Bitcoin Forum

BTCITCOIN was dealt another blow last night after South Korean cryptocurrency exchange Bithumb said $31.5 million was stolen by hackers causing the principle coin to fall from $6,742 to $6,562.

South Korean exchange Bithumb said in a notice on its website on Wednesday that it had stopped all trading after ascertaining “some cryptocurrencies worth about 35 billion won were seized between late yesterday and early morning today.”

The exchange, thas now moved “all clients’ assets in safe cold wallets,” which operate on platforms not directly connected to the internet, adding that customers affected would be fully compensated.

Mun Chong-hyun, chief analyst at ESTsecurity, warned that cryptocurrencies represent an ideal target for hackers.

He said: “No security measures or regulations can 100 percent guarantee safety of virtual coins. It is held anonymously and in lightly-secured systems, which makes them an irresistible target."

Read more, https://www.express.co.uk/finance/city/976816/Bitcoin-price-ripple-cryptocurrency-ethereum-BTC-to-USD-XRP-news

For one way they stole 31.5m other way there is a news that someone inject some money on cryptomoney... well crazys days?

As for now it looks like Bithumb will compensate the loss.
However this just shows how important it is to develop decentralized exchanges.
Centralized exchanges will always be a target for hackers, especially when the price will rise to new highs again.
That also shows how important risk management is. If you trade, only use a fraction of your coin holdings. Not your keys, not your Bitcoin!
Always keep that in mind.

It is set to fall? Is it Bitcoin's fault that they have hired incompetent people to handle their business. You don't sleep just because your business is online and third party security services tasked to protect your web application service says that they will provide top notch service. That is a very stupid procedure in running a business. This is the classic case of what I have just illustrated. You may have the best application service in the world but if all you do is  ignore cyber security don't blame Bitcoin.

Usually when a hack is publicized, the effects would already manifest in the market within minutes, but apparently this one one hasn't and it's been hours. Glad to know that Bithumb would take responsibility of the losses their users may have incurred during the said hack so all is good. One thing though, it might be best for exchanges to overhaul their security systems after one has been breached given that hackers may have already known the inner workings of their systems. It could be a pain for the operators but in order to prevent hacks in the future, one must ensure that their assets are secured. This is not the first hack on exchanges, and surely, this wouldn't be the last.

This is bad for all of us this will cause panic to the investors and the price will go down.If exchange is hack  might thier security is not so much better maybe its time to recruit the programmer in their country.

I think this is not a bitcoin error, but it is the exchange responsibility to guarantee and compensate for those who have invested.
This may give a bit of a fear to the novice investor and harm the exchangers but as long as the exchangers are willing to give compensation money to investors, they will not lose interest from buyers.

There's a slight drop from $6750 to $6550 right after the hack announced. But yeah, the effect was not as bad as we expect. I was expecting a dump to sub $6K. I guess it has to do with the full reimburse that BitHumb will cover.

They have been the largest South Korean exchange for some time, pretty sure they didn't simply ignore their security. Setting up a hackproof system maybe not as easy as it sounds.

The USA is going to work in NY. Let’s see how they take it as they get up across the USA!

well not for all of us whales can take advantage of it.

this makes me laugh who do you think makes the website cashier?

there's no way they will simply ignore it there might be some shady stuff going on if they ignore it. i think its impossible to make a system that can't be hacked. that's why we need decentralized exchange.

There is something common on this so called hacking incidents on exchanges.. They all compensate the lost of they’re investors promptly after a confirmation of each crime.. I know that speculation on whether an inside job is presents the important thing is the administration is openly announcing it for transparency..

It can affect the price,, but whoever makes this into a much bigger issue only wanted more lower bitcoin price than the concern for community.. This is sad,, self interest are signs of greed..

I am again convinced that due to such mistakes we do not see new big investors. To date, there is no exchange with which you can confidently trade without having to worry about being hacked. I hope that the exchange will return funds to build users who were built because of their mistakes.

"to fall"? you mean as in it will fall in the future because of the news that was spread in the past?!!!
i don't know how familiar you are with the market but when a news like this comes out, the effects are right away. meaning if we were to have such a drop then it would have already happened!!!

the news came out a very long time ago and the market has not moved at all so far and it won't move in the future either. and if it moves it won't be because of this because it would be too late to react.

