Being a hype reason is not an easy thing: hack attacks have become extremely frequent in the crypto community. Since the inception of Bitcoin almost all cryptocurrency exchanges were subjected to hacker attacks throughout the globe. Here are ones of the most significant.
– Youbit, based in South Korea filed for bankruptcy after losing 17% of its assets in the cyber-attack in December, 2017. The amount of assets stolen was not disclosed. This was the second case after the hack in April 2017.
– One of the biggest-ever digital assets theft took place in Tokyo in January, 2018. Japan’s Coincheck said it lost some $534m worth of virtual assets. Those assets were stored in a “hot wallet” connected to the internet in contrast with a secure cold wallet with the money kept offline. The incident was reported to the Police and Japan’s Financial Services Agency.
– Italian BitGrail had to report that a total of $170 million worth of Nano cryptocurrency were withdrawn. The reason was unauthorized transactions. After that the exchange announced bankruptcy, having operated for just a year.
– In March, 2018 popular Binance reported a potential hack. As a result of which automatic systems of traders started selling all altcoins and buying Viacoin (VIA) for the money. The rate of the crypto immediately increased by more than 1000%. The risk management system of the company noticed an odd flow after 2 minutes and timely blocked the transactions. A day later, the work of Binance returned to its usual regime.
– Privacy-focused cryptocurrency Verge became the victim of DDOS attack on May 22, when 35 mln XVG were stolen. It was also hacked in the beginning of April. Lost amounted to 250,000 XVG and its value decreased by 25%. So the hack is currently equal to $1.4 mln.
Resuming all the written above, hacking has an incredible impact as it causes unprecedented disruption and compromises any crypto company’s security at the same time. At Cryptology we sympathize with colleagues and we learn from their experience. We thoroughly study such cases in order not to be the next on the list and provide the maximum security level for our users.
Forewarned is forearmed.