Case Study: Project 529 avoids a social engineering scheme with Coalition

Project 529 avoids $120,000 in bug bounty fraud with Coalition

Project 529, a technology company focused on reducing bicycle theft, faced a challenge when a group of hackers used its bug bounty program to make escalating and threatening financial demands for alleged vulnerabilities. Unsure if the threats were legitimate, CEO Lara Ferroni contacted their cyber insurance provider, Coalition, for guidance under their Breach Response coverage.

Coalition’s Incident Response team immediately instructed Project 529 to cease communication and conducted an investigation. Coalition determined the group was illegitimate and provided a full security audit. While no breach occurred, the investigation and consultative services were covered by the policy, resolving the threat and allowing Project 529 to improve its cybersecurity posture.

Project 529