Bitcoin price falls 10% following hack on exchange
More than $40 million in altcoins were lostBy Rob Thubron
What just happened? A number of digital currencies have seen their value fall following a hack on South Korean exchange Coinrail over the weekend. Bitcoin was one of those affected, falling 10 percent to its lowest price in two months.
Coinrail said the “cyber intrusion” it experienced on Sunday saw the theft of around 30 percent of coins traded on the exchange. “70% of total coin and token reserves have been confirmed to be safely stored and moved to a cold wallet [not directly connected to the internet]. Two-thirds of stolen cryptocurrencies were withdrawn or frozen in partnership with related exchanges and coin companies. For the rest, we are looking into it with an investigative agency, related exchanges and coin developers,” it said.
해킹공격시도로 인한 시스템 점검중입니다. 일부코인(펀디엑스,NPXS)이 확인되었으며 추가적인 코인피해가 있는지 여부를 확인중입니다. 추후 자세한 사항은 재공지하겠습니다 / There has been an cyber intrusion in our system. We're confirming it and some coins(Pundi X, NPXS) are confirmed.— coinrail (@Coinrail_Korea) 10 June 2018
TechCrunch reports that hackers made off with $19.5 million worth of NPXS tokens issued by payment project Pundi X’s ICO. They also took $13.8 million from ICO project Aston X, $5.8 million in tokens for Dent, and over $1.1 million Tron.
Even though Coinrail is one of the smaller exchanges, and there was no mention of the cryptocurrency in its statement, Bitcoin’s price fell to a low of $6610 after the hack—the lowest it’s been in several months. It was just one month ago that the currency had been touching $10,000.
After being stuck between $7000 and $7800 for several weeks, Bitcoin’s price was expected to start moving sharply in one direction or the other. Coindesk reports that prices had already begun falling on Saturday, so the Coinrail hack might not be entirely to blame for the slump, though Ethereum and Litecoin also fell on Sunday.
No word yet whether Coinrail intends to refund affected customers. After it had 500 million dollars’ worth of NEM coins stolen earlier this year, Japanese exchange Coincheck promised to refund its users, even if it meant handing over its own money.