BlockTower Capital, a leading cryptocurrency investment firm, has reportedly fallen victim to a hacker attack and its main hedge fund has been partially drained, according to sources cited in Bloomberg's report.
BlockTower Capital's Main Hedge Fund Reportedly Targeted in Hacker Attack
The report published today revealed that hackers compromised BlockTower's main hedge fund, leading to the disappearance of a significant portion of the fund's assets.
The exact amount of stolen funds was not disclosed by the company, and the hackers responsible for the breach have still not been caught.
BlockTower took swift action regarding the incident and enlisted the help of blockchain experts to conduct a thorough investigation into the matter. However, the firm did not offer any further details or comments regarding the ongoing investigation.
This isn't the first time BlockTower has faced difficulties in protecting its assets. In February 2023, it was reported that the firm lost $1.55 million worth of TrueFi tokens in a separate fraud incident.
Also last year, BlockTower liquidated a crypto fund that once managed over $100 million in total assets, according to Bloomberg.
Despite these setbacks, BlockTower has continued to have a significant presence in the cryptocurrency investment landscape since its founding in 2017.
According to Dealroom's data, the company has been involved in supporting important projects in the crypto and Web3 space, such as Dapper Labs, Sky Mavis and Aptos Labs.
*This is not investment advice.