September 19, 2020

Twitter faces a fine of $ 250 million due to the security breach.

“We feel bad about the security breach incident that negatively affected the people we serve and trusted them,” said Jack Dorsey, Twitter CEO, after the hack.

Twitter revealed in a disclosure submitted to the Securities and Exchange Commission, that the Federal Trade Commission (FTC) may impose a fine on the platform of up to $ 250 million as a result of the largest penetration of the platform in July for public and prominent personal accounts, indicating the magnitude of the significant repercussions that may result from This data breach.

On July 15, several Twitter accounts of prominent personalities such as Bill Gates, Elon Musk, and Barack Obama were hacked, as hackers used them to promote and spread a fraudulent link to obtain Bitcoin conversions.

Twitter received a draft complaint from the Federal Trade Commission on July 28 describing alleged violations of the 2011 agreement, regarding its use of user personal data for targeted ads.

The company’s stated disclosure stated that “the company estimates that it will incur a potential loss as a result, ranging between $ 150 million and $ 250 million, while the company allocated $ 150 million in principle.”
Twitter acknowledged in the disclosure that the security breach “may have affected the people and accounts affected by it,” as well as “have affected the market’s confidence in the effectiveness of our security measures.”

Twitter shares fell 1.6% in post-market trading after the release of the disclosure.
Last Friday, three people were charged with the major breakthrough, including a 17-year-old boy from Florida.

Twitter may report: “This may also harm our reputation, loss of accounts as well as content or platform partners, as well as the loss of advertisers or advertising revenue or exposure to legal and financial accountability, including legal claims, regulatory inquiries, or other actions. It may be for any of These repercussions that have a material and negative impact on our business, reputation, and operational results. ”

130 hacked accounts that we’re able to access 36 private inboxes for VIP users. Sent tweets say: “I want to give back to the community. All Bitcoin coins sent to the account mentioned below will be sent again double! If I send 1,000 dollars, I’ll give you 2,000 dollars. I’ll do it for just 30 minutes.

“We feel bad about the security breach incident that negatively affected the people we serve and trusted them,” said Twitter CEO Jack Dorsey after the hack.