Bithumb Hacked - $30 Million in Cryptocurrency Stolen

Altcoins Breaking News Bithumb Hacked For $30 Million In Cryptocurrencies Market Drops nickchong

Altcoins Breaking News Bithumb Hacked For $30 Million In Cryptocurrencies Market Drops nickchong

South Korea's major cryptocurrency exchange Bithumb was hacked and an estimated 35 billion won ($31.51 million) worth of coins were stolen, the Seoul-based exchange said on Wednesday.

Hackers have reportedly made away with cryptocurrencies worth $30 million from Bithumb, South Korea's leading exchange, according to reports from a blog update.

In a notice posted on its website on Wednesday that it had stopped all trading and stored "all clients" assets in safe cold wallets' which are stored on platforms not directly connected to the internet.

Bithumb have confirmed that all lost crypto will be compensated by its own reserve funds, however, the wallet system now in place will be revamped to offer greater security going forward.

It added that the company would fully compensate customers.

While Coinrail was only ranked the 99th largest crypto exchange in the world in terms of trade volume, Bitcoin prices fell by around 10% following the breach. Global policymakers have warned investors to be cautious in trading the digital currency given the lack of rules and regulations governing it.

Bithumb did not immediately respond to Reuter's request for comments. "It is held anonymously and in lightly-secured systems, which makes them an irresistible target", Mun said.

CoinDesk, in its report, said the attack "marks the second incident in less than two weeks in South Korea".

Still, the frequency of cryptocurrency exchange hacks is something that will leave many traders anxious. In December 2017, Slovenian cryptocurrency marketplace NiceHash was hit by a cyber-attack which led to losses of $64m.

According to Chosun, a mainstream media outlet in South Korea, local security experts have told the publication that hackers can breach into local cryptocurrency exchanges easily if they allocate sufficient resources to it.

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