[Author of "The Big Short": FTX once suffered a single loss of up to US$600 million due to a vulnerability in the risk control system]
According to news on October 5, Michael Lewis, author of "The Big Short", disclosed in his new book "Going Infinite" that FTX once lost a lot of money in hacker attacks, but in order to avoid "encouraging" other hackers, they chose to keep the losses secret . The largest hacking attacks occurred in March and April 2021. A trader opened an account on FTX and cornered the market on two coins with minimal trading volume: BitMax (BTMX) and MobileCoin (MOB). His purchases significantly pushed up the price of both coins, with MobileCoin going from $2.50 to $54 in just a few weeks. Due to flaws in FTX's risk management system, the trader pushed the value of MobileCoin and BitMax to ridiculous levels so that he could borrow other higher-valued cryptocurrencies such as BTC from FTX, leaving only FTX A bunch of crashing coins. This time alone, FTX lost approximately $600 million, and the combined value of all losses caused by the theft exceeded $1 billion.