BitPay Sues Insurer After Losing $1.8 Million in Phishing Attack
This piece has been updated with additional information, including the court documents filed by BitPay in federal court. BitPay has filed suit against a Massachusetts insurance company after losing $1.8m during a phishing attack last December. According to documents obtained by the Atlanta Business Chronicle, the bitcoin payment processor was defrauded in mid-December by an unknown individual posing as BTC Media CEO David Bailey, whose computer was infiltrated prior to the attack. The attacker subsequently obtained email credentials for BitPay CFO Bryan Krohn, which were then used to....
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A legal battle between bitcoin payment processor BitPay and a major insurance company has ended. Filed yesterday, a court order dismissed the suit between BitPay and Massachusetts Bay Insurance Company, a subsidiary of Hanover Insurance, without prejudice. According to the court order signed by US District Judge Steve Jones, the two sides "have reached a settlement in principal". The suit traces back to late 2014, when BitPay lost approximately $1.8m in bitcoin during a phishing attack that targeted the company’s leadership team. At the time, the unknown attacker was able to....
Editors Note: We have updated the article to clarify that Mr Krohn’s email was compromised not Mr Pair’s. Also we have updated to link Mr Zimmerman as the creator of PGP and linked his Wiki page. We apologize for the confusion. Two weeks ago, it was revealed that BitPay suffered a phishing attack in late 2014, costing the company $1.8 million USD.....
Japanese Bitcoin exchanges and their customers will soon be insured for the first time thanks to a product launched by Tokyo-based insurance firm Mitsui Sumitomo Insurance. As reported by the regional publication Nikkei, coverage will be offered against damages and losses borne out of breaches or hacks, ranging from 10 million yen to 1 billion yen (between $88,000 and $8.8 million approximately). Notably, coverage also includes losses incurred due to internal company mishaps and employee improprieties, a clause which BitPay is certain to favor following a theft of 5,000 bitcoins in 2015....
An insurance company sued by industry startup BitPay following a claim dispute has fired back, denying the bitcoin payment processor's allegations in a new court filing. BitPay originally filed suit against Massachusetts Bay Insurance Co (MBIC) months after it lost 5,000 BTC (then valued at roughly $1.8m) following a phishing attack. The company later alleged breach of contract and bad faith in a suit filed against MBIC. However, in a 17th November court filing, MBIC has stated that it believes it was justified in rejecting BitPay's claim, formally requesting the court to toss the suit. At....
Phishing attacks are nothing new on the internet. While most are relatively amateurish (the African Princess) some are quite well put together and will fool most people if you are not paying attention. Phishing incidents have been happening more and more frequently in the virtual coin industry and the latest group targeted seems to be customers of BitPay, one of the largest cryptocurrency payment platforms in the world. There has been an email phishing attempt spoofing BitPay’s late payment notification email. As always, BitPay’s security is the main priority. There has not been a breach....