Cryptopia Cryptocurrency Platform Services and Development

[einsteinium]

Luckily for Einsteinium (EMC2), we were forced to leave Cryptopia on Jan 4th on 'First Come First Serve' basis.

EMC2 51% attack on Cryptopia started on September 23rd and lasted for 10 days!
We offered reimbursement for initial wave, but it did not work out, as Cryptopia has requested full amount of 10 days of hacking which was close to 2 Millions of EMC2.
Here is our statement on that https://bitcointalk.org/index.php?topic=494708.msg48633011#msg48633011

FYI EMC2 implemented Komodo's Delayed Proof of Work and is now 51% attack resistant.

We all know what Cryptopia is, and that big number of coins they carry represents vulnerability, but they've been playing important part in crypto ecosystem, motherly maintaining all those coins. They also have great native UI which was fun to use, very comfortable.

It is unfortunate what happened, but keep in mind that some big exchanges went through the same.
If they manage to come back, they will come stronger and better. It is part of growing process.

We wish them all the best.

[Saint-loup]

I am saddened, very little hope -  Crypto Exchange Cryptopia Claims It’s Been Hacked, Goes Offline After Months of Problems; Users Cry Exit Scam

https://cryptoiq.co/crypto-exchange-cryptopia-claims-its-been-hacked-goes-offline-after-months-of-problems-users-cry-exit-scam/

Every people should read that!



It's clearly an exit scam!!!!

[Saint-loup]

1) Only Ethereum is stolen
2) Even if users' coins are stolen, they might return all or most of them to their hands in order to keep their dignity.

how can they do this?

most exchange have an insurance to cover the lost when a disaster comes.I think Cryptopia will reimburse because its a security breach on there side. there website is not secured enough

Actually most exchanges don't have this insurance at all. If they did then the MtGox hack or the Bitfinex theft would of not resulted in a loss of funds.

Exchanges like Coinbase and Gemini have insurance but its for the fiat deposits. Usually nobody steals the fiat because its traceable. Usually when someone hacks someone's account, if they have fiat, they buy Crypto with it and then do a withdraw. And there is no insurance against that because once its confirmed on the blockchain its gone forever.

Either the theft is small to their reserves or they will issue a haircut for everyone like the Bitfinex hack a few years back when everyones balance was reduced by 33%.

AFAIK Binance have an insurance (safu)

[fastcoin-ok]

I think this will end like Cryptsy in 2014.
Boiled.
Forget about Cryptopia and join Tradeio. Shared profits 50%, DAILY.
Check it out:
https://trade.io/en

[Labrader]

If the law enforcement is involved, this will not have a speedy resolution. They'll "arrest the hard drive" and things will drag, maybe there'll be people prosecuted, a trial and so on.

I'm confused about the timeline. This A person posting on their twitter, presumably the owner himself, kept reassuring users (by directly replying to their tweets) they are hard at work and it won't be long now, when they seem to have known at that time there was a security incident.

Involving the police seems, to me, as a move on their part to limit personal liability. This lack of information as well: when lawyers advise you to STFU, usually means it's in your personal interest.



Scene examination... hm... they're going to dust the USB cable for prints or what? Check for a shoeprint of the hacker eloping with the crypto in the duffel bag?

Recovering funds is just one of the priorities. Not the biggest, apparently. Which are the other priorities?

They could allow read only access to customers, in order to take snapshots of the accounts. That would be the honest thing to do.

[dablatair]

I am saddened, very little hope -  Crypto Exchange Cryptopia Claims It’s Been Hacked, Goes Offline After Months of Problems; Users Cry Exit Scam



https://cryptoiq.co/crypto-exchange-cryptopia-claims-its-been-hacked-goes-offline-after-months-of-problems-users-cry-exit-scam/

Hello,

Thank you for this complete article.

I heard lot of trouble with Cryptopia in the last weeks regarding the blocked wallets and many maintenance but I was really not aware of the importance of troubles and that there are so important suspiscions of malversation and fears of exit scam.

I'm almost sure that this will be the end of Cryptopia and I hope that the remained funds will be available for the users to be recovered before the end. I also hope that the stolen funds will be refurbished to users but I have really big doubts in that.

Also a sad news for lots of small projects that found a place to be listed and visible and now will be nowhere.

