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Zaif Cryptocurrency Exchange Suffers $60 Million Hack (zdnet.com)
Hackers were able to steal $60 million worth of company and user funds belonging to the Zaif Japanese cryptocurrency exchange. The breach occurred last week, but the company discovered the hack on Monday, September 17. An anonymous reader shares the report from ZDNet: Investigators are still gathering details, but Zaif said the hack took place on September 14, between 17:00 and 19:00 local time, when the attacker siphoned off three types of cryptocurrencies from the company's "hot wallets." [A "hot wallet" is a term used to describe a cryptocurrency addresses with light security measures where a cryptocurrency exchange keeps funds for immediate transactions, such as cryptocurrency-to-cryptocurrency or cryptocurrency-to-fiat (and vice versa) operations.] Zaif says the hacker stole Bitcoin, Bitcoin Cash, and MonaCoin from its hot wallet, all three worth 6.7 billion Japanese yen (roughly $59.67 million) when combined. Of the 6.7 billion stolen yen, 2.2 billion yen -- 32 percent -- were Zaif funds, while 4.5 billion yen were customer funds. Zaif plans to secure a 5 billion yen loan to pay back affected customers.
That is a hack worth doing. That guy is set for life now... if he's smart enough to hang up his spikes and call it quits.
Run by con men, nearly (if not technically illegal) crooks? It's easy money without providing much of anything valuable. Not the sharpest tools in the shed. Then again, the earliest bankers did little but "safe keep" others money knowing few would return to make use of it.
Not my problem.
Seriously, they've literally proved their security wasn't worth a damn and is just another nail in the cryptocurrency coffin, no one in their right mind will ever lend them that 5 billion yen.
The concept of a HOT wallet is like cash you carry around, it's supposed to a small amount... more possible to get hacked as it's connected to the internet and allowed automated withdrawal. But the system is supposed to keep most money offline via COLD wallet that need human interaction to refill the HOT wallet. 60M is way to much for a HOT wallet.
get used to it... just like the electricity or the internet it's not something you can "un-invent"!
Learned my lesson the hard way.
Sucks, but crypto is cash, and itâ(TM)s unregulated.
But a hardware wallet and know how to use it.
..don't panic
Who's going to secure a loan to pay back clients of a company who had shitty security, engaging in a ponzi schemes?
You can stop reading now. There's guaranteed to be no honest information of interest to be had.
What have we built here though? For most bad inventions they usually fizzle out pretty quickly. In the case of BitCoin we saw this weird spike in sales of hardware to support the effort, vast installations of miners and spinning up brand new power plants to fuel it. It's a crazy amount of infrastructure to throw at something that's just a fad. For a while it completely distorted the GPU market which was being bought up completely for the purpose of BitCoin mining.
All that infrastructure has to go somewhere now. A lot of companies are executing their exit strategies which might include selling off that infrastructure - cheap 2nd hand GPUs flowing onto eBay to try and float these dead companies. Nobody will tell the truth since they need to dump their capex quickly before anyone notices they screwed up. These big heists are basically companies trying to grab dead coins so they don't fail so hard.
We'd call it fraud, but since these aren't recognized monetary instruments this is just "hacking", and it's business as usual.
and she is into cryptcurrency.
We? You haven't built anything.
Over 9000 coins in hot wallets ?
Not very safe... should keep it to under 3000 in the future...
60 million lucky winners will find the cryptocurrency in random loot boxes on Playstation Classic.
"Your money is Zaif with us!"