Nigerian fintech Flutterwave denies reports of customer account hacking – fintech

Nigerian fintech Flutterwave has denied reports that hackers stole up to $6.3 million from user accounts. The fintech firm said a routine review of its transaction monitoring system helped uncover “an unusual trend of transactions in some users’ profiles.”

Application for freezing

Nigerian fintech unicorn Flutterwave said reports that hackers had stolen about $6.3 million from customer accounts were untrue. In a March 5 statement, the fintech insisted that no user had lost money and that the corrective actions taken had indeed enabled it to “address the issue before our users could be harmed.”

Flutterwave’s statement dismissing the hacking claims followed a Techpoint report that indicated up to $6.3 million (2.9 billion naira) had been siphoned from users’ accounts. According to the report, the hacking incident is said to have happened in early February, and Flutterwave is said to have responded by filing a request to freeze accounts in up to 27 financial institutions.

While the statement noted that Flutterwave is working with “other financial institutions and law enforcement agencies to keep our ecosystem safe and secure,” the fintech firm insisted it only took action after spotting anomalies in some users’ accounts .

“During a routine review of our transaction monitoring system, we noticed an unusual transaction trend in some users’ profiles. Our team immediately initiated an investigation (in accordance with our standard operating procedure) which found that some users who had not enabled some of our recommended security settings may have been vulnerable.”

Flutterwave added that the pre-emptive steps helped address the issue before “any harm could be done to our users.”

They are popular, I will post evidence here, A hack confirmed by a Flutterwave employee, my bank confirming that Flutterwave contacted them, Flutterwave filed a petition with a lawyer whose seal has expired since 2017. pic.twitter.com/zEHVMCgQOn

— Ufedo (@UfedoDavid) March 5, 2023

Meanwhile, some users on Twitter have dismissed Flutterwave’s version of what transpired, insisting the hacking incident is true. A user known as Alex Onyia, tweeted that Flutterwave had been hacked by Omar Edewor Trades and that millions of naira had been stolen from customer accounts. Another user, Ufedo, shared “evidence” proving the hacking incident took place.

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Terence Zimwara

Terence Zimwara is an award-winning Zimbabwean journalist, author and writer. He has written extensively on the economic woes of some African countries, as well as how digital currencies can provide an escape route for Africans.

photo credit: Shutterstock, Pixabay, WikiCommons