Algo Capital lost millions of dollars due to smartphone hacking
Cybercriminals targeted the mobile phone of the technical director of venture capital firm Pablo Yabo. After hacking the smartphone the attackers gained access to the hot cryptocurrency wallet that was controlled by Yabo and pumped USDT and ALGO tokens from it.
Yabo took full responsibility for the theft of funds in a statement, released on Monday:
The operation was very swift, within minutes the hackers had been able to access a sensitive file and transferred all stolen crypto funds. They moved to split the funds into numerous accounts and transferred all funds separately to exchanges.
Yabo reported that most of the damage would be covered from his personal funds. Immediately after the incident, the man resigned from Algo Capital. The remainder will be paid to the holders by Algo Capital General Partner.
He said:
The incident made me think thoroughly about the state of the ecosystem and the difficulties to secure and operate funds while doing it in a versatile manner. It is still very complicated to secure funds for institutions that need them readily available. Until this interface problem is not solved, the global adoption of this technology by businesses will not happen.