Global Security

Crypto Market Tumble As South Korean Crypto Exchange Gets Hacked

Coinrail Cryptocurrency Exchange Hacked

What happened at Coinrail, a South Korean cryptocurrency exchange?

Over the weekend, a South Korean cryptocurrency exchange called Coinrail was hacked, and its said they may have ended up losing up to $40 million In altcoins. What’s an altcoin is? It is ‘alternative cryptocurrency’, which came into the market after the rise of bitcoin: in short – cryptocurrency other than Bitcoin or Ethereum. Coinrail happens to be a major hub for cryptocurrency investment and exchange and the official coin rail exchange website now shows a ‘System Maintenance’ page. Some of the facts which the coin rail has confirmed that on the early hours of June 10th there was a hacking attempt on their systems.

It is being estimated that the hackers have managed to get away with almost $19.5 million worth of NPXS tokens, $13.8 million from Aston X, $5.8 million in tokens for Dent, and $1.1 million Tron. NPSX tokens were issued by Pundi X’s payment project Initial Coin Offering.

Also Read: Blockchain, Bitcoin! whats happening in China?

What is its impact on cryptocurrency market?

Some believe that this recent hack is, in fact, responsible for the drop-in bitcoin valuation over the previous two weeks. If you have bought, or are planning on buying Cryptocurrency, be sure that you take all the necessary steps required for securing yours. Currency and Wallets. Always prefer private wallets and hardware devices rather than leaving them in your exchange accounts.

This is not the first attack on a Cryptocurrency Exchange this year. The Japanese Exchange lost around $ 400 million in a similar attack earlier this year. They reported that around 500 million NEM tokens were stolen. In November 2017 Tether Exchange lost $31 million.

Impact on cryptocurrency market after coinrail hacked
Credit: pixabay.com

What steps are being taken to track the missing funds?

On the official website, the company reports that at present 70% of the Coins and Tokens have been stored safely and moved to Cold Wallets.

80 % of the theft tokens have been either frozen, withdrawn or redeemed. Then the company apologises for any kind of inconvenience caused and will be resuming operations as soon as possible. The company is actively pursuing all of the stolen currency, and has managed to reduce the total figure to 30 million dollars till now, and will continue to do so. The web address which coin rail believes to be associated with the hacker is flagged as “Fake_Phishing1432”. Reason being that this address tried to sell 26 million NPXS tokens at IDEX. The company is also co-operating with investigating agencies and will soon report further progress on their website soon.

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