Crypto SIM swap victim urges FCC to make phone companies hide customer passwords from employees

posted 28 days ago
Crypto investor Michael Terpin wrote an open letter to the Federal Communication Commission (FCC) chairman Ajit Pai requesting urgent action on SIM swapping fraud. Terpin, a victim of SIM swapping himself, asked the regulator to make mobile carriers hide customer passwords from employees and to provide a “no port” option, whereby customers would have to go through a company’s fraud department before transferring their SIM information to a new phone.

In a SIM swap, criminals pose as the owners of a victim’s mobile phone number, convincing telecom providers to grant them access to the SIM card. The same kind of hack affected Twitter CEO Jack Dorsey in September. In August 2018, Terpin sued AT&T alleging that AT&T employees had been complicit in a SIM swap fraud that saw hackers steal $24 million in cryptocurrency. Terpin is seeking $23.8 million in compensatory damages gainst AT&T as well as $200 million in punitive damages. Terpin said “I’m sick and tired of this happening while AT&T denies it,” Terpin said. “There’s no future of a billion people on blockchain without the phone companies fixing this.”
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