Nigerian cryptocurrency exchange Patricia Technologies has reportedly started reimbursing users after its platform was attacked. The development is another step in the right direction to restore customer confidence following the platform’s security breach in 2022. In the breach, the platform lost over N600 million of user funds to bad actors.
According to reports, Patricia requested a window of between two and five years to enable her to generate income from the operations.
Additionally, the platform is still coordinating efforts with law enforcement to recover some of the stolen funds. Following the hack, the platform temporarily suspended operations, halting withdrawals to file a police complaint regarding the theft on the platform.
The repayment efforts were announced via the CEO's social media.
The announcement of the repayment plan on the private account of Patricia’s CEO and founder, Hanu Vijiro Agbodji, is an attempt to prove to its users that it is still a trustworthy entity. The post claims that the repayment plan is already underway and that platform users will receive their funds in batches, meaning that it may take some time before all creditors are satisfied. Users are also advised to keep an eye on updates from official channels and update their details on the crypto platform.
Patricia has taken steps to reassure its customers that their funds will be returned immediately. While the investigation is ongoing, the platform has announced that users’ funds will be converted to Patricia’s native token (PTK). The platform has promised users that the token will be pegged to USDT, and has promised repayment in the future.
During this period, Patricia stated that the token was not on-chain but would act as an internal token before the payment began. Patricia also made efforts to appease affected users when she announced the delisting of DLM Trust as a collateral for the payment. However, DLM Trust came out to address the delisting, stating that it was due to disagreements between the two parties.
According to reports, the police uncovered a lead in the case that led to the arrest of three people, including politician Wilfred Pons, in November 2023. In a statement by police spokesperson Olumuyiwa Adejobi, Pons provided assistance to the hackers, enabling them to launder about $50 million of the stolen money from the platform.
Bonse received some of the money in his account, information that was provided to authorities. Adejobi said the bullets provided them with enough material to blow the can open. While Bonse and others have been arrested, the police spokesman said the force is still doing everything it can to apprehend others who are still at large.
The Patricia hack highlights one of the flaws in the cryptocurrency industry. While cryptocurrency exchanges need to do more to secure their platforms, users are advised to keep their tokens safe by any means possible. One of the most widely used methods is to use offline wallets, which can provide guaranteed security. Users also need to keep their seed phrases safe from third parties, as exposing them could cause problems.
