In the wake of recent asset theft incidents on leading exchanges OKX and Binance, 4Alpha Group wasted no time in reaching out to the respective authorities to conduct a thorough security risk assessment of all managed accounts. They swiftly implemented a range of measures to bolster the security system.
In a distressing account on platform X, user Nakamao disclosed, “I have fallen victim to the crypto realm, losing $1 million from my Binance account.” Despite being in a supposedly secure environment with all devices within reach, hackers managed to siphon off all funds from Nakamao’s account without the need for a password or two-factor authentication (2FA).
Shortly after, a similar incident unfolded on the OKX exchange. A community member reported that their account had fallen prey to AI “face swap” technology, resulting in the unauthorized transfer of $2 million in assets. As a reputable cryptocurrency trading platform, OKX is entrusted with safeguarding user assets. This incident shed light on the platform’s lax approach to security, inadequate investment in safety measures, and lack of robust risk management capabilities.
Following these alarming security breaches, the individuals overseeing 4Alpha Group’s asset management division promptly engaged with the authorities at OKX and Binance. They conducted a thorough security risk assessment of all managed accounts and implemented several measures, including restricting withdrawal amounts and managing trading pairs. These actions were taken to ensure the safety of customer assets, maintain the stability of strategy returns, and thwart malicious activities like market manipulation and theft. This proactive response underscores 4Alpha Group’s unwavering commitment to asset security and responsible conduct.
To fortify the security of funds and information protection, 4Alpha Group recently rolled out an array of enhanced risk control measures, encompassing the following key aspects:
1. Enhanced identity verification system: Stricter verification protocols are in place to grant access to assets only to users who have undergone rigorous authentication.
2. Multi-signature technology: Key operations require multiple authorizations, effectively thwarting both internal and external threats.
3. Real-time monitoring system: A 24/7 monitoring system promptly detects anomalies and responds with targeted measures.
4. Encrypted communication transmission: Utmost encryption technology safeguards all information exchanged between the firm and clients, ensuring privacy and security.
5. Security training and testing: Regular security awareness training and simulation tests equip employees to tackle various security threats effectively.
Through these upgraded measures, 4Alpha Group aims to furnish clients with a more secure and dependable asset management service, safeguarding their funds. The firm extends gratitude for the trust and support received.
Leveraging their extensive experience in risk-free operations, 4Alpha Group advises novice traditional asset managers and investors to opt for centralized exchanges or custodians prioritizing security and compliance. Additionally, collaborating with well-established professional institutions of greater scale and longevity is crucial in ensuring the safety and stability of assets.
In the realm of crypto assets, security stands as the paramount concern. 4Alpha Group calls upon industry stakeholders to collectively reinforce supervision and self-regulation, fostering a safe and trustworthy investment environment for all stakeholders.
Disclaimer: This press release may contain forward-looking statements, reflecting anticipated future expectations, plans, results, or strategies (including product offerings, regulatory plans, and business plans) that are subject to change without notice. Readers are advised of the multitude of risks and uncertainties that could potentially deviate future circumstances, events, or results from those outlined in the forward-looking statements.
