ICOHolder reports on the federal lawsuit filed by Murphy’s Law attorney Liam Murphy against Phantom Technologies and OKX following the theft of more than $500,000 in digital assets. The complaint, filed in New York, alleges that a security vulnerability in Phantom’s browser extension allowed a hacker to access private keys stored in browser memory, drain three wallets without triggering two-factor authentication, and liquidate stolen Wiener Doge tokens through Phantom’s integrated Swapper feature. The lawsuit accuses Phantom of negligence, fraud, and deceptive practices, and names OKX as a co-defendant for its role in facilitating the unauthorized token swaps. The case highlights growing concerns about security standards and regulatory accountability for crypto wallets that integrate trading functionality.