Nothing will. The one who has already suffered from a hacker attack can not do anything. All other users will not give up the income they receive with the help of cryptocurrencies because of the hacking of the next exchange. Everything will be the same as it was the price of bitcoin will not be lower at the bottom.

When bithumb stops all trading activities, it will affect the number of bitcoin in the world which means to be reduced at this time. But why does this case make bitcoin prices go down? This situation seems to be against the law of demand in the economy. this confuses me. ???

Nowadays we could see such news about exchanges being hacked regularly which was a very rare news in earlier times when Mt.Gox got hacked.Such incidents strongly affect bitcoin price but this time,the impact is not much bigger.

What a big old load of sensationalism. This hack will have little to no effect on the price, firstly they said they'd cover it. Secondly it's 30 million. That's next to nothing in terms of the crypto market which is worth hundreds of billions of dollars.

I'm amazed that we only dropped like 200$ and nearly immediatly bounced back from it. Seems like we really hit rock bottom =)

This has already become an annual summer tradition. And again, South Korea participates in this. Such incidents are more like manipulating the market.

that is what i was also thinking and that is why i am taking this as a good sign that we are at the bottom. despite this news which has been spread like wildfire in the past 10-12 hours the market is still pretty solid and price has even risen to $6841 which is a record in the past 8 days.

Just like the Ethereum and Moreno case, huge coins were hacked because of the weakness of the technical guys. Ethereum case is about the 8584 port: https://btcmanager.com/hacker-group-steals-over-20-million-of-ethereum-after-exploiting-port-8584/, the Moreno is about the big hole in Government Websites to mine Monero: https://btcmanager.com/cryptojacking-strikes-again-hackers-target-government-websites-to-mine-monero/
Hackers are smarter and they can earn a fortune with that "invisible" things like coins. What an age of Internet!  :( :( :(

31m is nothing for a hack and will make no difference ... i notice all the sk exchanges are getting hacked lately.

South Korea's exchanger again, this will be a bloody weeks again for crypto world, i think entire stackholder must more aware about exchanger safety for now

From what I understand, NO bitcoins was lost and only some Alt coins that were traded there, was taken.  ??? Yes, if this is

true, then the Bitcoin price will still suffer, because most of these Alt coins are traded in pairs with Bitcoin. The problem is

that the media is saying that it was a Bitcoin exchange and they never mention that it is only Alt coins that was stolen.  ::)

Bitcoins are always the scapegoat and the fall guy for these hacks.  >:(

If these exchanges keep on missing up like this it will be harder and harder for Bitcoin to have that mass adoption we want to happen. But it's ok if this event will result to some  lesson on making it more secure. But this could be an inside job for all we know? Like that of what happened in Mt. Gox

I think accidents like this will keep on happening if they are not learning from their previous mistakes and the mistakes from other exchanges. Or maybe this is an orchestrated move that have a connection to institutions. Who knows. All of these are speculations. These exchanges should learn from their mistakes or else stuff like this will keep on happening.

It is one of the drawback of bitcoin and crypto currency.Before this act,we have to move to safe cold wallet.In which bitcoin is not possible to hack.Even we can use Google two factor authentication.Still now I had using this,it seems to be one of best security.

It's terrible that people steal someone else's money. When there is such a brilliant person who will be able to write a security code that will not be able to hack any hackers in the world. True, these are the most common thieves and they must be punished!

This is extremely irritating as bitcoin was starting to pump towards the $7000 mark but now because of this the recovery is delayed again. 2FA should be enforced and not optional

This is about the same thing that happened a few days ago on the little-known exchanger Coinrail in the same South Korea, where four types of tokens were stolen from private wallets for a total of over $ 40 million. Here the situation is similar. Apparently, it is necessary to look for other ways of buying or selling the crypto currency, if the existing one does not provide adequate security for the participants of these trades. Most likely, you need to think about a way that the crypto currency itself does not fall on the exchanger or exchange. If the exchanger or the stock exchange needs to make sure that the seller has available a certain amount of coins or tokens for sale, you can provide a form similar to the etherscan.io function in the MyEtherWallet wallet that allows you to view the contents of the wallet at its public address without entering the wallet itself. This will be very safe for the owner of this crypto currency and for all bidders. At the same time, hackers will also have no way to steal the crypto currency.

