Reefa Posted January 26, 2018 Share Posted January 26, 2018 A Japanese cryptocurrency exchange says it just experienced what may be the most financially damaging marketplace theft in the history of the technology. The sum allegedly stolen from the Coincheck exchange—500 million units of NEM, a newer cryptocurrency—was worth roughly $500 million USD at the time of the theft, which would eclipse even the alleged 2014 hack of Japanese exchange Mt. Gox. That incident saw $450 million USD worth of Bitcoin go missing and embroiled founder Mark Karpeles in a legal drama that is still ongoing nearly four years later. According to Japanese newspaper Asahi, Coincheck has alerted police to the theft. The theft was announced by Coincheck officials at the Tokyo Stock Exchange during a late-night press conference, Bloomberg reported early on Friday morning. At the same time, Coincheck posted a short blog post announcing that NEM deposits were being suspended, before stopping all NEM trading an hour later. Several updates followed over the coming hours, culminating in all payments being halted on the Coincheck platform entirely. Rumors are swirling that NEM wasn’t the only cryptocurrency stolen from Coincheck. Early on Friday morning on Twitter, Costin Raiu, head of Russian cybersecurity firm Kaspersky Lab’s global research and analysis team, called attention to a $110 million USD transfer of Ripple (another cryptocurrency) out of Coincheck. “Hacking suspected,” he wrote. Coincheck has not released any information on stolen Ripple, however. Coincheck spokespeople were not immediately available for comment. Exchanges like Coincheck are prime targets for criminals in the cryptocurrency world, because they are a main access point for trading and often handle user funds or keep funds in reserve. In a separate incident in Canada this week, three armed men entered a cryptocurrency exchange’s offices and attempted to coerce employees to transfer funds. If Mt. Gox can be taken as any sort of lesson, then the story of the Coincheck theft—how it happened, and what its effects will be—is just beginning. source Link to comment Share on other sites More sharing options...
straycat19 Posted January 27, 2018 Share Posted January 27, 2018 The facts are it is not that hard to steal cryptocurrency and it is pretty hard to track something that doesn't really exist. You can't hold a bitcoin in your hand or a 10 bitcoin bill that has a serial number on it. Once that wallet of cryptocurrency is gone, it is gone. Then there is always the suspicion that the person(s) running the exchange is a crook and absconded with the proceeds. That accusation has been made several times after thefts of cryptocurrency. Since it isn't recognized by the government the accounts can't be insured by the Federal Deposit Insurance Corporation, but then the maximum is $250,000 per member account, so it wouldn't necessarily help in this case. You could say that just like any electronic bits it is here today and gone tomorrow. Link to comment Share on other sites More sharing options...
KRS Posted January 27, 2018 Share Posted January 27, 2018 it must be a phenomenon as it has changed these times Link to comment Share on other sites More sharing options...
dufus Posted January 27, 2018 Share Posted January 27, 2018 North Korea Is Suspected in Bitcoin Heist Pyongyang’s hackers turn to cryptocurrency and banks as Kim regime hunts for funds By Timothy W. Martin, Eun-Young Jeong and Steven Russolillo Updated Dec. 20, 2017 6:59 p.m. ET SEOUL—Investigators in South Korea are looking into North Korea’s possible involvement in a heist from a bitcoin exchange that collapsed here on Tuesday, according to people familiar with the situation, as the sanctions-choked regime develops new ways to raise money. https://www.wsj.com/articles/north-korea-is-suspected-in-bitcoin-robbery-1513790899?mod=djemalertMARKET let see if it naughty nk Link to comment Share on other sites More sharing options...
fr3d3r1ck Posted January 27, 2018 Share Posted January 27, 2018 Coincheck to Repay Customers Who Lost Money in $400 Million Hack Japanese cryptocurrency exchange Coincheck Inc. said it will use its own capital to reimburse customers who lost money in Friday’s $400 million theft. The Tokyo-based company will repay all 260,000 users impacted by the theft of NEM coins, at a rate of 88.549 yen (81 U.S. cents) for each coin, according to a statement posted on its website after midnight local time on Sunday. A total of 523 million coins were stolen. The statement didn’t specify when the payment will occur. NEM prices surged 16 percent to $0.97 as of 11:22 a.m. New York time, according to prices on coinmarketcap.com. Other cryptocurrencies including Bitcoin, Ether and Litecoin also gained. The announcement came less than 48 hours after the hack was discovered on Friday. The attack shocked Japanese policy makers, who introduced legislation last April to prevent such disasters, and piled pressure on global crypto markets wary of rising scrutiny from regulators. Coincheck didn’t immediately respond to an email requesting more information and verification of the authenticity of the statement. Phone calls placed after 1 a.m. in Japan to two different numbers went straight to voice mail. If Coincheck successfully navigates the theft, the turnaround wouldn’t be the first in the cryptocurrency world. Bitcoin exchange Bitfinex also overcame a $69 million heist and last year repaid most customers who lost money in the August 2016 attack. https://www.bloomberg.com/news/articles/2018-01-27/coincheck-to-repay-customers-who-lost-money-in-400-million-hack Link to comment Share on other sites More sharing options...
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