BlockFi, FTX downplay data breach involving claims administration platform Kroll

The breach Thursday calls into question the security measures employed by the third-party vendor

article-image

John Hanson Pye/Shutterstock, modified by Blockworks

share

Embattled crypto firms BlockFi and FTX said they have both been indirectly affected by a cybersecurity breach involving third-party claims administration platform Kroll. 

BlockFi issued a statement on Wednesday attempting to assuage concerns that its internal systems and funds had not been affected by the breach that had occurred Tuesday. Kroll has reportedly confirmed unauthorized access to certain client data stored on its system.

Kroll is currently serving as the claims agent in the bankruptcy cases of both companies, facilitating the submission and administration of debtor claims through online portals

“To be clear, BlockFi’s internal systems and client funds were not impacted,” BlockFi said in its statement. “We understand this is frustrating. In the spirit of transparency, we wanted to make our clients aware of this incident before bad actors could utilize this information to clients’ detriment.”

Defunct crypto exchange FTX announced a similar incident, which it said had occurred on Kroll’s platform and that its own system and account passwords had also not been affected.

In a post on X, formerly Twitter, FTX said non-sensitive customer data of claimants had been compromised. Kroll has since taken measures to contain and remediate the incident, per the statement.

“Kroll is notifying affected individuals directly with measures that customers can take to protect themselves,” FTX said.

FTX collapsed late last year following allegations it had misappropriated customer funds through sister trading firm Alameda Research. BlockFi simultaneously fell victim to a liquidity crunch following its exposure to FTX through loans made to Alameda as well as funds trapped on FTX.

BlockFi is attempting to foil efforts by FTX, as well as former Singapore-based hedge fund firm Three Arrows Capital, over claims to billions of dollars they say are owed to them by the former crypto lender.

Both companies advised clients Thursday to remain vigilant for attempted fraud, phishing attempts and scam emails impersonating parties connected to the security breaches.

BlockFi also warned of an expected uptick in spam phone calls and phishing attempts against other bankrupt crypto firms in the weeks and months ahead.

FTX and BlockFi said they were monitoring the situation. Blockworks attempted to contact Kroll but has so far received no response.


Get the news in your inbox. Explore Blockworks newsletters:

  • Blockworks Daily: The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam.
  • Empire: Start your morning with the top news and analysis to inform your day in crypto.
  • Forward Guidance: Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance.
  • 0xResearch: Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more.
  • Lightspeed: Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks.
  • The Drop: For crypto collectors and traders, covering apps, games, memes and more.
Tags

Upcoming Events

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates (5).png

Research

Outside of stablecoins, the value of tokenized assets sits below $20B, dominated by the following asset classes: private credit, US Treasuries, commodities, institutional alternative funds, stocks, non-US government debt, and corporate bonds. In the coming months, we see the greatest opportunities in the tokenization of illiquid markets, particularly private equity. However, the successful integration of offchain assets into blockchain ecosystems relies heavily on clear and consistent regulatory frameworks, with purpose-built infrastructure to support it.

article-image

The SEC’s newest statement on PoW mining adds further clarity, though a commissioner points out its limits

article-image

Markets react to Fed Chair Jerome Powell’s comments at yesterday’s FOMC meeting

article-image

At DAS, the US president noted he’s called upon Congress to enact “simple, common-sense rules” for stablecoins and market structure

article-image

GDC shows us crypto game developers feel a bit down despite lavish parties and packed crypto side events

article-image

What a Pyth/Morpho/Re7 debacle says about decentralized accountability

article-image

At DAS, VanEck’s Matthew Sigel weighed in on a market that’s “90% flows and 10% fundamentals”