Angel Investor Sues Bittrex, Claiming Cryptocurrency Exchange’s “Unfair and Deceptive Ac…

SEATTLE–(BUSINESS WIRE)–Gregg Bennett, a serial angel investor involved with more than 30 local startups, recently filed a lawsuit against Bellevue, Washington-based Bittrex, claiming the exchange violated or ignored its own security standards and industry-standard practices that allowed hackers to steal nearly $1 million dollars of bitcoin from Bennett’s account in April.

The suit, filed in King County Superior Court, seeks to hold the exchange liable for the loss, based on what the suit describes as “unfair and deceptive acts that misrepresented its level of security.”

According to the suit, filed October 28, Bennett was initially the victim of a SIM card hack, an increasingly common scheme where hackers seize control of a victim’s cell phone SIM card and use it to gain access to accounts and passwords by impersonating the owner.

In this case, the hackers used Bennett’s digital identity to assume control of a wide range of his personal accounts,…