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NextGen Magazine


Cryptocurrency Exchange Being Blackmailed, Offers $290K Reward for Info

Chris Gaetano
Published Date:
Aug 12, 2019

Cryptocurrency exchange Binance, which was recently the subject of a massive theft, continues to face problems, as it has revealed that someone is threatening to release photos of 10,000 of its customers if the extortionist does not receive 300 bitcoins, according to Bloomberg. The photos were used to verify customer accounts in order to comply with know-your-customer regulations. Given that, for many, the appeal of cryptocurrency is its relative anonymity, such a release would likely be highly damaging for both the company and its customers. 

It is currently unknown whether the extortionist is connected with those behind the previous hack. It is also unknown whether that person even has the photos threatened to be released, or if they are actually connected with customer accounts. 

Binance is offering a reward of 25 bitcoins, worth about $290,000 total, for any information that can be used to help identify the blackmailer.