Floating Point Group (FPG) has halted trading, deposits, and withdrawals due to a “cyber security incident” on Sunday. FPG is a prime crypto brokerage that manages over $50 billion worth of assets.
FPG immediately worked with third-party forensics experts and law enforcement upon discovering the incident. A spokesperson from FPG acknowledged the incident and stated that the firm had secured all wallets, locked third-party accounts, and is investigating the incident’s extent and details.
According to the spokesperson, FPG’s account segregation helped minimize the attack’s impact. The spokesperson mentioned that the exact loss is estimated to be between $15 million and $20 million in cryptocurrencies.
“We are working with the FBI, the Department of Homeland Security, our regulators, and Chainalysis to understand how this occurred and to recover assets,” the spokesperson said. “As this is an ongoing investigation with law enforcement, we cannot share specifics now. We will provide updates as they become available.”
More to FPG
FPG, established in 2018 at the Massachusetts Institute of Technology, is a platform that serves as a prime crypto brokerage and agency trading desk for asset managers. It offers liquidity access across various markets. In December, FPG stated that its blockchain foundation customers make up 5% of the total treasury management market.
The company has received investment from Coinbase Ventures, Anthony Scaramucci of SkyBridge Capital, and Naval Ravikant, the founder of AngelList. In total, FPG has raised $12 million in funding.
