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Newsletter writer covering Evolve Bank’s data breach says the bank sent him a cease and desist letter
July 5, 2024

Newsletter writer covering Evolve Bank’s data breach says the bank sent him a cease and desist letter

Reading Time: 2 minutes

The situation around a data breach that’s affected an ever-growing number of fintech companies has gotten even weirder. Evolve Bank & Trust announced last week that it was hacked and confirmed the stolen data has been posted to the dark web. Now Evolve has sent a cease and desist letter to the writer of a newsletter who has been covering the ongoing situation.

In this case, Mikula said he’s connected with four people who have access to some of the files that were stolen in the breach and posted on the dark web and has reviewed some of the data himself.

The crux of the problem is that not all the impacted fintechs have received details about what information was stolen in the breach, according to Mikula’s industry sources. 

Mikula believes that ‘seeing the files would let them (1) confirm the breach had happened and examples of what data fields were included and (2) allow them to identify specific customers that had been impacted,’ he said.

Mikula was posting information on the fintechs confirmed to be involved on X and reporting on it in his newsletter. So much so that X users like Parrot Capital have heaped praise upon him. ‘Jason has been providing better customer service for those affected by the Evolve Bank breach than anyone else,’ Parrot posted on X.

Meanwhile, while Evolve was sending letters from lawyers to Mikula, on July 1, a group of senators publicly urged those involved with a fintech in trouble, Synapse, to act. They want Synapse’s owners, its fintech and bank partners — including Evolve — to ‘immediately restore customers’ access to their money.’ Synapse was pressured to file for Chapter 7 bankruptcy in May, liquidating its business entirely. Customers have been frozen out ever since. 

The senators implicated both the partners and investors of the company as being responsible for any missing customer funds. The senators’ letter alleges that $65 million to $95 million worth of funds are missing, but Synapse and all other players, including Evolve, assert that if this is true, they are not the ones responsible. They are all pointing fingers at others. 

The letter was addressed to W. Scott Stafford, president and CEO of Evolve Bank & Trust, but was also sent to major investors in bankrupt banking-as-a-service startup Synapse, as well as to the company’s principal bank and fintech partners.


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