Bitcoin ATM operator Byte Federal hit by data breach, 58,000 exposed

As a seasoned analyst with over two decades of experience in cybersecurity, I find myself deeply concerned by this latest breach at Byte Federal. The compromising of such sensitive personal data, including government-issued IDs and Social Security numbers, is a grave matter that should not be taken lightly.

Approximately 58,000 customers of Byte Federal, a U.S.-based Bitcoin Automated Teller Machine (ATM) operator, have had their personal data breached by hackers.

Stone’s filing with the Maine Attorney General’s office indicates that Byte Federal suffered a cyberattack on September 30. The assailant exploited a weakness in GitLab, a third-party tool for managing and collaborating on projects, to gain access to one of Byte Federal’s servers. The identity of the attacker remains unknown at this time.

Approximately 58,000 individuals experienced a security incident where their personal details such as names, residential addresses, contact numbers, official identification documents, Social Security numbers, financial transactions records, and profile pictures were potentially exposed.

In response to an incident, Byte Federal advises its customers to change their login passwords, as they’ve already executed a complete reset on all user accounts, based on the information provided in their post-event report.

Additionally, the company has enlisted an external cybersecurity group to investigate the origins of the incident. As for the current status, the Florida ATM operator reported no indications that the leaked data has been exploited thus far.

Currently, Byte Federal ranks as the eight biggest Bitcoin Automated Teller Machine (ATM) provider within the United States, boasting a network of 1,387 machines strategically placed nationwide.

At present, they are involved in a legal dispute concerning trademark violation, as they both use similar branding for their respective companies. Byte Federal alleges that Bitcoin Depot’s use of this branding infringes upon its own trademark rights.

A current trend arises as cryptocurrency Automated Teller Machines (ATMs) face growing scrutiny due to allegations that they aid in the perpetration of illegal activities.

Authorities in Australia, the UK, and Germany have flagged potential dangers linked to Bitcoin Automated Teller Machines (ATMs), tightening their supervision, and cracking down on unauthorized service providers.

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2024-12-12 13:20