Gate.io user claims $1.7M account drained via forged identity documents that bypassed exchange KYC; Gate denies liability citing user info leak and refuses compensation.
Regulation & Gov ·
A Gate.io user reported that attackers drained a $1.7 million account using forged identity documents that passed the exchange's know-your-customer verification process. The user also alleged that Gate delayed providing law enforcement with live-face video evidence needed for the investigation.
Gate responded with a detailed rebuttal, stating that the fake documents contained accurate identity card numbers, photographs, and matching personal details including Alipay account records, which triggered additional manual review steps rather than automatic approval. The exchange said it provided all requested materials to police promptly after video verification was completed on July 27, and denied withholding biometric data, citing compliance restrictions on storing raw facial recognition information. Gate attributed the loss to the user's personal information being compromised and to the user ignoring security alerts, rather than to platform failure.
The key disputed point centers on how attackers obtained sufficient personal data to pass multi-stage verification despite using forged documents, and whether the exchange's review procedures were adequately rigorous. Police investigation remains ongoing, with Gate and law enforcement still exchanging documentation. Neither party has publicly disclosed findings regarding how the Alipay accounts were accessed or whether the account compromise resulted from a broader breach affecting other users.