AT&T is being sued, along with T-Mobile, by Silver Miller, one of the leading law firms for cryptocurrency related cases in the US. The firm is suing the communication companies because of cellphone hacks that is allegedly victimizing cryptocurrency users.
The issue that the crypto investor law firm has raised in court against these two companies is one that concerns digital identity theft, called “SIM swapping.” The firm, which usually deals with ICO frauds, claims that the plaintiffs are suffering greatly due to these cellphone hacks.
Silver Miller, on behalf of its customers, is claiming that cellphone provider companies like AT&T and T-Mobile do not have airtight security protocols, which are resulting into hackers gaining access to people’s phones and duping them. The loopholes in the system make it very convenient for hackers to steal the user’s financial records and identity information.
The firm also claims that the companies have failed to train and adequately monitor their employees, which has made it even more difficult for users to seek any redressal or for the company to put an end to this violation of privacy. These attacks are leading to crypto holdings of the users being stolen, which is costing them a lot of money.
One of the plaintiffs has lost over $621,000 in crypto coins following a SIM swap. Despite having intimated AT&T of an attempted hack and having received assurance from them regarding increased account security after the breach, the user’s device was hacked and money was stolen from his account.
SIM swapping is not a new phenomena in the telecom industry. It has emerged as a sort of epidemic problem that is affecting thousands of users worldwide. What exactly happens is that the hacker gets a duplicated SIM for an account and steals millions of dollars from the victims without them being aware of what is happening. The hacker usually pretends to be the original user and calls up a representative of the telecom carrier under the guise of seeking help. The hacker then steals money, financial information, personal information and digital assets from the victim’s accounts.
The law firm has encouraged victims of such dubious incidents to seek out legal help.