Hackers Moving Stolen Money, Users to be Repaid: Coincheck $530 mln ‘Soap-Opera’ Goes On

Hackers Moving Stolen Money, Users to be Repaid: Coincheck $530 mln ‘Soap-Opera’ Goes On

$530 million NEM ‘soap-opera’ theft continues. Recently, the Japanese exchange Coincheck, which sustained a massive cyber-attack, notified that it plans to repay 260,000 hack victims their losses. In the meantime, hackers started moving thieved XEM (NEM) tokens.

Covering The Tracks

On January 30, one of NEM Foundation executives – Jeff McDonald – told Reuters that hackers, who swiped approximately $530 million of NEM from Coincheck last Friday, were attempting to move the thieved funds out.

Our top trading bots

The company, which developed altcoin XEM, has tracked the thieved tokens to an unknown account. According to the words of the executive, the owner of that account then started putting efforts to transfer NEM coins to six cyber money trading platforms to vend them. However, the whereabouts of the hacker’s account was not identified.

“[The hackers are] trying to spend them on multiple exchanges. We are contacting those exchanges,” said McDonald.

At the same time, he noted that hackers could not sell out all the stolen coins at a time because the market merely could not devour that much. This makes McDonald assume that malefactors won’t get away easily with such a sum. They might try swapping stolen NEM coins into other platforms before cashing them out, but it will take quite a lot of time.

The Foundation’s representative Alexandra Tinsman, in her turn, informed that the intruder had begun vending out cryptos to occasional accounts in 100 NEM bunches each worth $83.

Finance Minister Aso Weighs In

As on Monday, January 29, Japanese Financial Services Agency informed about its plans to probe the security conditions of other crypto exchanges based in the country, the very next day Japanese Finance Minister Taro Aso called platforms to firm their supervision systems. He said that the Coincheck case a ‘great regret’ in the history of Japanese crypto market.

“We will appropriately weigh the balance between promotion of innovation and protection of users in (supervising) cryptocurrency exchanges,” said Aso.

Moreover, the country’s upper financial diplomat Masatsugu Asakawa even said that regulation over cyber money has chances to appear on the agenda at the G20 appointment of finance ministers in Argentina in two months.

Coincheck to Repay Lost XEMs

After the disruptive crack, Coincheck pledged to recoup the stolen sums to accounts of 260,000 platform users. For each coin held on the account, customers were guaranteed to receive around $0.81 from the platform.

At the moment of writing, one unit of NEM is traded at $0.75, having lost as much as 9.62% within the past 24 hours. By the way, on the day it was announced that Coincheck suffered a hack, the price of NEM drastically dropped from $1 to $0.76, losing over 20% in value in few hours. And even though on January 27 NEM soared back to its $1, it started slowly plunging to the previous anti-record.

The reimbursement is set to be completed in Japanese yen (88.549 JPY) through the Coincheck wallet. The platform assured that this rate was chosen as it was the closest one to that price, which was fixed on January 26, when the cyber-attack occurred.

One in a Million: How Massive Was the Coincheck Pillage?

It is crucial to emphasize that the NEM coins, which hackers stole, made up about 5% of the total XEM supply. And NEM is the 10th most significant cyber currency on the Coinmarketcap.com list.

According to Reuters, there have been at least 30 severe lootings on crypto trading platforms within the past seven years. A plethora of cracked exchanges was later closed down. In total, over 980,000 BTC units have been thieved, and only few have been restored.

The most known case remains the one connected with Japanese exchange Mt. Gox, which once held 80% of global BTC trades. Back in 2014, it announced that it was insolvent after forfeiting approximately $500 million of bitcoins.

Coinbase will pay users 4% interest on USDC holdings
Major cryptocurrency exchange Coinbase has announced users will be able to earn 4% interest on USD Coin through a product the company compared to an alternative...
Theta and Theta Fuel (TFUEL) soar ahead of June 30 mainnet launch
Major protocol upgrades can play a significant role in altcoin rallies regardless of the state of the wider cryptocurrency market because new features excite...
Accenture and Digital Dollar Foundation to trial United States CBDC this year
Fortune 500 company Accenture has teamed up with Digital Dollar Foundation to conduct Central Bank Digital Currency, or CBDC, trials in the United States.Announced...
EOS Falls 12% In Rout
Investing.com - EOS was trading at $5.4040 by 17:12 (21:12 GMT) on the Investing.com Index on Friday, down 11.76% on the day. It was the largest one-day...
Solana (SOL) hits new highs as DApps, DeFi and stablecoins join the network
The arrival of institutional investors and the rise of decentralized finance (DeFi) has been an incredible boon for the entire cryptocurrency sector but...
Top 5 cryptocurrencies to watch this week: BTC, VET, SOL, EOS, FTT
Bitcoin (BTC) price witnessed a sharp dump to $50,900 on April 18, which some analysts attribute to a drop in hash rate and rumors of possible action by...
Dogecoin whales move $12B in one day — Twice as much as Ether
Dogecoin’s (DOGE) dramatic surge up the market capitalization rankings coincided with the reawakening of DOGE whales as the blockchain’s metrics surged...
ARK buys $246M of Coinbase stock, adds COIN to three ETFs
Three exchange-traded funds offered by Cathie Wood’s ARK Invest purchased 749,205 shares in Coinbase Global, Inc (COIN) worth roughly $246 million combined.The...
Cathie Wood: BTC investors shouldn’t transact until tax code changed
Cathie Wood, the founder and CEO of Ark Invest, is cautioning investors not to sell or transact their Bitcoin (BTC) until the United States Internal Revenue...
Why Ether Price Shorts Break the Record
On October 11 an immense selloff started on the cyber-asset market. Within a few days, the market lost around $19 billion in value, reaching the CCN’s estimations,...
Ether’s to See Good Times, Bitcoin Bull Tom Lee Predicts
Bitcoin bull Thomas Lee has switched his attention to the second most popular cyber-coin ether. Lee, who is the head of research at Fundstrat Global Advisors,...
Telegram Pre-ICO Attracted $850 million
Pavel Durov, the creator of the Telegram messenger, reported on the progress of the ICO, which was announced earlier. As it turned out, investors invested...
Starbucks On Blockchain, Who Is Next?
Chairman of the Board of Directors of Starbucks Howard Schultz said that his coffee network plans to include blockchain and digital currencies in his...
ICO Benebit Team Disappeared With $2.7 million
The organizers of the ICO project Benebit disappeared with at least $2.7 million of investors' funds. According to other sources, the amount of money raised...
Sweat And Earn. SweatCoin
How to get out of depression, stop being unhealthy, earn money and finally do something significant? For example, like this: get up off the couch and come...