crypto exchange

Crypto exchange got hacked, losing $60 million

Hackers just attacked a Japan based crypto exchange and get away with crypto currency worth 6.7 billion yen, which is about $60 billion, including 5,966 Bitcoins. On September 14, around the market closing time, the exchange ‘Zaif’ noticed an unusual outflow of the funds on the platform. It was clearly enough to raise the concern of the authorities. The Company suspended any trading including deposit or withdrawal services with immediate action but it was already too late.

The company later discovered that the hackers did access the exchange’s hot wallets. This unauthorized access stole roughly around $60 million in Bitcoin, Bitcoin Cash and Mona Coin. The company hasn’t confirmed the number of Bitcoins being stolen. The exchange is operated by Tech Bureau who has filed the incident as a criminal case to the local law-n-force authorities for further investigation. Since the exchange reserve is currently above $20 million, it has made an agreement with a Japan-listed company called “Fisco” to receive a $44.5 million investment.

This is the second hacking attack on crypto industry. In January NEM tokens worth $520 were stolen by hackers from Japan-based exchange. Japan’s Financial firm – Financial Service Agency has launched an investigation on crypto currency exchanges in the country regarding their security measures. The FSA had already issued an order to Tech Bureau in March to improve its security and anti-money laundering measures.

Japan’s police authority has released shocking figures that indicate the rise of hacking attacks on crypto market. According to a report from Shimbun, the National Police has issued data for the first six months of 2018 that reveal cyberattacks on crypto wallets and platform have been tripled from last year. According to report, there has been 158 reported cyber breaches, causing a lost of $540 million worth of crypto currency. Last year, in the same span of time, $5.9 million cryptos was stolen in 149 hacking cases.

AS per the report, the majority of the crypto was stolen from exchange platforms, whereas over $22 million was taken from individual’s crypto wallets. Report also indicate that over 60 percent of individual wallet breaches, the owners had use the same ID and password they were using to protect their email or other services. Setting the same login credentials for protecting your digital wallets is already a recipe of disaster.

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