Yes but the market have been strong like that since the day the market was flooded and this why I told people that the price will never go below $6000. However, I respect the effort of Bithumb in planning to compensate their customer which account was affected.

Just open your eyes and see how the market actually performs, we weren't pumping towards $7000 at all. It's just the usual whale manipulation that bounces the price up and down these days, not the regular people.

Most of the regular people are either hodling their expensive coins or are waiting for the market to keep dropping. $6000-$7000 is an accumulation range for the more knowledge individuals.

Regular people always need to see a continuous increase in order to pull the trigger. The higher the price pumps the more confident they become and the more likely it will be for them to finally start buying.

We're not at that stage yet.

Oh sad to heard on that very bad news my worry is how to refund the investment of the investor's  holder's in bithumb exchange huge of amount stolen got of bad people in their industry.

My question is not fault of the inventors of bithumb exchange to lose of their investment so i think need to get back to the investor's atleast 50% of their invest as insurance.

This is one example that will negatively affect Bitcoin prices, the lax nature of exchange security may have caused this hack. Any ways as some have said in earlier posts, I also support the gradual transfer from centralized exchanges to decentralized exchanges. I think especially with Asian exchanges they really don't   focus on security issues otherwise this would not happen at the first place!

Exactly, when mtgox or cryptsy got hacked the market and the price was collapse so bad but today seems like bithumb incident doesn't make any impact at all which is good, maybe people are not scared anymore or they already bought at the high price and impossible to sell those coina at the current price so whatever happens out there people will HODL.

This is just like a scenario in mtgox. For sure, because of this hacked event, BTC price will fall up to 5K USD. Imagine how does the total amount that the thieves got from Bithumb? It will inflict large casualties in bitcoin. Moving on, it is normal nowadays that exchange were seized by desperate hackers. We already experienced in ED so I think, it is usual it to all of us.

Hackers are unstoppable, they can do what they want because they control technology and the internet.

Actually such things happen due to weaker form of security .This is awful for every one of us this will make freeze the financial specialists and the cost will go down. If trade is hack may their security isn't so much better perhaps its opportunity to select the developer in their nation.

Frankly, I do not understand what is the connection between the hacking of the exchange and the fall in bitcoin prices. All stolen coins leave the market and do not get into exchange for a long time. On the contrary, this should lead to a decrease in the number of offers and an increase in prices. It seems to me that this is artificial manipulation. The owners of these exchanges are involved.

This news really make people harass because this news is real or not still there is no trustable news based on this yes it may cause of fall because lots of money in there also few days ago the price of btc increased but it may affect on the price again.

Hackers are just really lurking just waiting up for things to be stolen and waiting up the opportunity but i fully disagree on the things you are trying to say up on here. I dont even believe the amounts stolen is just enough to make this market dump specially on bitcoins price. Do you know the current marketcap of bitcoin? You will able to take it back on the words you had said. $30M isnt too massive to be considered as the main reason of price decline.It might be an including factor but not totally the main reason.

The stopping of all trading activities will have a definite impact on the price. Every day, new bitcoins are mined and added on the supply side and when you close down a trading platform, you then decrease the demand side of the coins. So, what happens if the supply increase and the demand decrease? The price will go down.  >:(

This is what is happening at the moment. The price is going down, because the supply of coins are bigger than the demand.  >:(

Investors and even noobs have been pretty calm throughout the last months. The decline we're witnessing is the result of bots trying to combat each other. The retail influence on the market in the last months has been close to zero.

If you don't have to worry about the unstable retailers with their green and panic, this market actually has become similar to the stock market, but then where everything moves way faster. In other words, these are great times for TA nerds looking to strike some profits. Just look at how calm the market is when it isn't forced to move in a certain direction, the market is empty. Noobs aren't selling and aren't buying, they just hold their bags.

Why is it always we hear such negative news related to South Korea. Exchange hacking incidents and the news about banning affected whole market severely. Market is unable to recover due to such news because of it is fragile. I hope we get good news from now on.