Cash App suffers major data breach affecting millions of users

Last December, Cash App, the financial services and digital payments firm formerly known as Square, was hacked. Block made a filing with the SEC on Monday acknowledging the breach. A former employee was able to access documents that stored US client information, according to the filing. On December 10th 2021, after the employee had departed, this occurred.

Also Read: Thousands of businesses on high alert after Okta confirms January breach

Are you affected by the data breach?

If you’ve previously used Cash App Investing, keep an eye out for an email from the Company. Block promises to provide information about the breach and resources for queries.

Block says it is investigating the breach with the help of a forensics firm. The firm did not provide details on how many customers were affected. But Block will contact all of its current and former affected customers to notify them about the breach.

Jack Dorsey, Block’s CEO confirmed in reports that the data breaches included complete names and brokerage account numbers for US customers. The brokerage account numbers are unique identifiers linked to a customer’s stock activity on Cash App Investing. Reports also had data on one trading day’s brokerage portfolio value, brokerage portfolio holdings, and stock trade activity.

Block stated in the filing that the employee “had regular access to these reports as part of their past job responsibilities.” The problem is that they re-obtained access to these highly sensitive reports after their employment came to an end.

The reports did not contain any additional personal information. This includes usernames or passwords, Social Security numbers, birthdates, payment card information, home addresses, and bank account numbers. They didn’t have any security or access passwords, either. The breach did not affect consumers outside of the United States.

Cash app’s next step

There is still a lot we don’t know about the situation. It took four months for Block to discover the Cash App data breach. The Inc. hasn’t finished its investigation into the matter, but it doesn’t expect it to have an impact on its operations or financial results. Also the shares of Block (NASDAQ: SQ) fell 3.6% in the early session to $129.86.

In its filing, Block shared the following statement:

“The company takes the security of information belonging to its customers very seriously and continues to review and strengthen administrative and technical safeguards to protect the information of its customers,”

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