Renowned Nigerian crypto exchange, Patricia, has recently grappled with a massive security breach affecting the company’s Bitcoin and Naira assets. A situation that has precipitated immediate measures to shield its user base and fortify its security landscape. This unexpected cybersecurity incident prompted the suspension of fund withdrawals, a step taken as part of an ongoing internal restructuring designed to enhance the platform’s security measures.
A syndicated breach and the race to recovery
The hacking incident, evidently syndicated, cast its shadow over Patricia’s financial reserves, specifically compromising Bitcoin and Naira assets. While the exact extent of the impacted assets remains undisclosed, Patricia, in collaboration with law enforcement agencies, has managed to identify an individual within the syndicate linked to the breach. This breakthrough traces back to the compromised Naira assets, the majority of which are reportedly tied to this individual.
In its bid to restore normal operations and customer confidence, Patricia has engaged the services of a renowned security firm for an exhaustive audit of its operations. This audit focuses on Patricia Personal, a retail trading arm of the company impacted by the breach. It’s anticipated that the completion of this audit and consequent clearance of Patricia Personal will mark the resumption of customer withdrawals.
The recent breach suffered by Patricia bears testament to the fraught cybersecurity terrain that Nigerian fintech firms have to navigate. Earlier this year, Flutterwave, another Nigerian fintech giant, allegedly fell victim to the exploitation of nearly 2.9 billion Nairas, equivalent to $6.3 million. This incident prompted the Central Bank of Nigeria (CBN) to flag several bank accounts to apprehend the culprits.
Notably, CBN does not recognize cryptocurrencies as legal tender and has consistently shown resistance to integrating the country’s banking sector with cryptocurrency trading. However, these developments underscore the growing imperative for crypto exchanges in Nigeria, like Patricia, to ramp up their security measures.
Despite these challenges, Patricia has exhibited resilience in its efforts to recover from the breach and enhance its security measures. The company, boasting of handling 30,000 daily transactions for 850,000 users, is undeterred and remains committed to its mission.
