The system behind Samsung-Pay, LoopPay, has been the victim of an attack from sophisticated Chinese hackers that have affiliations with the state, according to The New York Times.

The hacker group, known as Codoso Group, successfully breached LoopPay’s corporate network, including their email and file servers, but failed to enter the portion of the network that deals with payments. The attackers were after the company’s magnetic secure transmission (MST) technology, but according to a statement from Samsung, the breach did not affect Samsung pay itself.

Loop Pay’s system, similar to Apple and Google services, enables Samsung users to pay for items using their smartphone. The MST system that the hackers were after allows the service to operate similar to physical cards with a magnetic stripe, making LoopPay compatible with older point-of-sale technology.

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Cate Cadell

Cate is a tech writer. She worked as a journalist in Australia, Mongolia and Myanmar. You can reach her (in Chinese or English) at: @catecadell or catecadell@technode.com