Lawsuit Was Filed Against T-Mobile

Customer filed a lawsuit against the telecoms company T-mobile due to the security breach
06 February 2018   206

On Sunday, a customer sued T-Mobile, claiming that the company’s lack of security allowed hackers to enter his wireless account and steal crypto worth thousands of dollars.

The lawsuit states that T-Mobile allowed hackers to access Carlos Tapang’s  wireless account in November 2017.

The hackers managed to cancel Tapang’s number and transferred it to an AT&T account under their control. Carlos insists that T-Mobile was unable to fix this security breach until the next day. After gaining control of his phone number, the hackers changed the password on one of Tapang’s cryptocurrency accounts and stole 1,000 OmiseGo (OMG) tokens and 19.6 BitConnect coins. The hackers converted them into Bitcoin, netting them 2.875 BTC.

The suit states that T-Mobile was partly responsible for the theft because the carrier said it would add a PIN code to Tapang’s account prior to the incident, but didn’t actually implement it. The victim also said that the hackers called T-Mobile’s support line to gain access to his accounts without identity verification.

The lawsuit doesn’t detail how exactly the hackers were able to access Tapang’s account.

Companies such as T-Mobile which are providing these services to their customers must implement tougher security measures to protect themselves from lawsuits and their clients from crypto hackers.

Bank of America: Cryptocurrencies Are a Threat

Bank of America (BoA) has admitted to US regulators it can not pretend any longer that cryptocurrencies are not a threat
23 February 2018   74

On February 22, the report was filed with the US Securities and Exchange Commission (SEC). It listed a range of economic, geopolitical, and operational risks that the Charlotte, NC-based bank faces as it heads into the new fiscal year. Crypto adoption was on the list for the first time.

Bank of America (BoA), which recently banned purchasing of crypto with credit cards, stated that this and other similar policies could cost the bank clients.

Clients may choose to conduct business with other market participants who engage in business or offer products in areas we deem speculative or risky, such as cryptocurrencies.

The second largest bank in the U.S. said that adoption of cryptocurrencies could require the bank to make “substantial expenditures” to update its existing services and remain competitive with upstart firms.

The widespread adoption of new technologies, including internet services, cryptocurrencies, and payment systems, could require substantial expenditures to modify or adapt our existing products and services.

According to the Bank of America, cryptocurrencies could limit the institution’s ability to comply with anti-money laundering regulations.

Eventually, this is one of the first public admissions that financial institutions are beginning to worry that mass cryptocurrency adoption could one day become a reality.