The Shah Alam High Court has overturned a previous ruling by the Petaling Jaya Sessions Court in the case of Yew See Tak v Luno, ruling in favour of Luno, a major digital assets exchange in Malaysia.
The court determined that Luno had fulfilled its security obligations and that the transactions in question were authorised.
The case stemmed from allegations by Yew See Tak, who claimed that Luno failed to safeguard the cryptocurrencies in his account, resulting in a loss of nearly RM600,000.
Yew was awarded nearly RM700,000 in November last year after suing Luno for negligence, following the allegedly unauthorised use of his Luno account to buy the digital currency Bitcoin in 2021.
However, the court found that Luno’s security measures, including two-factor authentication, were properly implemented and that the transactions were authorised using an SMS verification sent to Yew’s registered mobile number.
Luno said in a statement,
“As a regulated digital assets exchange platform registered with the Securities Commission Malaysia, Luno has always upheld the strongest levels of regulatory compliance and customer security, following strict procedures to keep its customers’ cryptocurrencies safe and secure.”
The company highlighted the importance of customer vigilance in securing personal information, such as email access, mobile devices, and passwords, and recommended additional security features like trusted device security and two-factor authentication.
Featured image credit: Edited from Freepik