I strongly hope that this will be another experience that will be taken by users and other exchanges to increase security and safety of their funds.

[RivAngE]

Oh... so New Zealand has a Crypto-police! That's interesting... and reassuring! I wouldn't expect any serious outcome if normal police was involved, but since there's a special department for that, then there's hope for finding the truth and maybe catching the hacker.

I especially lol'd at the part of the announcement "we are also aware of speculation in the online community about what might have occurred", (obviously meaning that Cryptopia "hacked" themselves).
I guess people from their crypto-police have forum accounts here and elsewhere!

[pinoycash]

Oh... so New Zealand has a Crypto-police! That's interesting... and reassuring! I wouldn't expect any serious outcome if normal police was involved, but since there's a special department for that, then there's hope for finding the truth and maybe catching the hacker.

I especially lol'd at the part of the announcement "we are also aware of speculation in the online community about what might have occurred", (obviously meaning that Cryptopia "hacked" themselves).
I guess people from their crypto-police have forum accounts here and elsewhere!

In the end we want them to comeback so all users can withdraw their funds and move-on from this mess, This Forensic Investigation will take nowhere its all anonymous address and the hacker will surely laylow for now until the dust settled.

[Timelord2067]

In the end we want them to comeback so all users can withdraw their funds and move-on from this mess, This Forensic Investigation will take nowhere its all anonymous address and the hacker will surely laylow for now until the dust settled.

1.4 million valid email addresses and the corresponding wallet addresses both in and out...

[Labrader]

Apparently some of the missing crypto made it's way to Binance and they were able to freeze part of it, according to CZ's tweet.

When asked what will they do with the frozen assets, CZ's answer was interesting:

[pornluver]

Cryptopia also have a bug. They sort orders based on string value of the dates. I told support but it's not fixed.

[target]

Looks like a movie scene where a hacker cleverly took some funds by typing on the commandline  

Apparently some of the missing crypto made it's way to Binance and they were able to freeze part of it, according to CZ's tweet.

When asked what will they do with the frozen assets, CZ's answer was interesting:

Well its there already. It goes to what they say that there is nothing safe  when its put online.  CZ said they'd freeze the account if they can track the rest of the tokens, I wonder if they can track if its mixed already and sent to binance.

[DenysM]

Today I read an article where some users claim that it could be initiated from within. Perhaps the exchange itself or someone from the employees appropriated the money for themselves. Article in Russian https://forklog.com/chast-propavshih-s-cryptopia-sredstv-obnaruzhena-na-birzhe-binance/
On January 13 there were two big transactions for $ 4 million (19,391 ETH/ 48,029,306 CENNZ). Very suspicious

[xtraelv]

cryptopia.co.nz


https://www.police.govt.nz/news/release/update-investigation-involving-cryptocurrency-company

[RokOrids]

I think it's too early to talk about exit scam. Perhaps it is easier for me to talk about it, since there were no serious amounts there, but I would like to believe that in the end we will get an answer, then we will draw conclusions. 

Most of all I was upset by beggars in the comments to the addresses where funds were supposedly withdrawn. "Mr. Hacker, you are such a good fellow, Mr. Hacker, give me a pretty penny .." - sycophants ...
I want to believe that karma exists. No one would wish such a fate ...

[trackers]

these guys are based in my city. The two owners have really solid cred in the community, but they have 100 staff so who knows.... I talked to a SQL contractor there and he thinks its pretty suspect.

TL:DR suspect an inside job has happened. Cryptopia have gone silent and are just referring everything to the cops.

[almightyruler]

The two owners have really solid cred in the community, but they have 100 staff so who knows...

I feel sorry for those 100 staff. Even if Cryptopia does come through this, their reputation has taken a big hit, and whilst shut down they have no revenue. At least some of the staff will have to be let go.

The unpaid mods are also going to be feeling the heat.

[Saint-loup]

@xtraelv
You don't know [img height=  or [img width=  to reduce the size of your pics?
14 and 15 january it's old news BTW

[Saint-loup]

Apparently some of the missing crypto made it's way to Binance and they were able to freeze part of it, according to CZ's tweet.

When asked what will they do with the frozen assets, CZ's answer was interesting:

[einsteinium]

When we talk about the damage, lets put things in perspective.
We are in bear market and prices are bottoming, so the real damage is actually much much bigger.