short amounts of time.

The impact of the attack and the resultant data leak is yet to be identified, as the total number of users’ data was not revealed during the announcement.

TrueUSD has not yet responded to Cointelegraph’s request for comment.

Related: TrueUSD stops minting via Prime Trust, loses dollar peg

TrueCoin recently distanced itself from Nevada-based Prime Trust right after the latter abruptly halted all fiat and cryptocurrency deposits and withdrawals.

TrueUSD announced that “it is not affected by the situation” at Prime Trust while emphasizing its diversified partnerships and maintaining “multiple USD rails” elsewhere.

“PrimeTrust has suspended all deposits of fiat and digital assets. #TrueUSD (#TUSD) is not affected by this situation. We have no exposure to Prime Trust and maintain multiple USD rails for minting and redemption. Rest assured, all your funds are safe with TUSD,” TrueUSD stated.

Magazine: Beyond crypto: Zero-knowledge proofs show potential from voting to finance

Articles You May Like

Global IT outage could take weeks to resolve, experts warn
Companies around the world hit by Microsoft outage
Here’s why international buyers are pulling way back from the U.S. housing market
Danger, Will Robinson! Mitigating AI-washing risk in municipal securities disclosure
What caused the huge global IT outage?