Coindesk Logo

Colonial Pipeline Paid Almost $5M Crypto Ransom Soon After Attack: Report

Colonial Pipeline Paid Almost $5M Crypto Ransom Soon After Attack: Report

Colonial Pipeline Paid Almost $5M Crypto Ransom Soon After Attack: Report

The company previously said it would not pay the hackers.

The company previously said it would not pay the hackers.

The company previously said it would not pay the hackers.

AccessTimeIconMay 13, 2021, 3:12 PM
Updated Aug 19, 2021, 9:25 AM

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Colonial Pipeline paid almost $5 million in ransom to allegedly Eastern European hackers, contrary to reports the company had no intention of doing so.

  • The private company paid the ransom in "untraceable cryptocurrency" to restore functionality to the U.S.' largest pipeline, according to people familiar with the matter, Bloomberg reported Thursday.
  • The sum was paid within hours of the attack to the hackers, identified by the FBI as having links to the DarkSide group, according to Bloomberg's report.
  • While "untraceable cryptocurrency" may point to a privacy coin like monero being used, CNN reported Wednesday the ransomware group had demanded payment in bitcoin.
  • Colonial Pipeline resumed operations Wednesday, meaning petroleum could begin reaching five states in the East Coast region, including Florida and Georgia.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.