OKX has reported another AI face-swapping theft incident, and founder Star Xu is working hard to address the public trust crisis

According to a new message posted on X by OKX CEO and founder Star Xu, chat logs from a victim of an AI face-swapping case indicate that the theft occurred internally at OKX. The victim has been using these chat logs to threaten OKX, demanding excessive compensation.

Frequent security issues at OKX

On June 9, two OKX users experienced SIM card swapping attacks, resulting in the theft of undisclosed funds. The hackers carried out the theft using deceptive SMS notifications purportedly from the exchange.

Almost simultaneously with the revelation of the AI face-swapping incident, another OKX customer reported that their account had all ETH sold off and all funds withdrawn within just 25 minutes.

Unlike other theft victims, this customer is the Singapore market maker QuantMatter. Their OKX account was hacked, resulting in the theft of $11.6 million, drawing widespread attention online.

OKX's remedial measures

For the recent AI theft incident, OKX has promptly reset security settings, upgraded to a new generation of AI face detection, and introduced dual human reviews for all requests to reset security settings for accounts with balances exceeding a certain limit.

In response to the SIM card swapping attack on June 9th, OKX has updated to version 6.71.1 on iOS, eliminating phone verification for withdrawals. Instead, they have implemented dual verification via email and authenticator.

Regarding the theft involving Singapore market maker QuantMatter, OKX is actively communicating with the parties involved in hopes of resolving the issue collaboratively. They aim to minimize the impact caused by the incident going forward.

OKX is facing a crisis of trust

As the world's third-largest cryptocurrency exchange, following only Binance and Coinbase, OKX has experienced an outflow of over $630 million in the past 7 days, with data indicating users are shifting towards the leading exchange, Binance.

Users are transferring their funds out of OKX, despite the exchange's proactive efforts to regain customer trust following the SIM card theft incident. However, the successive occurrences of theft cases have raised public doubts about OKX.

OKX is currently in a sensitive position in terms of public opinion, where every action is crucial. OKX CEO Star is actively responding to the theft incidents.