Galaxy Digital’s testnet suffers hack but no client funds or information were compromised
Mike Novogratz’s crypto financial services firm said unauthorized access was limited to a segregated R&D workspace; trading systems and client accounts were unaffected.
What to know:
- Unauthorized access was limited to an isolated R&D workspace, not production systems.
- Galaxy says no client funds or account data were accessed or at risk.
- All trading platforms and services remain fully functional and unaffected, the firm said.
Galaxy Digital (GLXY), the digital asset financial services firm founded by Mike Novogratz, said it recently contained a cybersecurity incident involving unauthorized access to an isolated development workspace, according to a statement from a company spokesperson.
“An immaterial amount of company funds used for testing within the isolated development workspace was impacted,” the spokesperson said in emailed comments. The loss was less than $10,000, according to a person with knowledge of the matter.
The firm emphasized that the affected environment was used solely for research and development and was not connected to its core infrastructure, production systems, trading platforms or client accounts.
Galaxy said it detected the intrusion and moved quickly to contain it, secure the compromised workspace and implement additional precautionary measures across its on-chain infrastructure.
“No client funds or client account information were accessed or at risk at any point based on our review to date,” Galaxy said, adding that all platforms and services remain fully operational and secure for clients.
Hacks and exploits remain a persistent risk in the crypto industry, where the combination of open-source code, large pools of onchain liquidity and uneven security practices creates an attractive target for attackers.
