Apple app steals $1.6 million in bitcoin from at least five people

[Mike Mercury]

Man Blames Apple for $600K Bitcoin Theft; cryptocurrency app was downloaded from the 'trusted' App Store

https://www.newser.com/story/304316/...ss_world_login

Apple says its App Store is "the world's most trusted marketplace for apps," where each submission is carefully reviewed. Still, one app on iOS was able to steal $1.6 million in bitcoin from at least five people, reports the Washington Post. On Feb. 1, Phillipe Christodoulou had downloaded a highly-rated app that appeared to be connected to a company that makes hardware wallets, which people use to secure their cryptocurrencies. It included the company name, Trezor, and its padlock logo. But when Christodoulou typed in his credentials, his life savings—17.1 bitcoin worth $600,000 at the time—vanished. The app Christodoulou had downloaded was a fake, completely unconnected to Trezor. Coinfirm, a company that conducts fraud investigations related to cryptocurrency, says five iOS users reported total losses worth $1.6 million, per the Post.

The apps had been downloaded thousands of times. But it's alarming that the fake app appeared on the App Store as Apple says user trust is at its foundation. For Christodoulou, who hoped to save his suffering dry-cleaning business, that trust has gone with his bitcoin. "Apple doesn't deserve to get away with this," he tells the Post. Apple says the fake app was approved in January as one that would encrypt iPhone files, but it later transformed into a phishing app. This apparently isn't so rare; Apple says it removed 6,500 apps for "hidden or undocumented features" in 2020, per Apple Insider. Apple deleted the fake app on Feb. 3, after Christodoulou and Trezor complained. But Christodoulou says a version quickly reappeared and had to be deleted again.

[Steve_R]

Anybody who puts their entire $600k life savings into Bitcoin is not very bright.

[Dan47]

Bummer.

[Vandelay Industries]

[markids77]

Yet another reason to avoid a "currency" which was created out of angel farts and pixie dust.

[ZipZap]

Bet he wishes he had that useless paper in his mattress at this point. YMMV

[dvarapala]

Originally Posted by markids77

Yet another reason to avoid a "currency" which was created out of angel farts and pixie dust.

You mean like the US Dollar?

How is this any different than putting $1 million in your mattress and then being tricked into giving someone your house key? The problem here is not Bitcoin, it's lack of security.

[Steve_R]

Originally Posted by dvarapala

You mean like the US Dollar?

How is this any different than putting $1 million in your mattress and then being tricked into giving someone your house key? The problem here is not Bitcoin, it's lack of security.

How is it any different? Seriously?

A. Keeping cash in a mattress is beyond stupid.
B. I control my house key. I don't control the security of apps on my phone.

But you already knew that.

[Dan47]

Originally Posted by dvarapala

You mean like the US Dollar?

How is this any different than putting $1 million in your mattress and then being tricked into giving someone your house key? The problem here is not Bitcoin, it's lack of security.

The difference is the government gun pointing at citizens demanding they pay taxes and do so with U.S. dollars (and legal tender laws, in general).

[dvarapala]

Originally Posted by Steve_R

How is it any different? Seriously?

A. Keeping cash in a mattress is beyond stupid.
B. I control my house key. I don't control the security of apps on my phone.

But you already knew that.

The point is still valid. US dollars can be stolen too.

And you do control which apps you install on your phone.

But you already knew that.

[Dan47]

Originally Posted by dvarapala

The point is still valid. US dollars can be stolen too.

And you do control which apps you install on your phone.

But you already knew that.

I don't have any digital dollars that aren't replaced in the event of fraud, theft, etc, (FDIC insurance). Cash could be but that is an extremely small portion of the currency supply. Plus, via CC, I earn miles, cash back, etc.

I wish bitcoin could do what it promises but it isn't remotely possible. It simply isn't competitive with the government backed dollar and if it were, it would be quickly outlawed by that same government.

The solution to todays system is an end to the Federal Reserve monopoly and free market monetary competition. Most probably achievable at the State Government level. Several are already working towards remonetizing silver and gold as our Constitution demands. A blockchain system tied to a real world commodity like those two, is IMO, the most likely candidate for a free market economy. But only competition could say for certain.

[dvarapala]

Originally Posted by Dan47

I don't have any digital dollars that aren't replaced in the event of fraud, theft, etc, (FDIC insurance).

So if I pickpocket your wallet who will replace the cash that was in it?

[JetMechZ16]

Originally Posted by dvarapala

So if I pickpocket your wallet who will replace the cash that was in it?

My Glock in your face.

[Dan47]

Originally Posted by dvarapala

So if I pickpocket your wallet who will replace the cash that was in it?

Of course cash is vulnerable. I said as much previously but people don't carry much cash today and certainly not in the amounts stolen from the bitcoin holders mentioned in the OP. Appears it would be much harder to steal cash from someone's home versus bitcoin on a computer, too?