SIM swap frauds flourish — carelessness should be punished

SIM swap frauds flourish — carelessness should be punished

AT&T is sued by crypto investor, whose SIM card was swapped, resulting in loss of $24 million. This investor, Michael Terpin, filed a lawsuit against AT&T, demanding $24 million plus additional $200 million as a compensation.

Finally, someone has stood up to face this problem. For many years, these communications companies are careless with the security of their customers and their funds. As long as phone numbers are being used for identification, these SIM swap frauds flourish. Every year, many people get scammed with this method of social engineering, losing their phone numbers and money. Does it bother any communications provider? Of course not. They happily give scammers the opportunity to get any number, and after that, it's not their problem. No complicated confirmations, verifications, just call the operator, say that you want to swap your SIM, and you get it.

Such carelessness should be punished somehow, as it seems that the only thing that would force big communications companies to change their attitude is to aim at their own wallet. If AT&T loses this case, it would be obliged to pay these $224 million, and it would make them think 'What should we do to avoid these cases in the future'. If they lose, this may give a green light to more lawsuits from people who lost money to fraudsters thanks to AT&T. And then the policies regarding SIM swap procedures may be revised and become more security-oriented.

DISCLAIMER: all the articles are based on personal opinions of their authors and shouldn't be considered as investment recommendations. Finrazor.com neither supports nor opposes any project or strategy, users must consider all relevant risk factors including their own personal financial situation.

Related news

UPS Cuts Deal with Blockchain Company Inxeption

The post UPS Cuts Deal with Blockchain Company Inxeption written by Richard Kastelein appeared first on Blockchain News - Security and Utility Tokens, Tokenomics, Cryptoeconomics Setting up, selling and shipping products online will now be easier for UPS’s B2B clients thanks to a new alliance between UPS and e-commerce technology company Inxeption.   “The growth of e-commerce is driving B2B buyers to expect the same fast and convenient shopping experiences that consumers enjoy,” said Kevin Warren, chief marketing officer for UPS. […] The post UPS Cuts Deal with Blockchain Company Inxeption written by Richard Kastelein appeared first on Blockchain News - Security and Utility Tokens, Tokenomics, Cryptoeconomics
Blockchain News

Western Union to Leverage Stellar Blockchain Courtesy of New Partnership

Popular international payments company Western Union has entered into a partnership with Thunes, a cross-border payments fintech startup, reports Finextra, March 21, 2019. The newly forged alliance allows Western Union customers to transfer funds directly into the recipient’s mobile wallet around the world. Ensuring Enhanced Financial Inclusion Enabling seamless cross-border payments is often touted asRead MoreRead More. The post by Aisshwarya Tiwari appeared first on BTCManager, Bitcoin, Blockchain & Cryptocurrency News
BTC Manager

Hot news

By continuing to browse, you agree to the use of cookies. Read Privacy Policy to know more or withdraw your consent.