BTC38 hot wallet got hacked and lost 1.5 million

[hl5460]

2 hours later, another 8btc thread  gave out the true reason: BTC38 was hit by a hacker with approximate loss of 1.5 million RMB.

“As a result of the server logic problems on 21st Dec, more than 10 million Bitshares, over 10 million NXT and some BTC/LTC were stolen from the exchange’s hot wallet (estimated total loss of  1.5 million RMB). We shut down the server immediately and stayed up all night to fix the problem. We have reviewed our wallet deployment plan and made new adjustments. We will take full responsibility for the total loss of the digital asset (market buyback).” The most important assurance is that all funds are safe in the hands of BTC38.
BTC38 explained the delay to calm down the market:“As we are currently redeploying the wallet, the service for certain coins will be resumed gradually.”

http://news.8btc.com/exclusive-btc38-hot-wallet-got-hacked-and-lost-1-5-million

[MingLee]

Holy shit.

I think I remember reading about this site and thinking about using it at some point in the near future too. Probably a good thing that I didn't get too interested in it.

You mention that 1.5m RMB was lost though, what is/was the conversion rate to USD? It can mean a huge difference as to what the noted losses are.

[sportis]

Holy shit.

I think I remember reading about this site and thinking about using it at some point in the near future too. Probably a good thing that I didn't get too interested in it.

You mention that 1.5m RMB was lost though, what is/was the conversion rate to USD? It can mean a huge difference as to what the noted losses are.

What concerns me is not only the amount of money have been lost but how easy site's security gap found and they fell victim of hacking. This proves that administrators, and anybody is responsible about security of these exchange sites must be anytime in alert because even though they said that they take full responsibility about digital assets loss they lost forever their customer's faith.

[Pursuer]

yet another place hacked and a big amount of money stolen and we are still not seeing any change in these services security measures. and people are also continue trusting them with their money.
I wonder when this is going to change if ever!

[Kakmakr]

Holy shit.

I think I remember reading about this site and thinking about using it at some point in the near future too. Probably a good thing that I didn't get too interested in it.

You mention that 1.5m RMB was lost though, what is/was the conversion rate to USD? It can mean a huge difference as to what the noted losses are.

The conversion rate is 1 RMB = 0.145 USD, so they got away with about $217801.66 USD if my calculator is working correctly. The users will not be affected in any way, because the exchange already said that they will cover the losses. Why do we always see "hacks" when the Bitcoin price breaks out? People should not store large amounts of coins on these exchanges, but they are not listening and when this happens, people lose a lot of money and then they blame Bitcoin.  

[hl5460]

Holy shit.

I think I remember reading about this site and thinking about using it at some point in the near future too. Probably a good thing that I didn't get too interested in it.

You mention that 1.5m RMB was lost though, what is/was the conversion rate to USD? It can mean a huge difference as to what the noted losses are.

Divide by 7, it's around 200k USD

[tmpxeroc]

Steem was there first
https://steemit.com/bitcoin/@xeroc/btc38-hacked-1482331504-65494

[bering]

after bitfinex incidents and now this exchange and apparently china exchange will be the next aim by the hackers because before BTC38 several times ago bter also has announce they got hack and lost a lot of bitcoins however i was wondering whether this is will have bad influence for altcoins market because this exchange is the top 3 exchange in china

[hl5460]

after bitfinex incidents and now this exchange and apparently china exchange will be the next aim by the hackers because before BTC38 several times ago bter also has announce they got hack and lost a lot of bitcoins however i was wondering whether this is will have bad influence for altcoins market because this exchange is the top 3 exchange in china

Price of bitshares and nxt seems to be stable.

[RealPhotoshoper]

yet another place hacked and a big amount of money stolen and we are still not seeing any change in these services security measures. and people are also continue trusting them with their money.
I wonder when this is going to change if ever!

yeaa i even wondering is all this time hacked issue in exchanges just a mere drama?
too much incident within a year involve 'exchange' and 'hack'.
are they did not even learn? or they are actually a great hacker group that operating in bitcoin exchanges hack.

[LFC_Bitcoin]

People know the risks of keeping lots of coins on exchanges, they can't say they don't know the risks. Difference is now the price doesn't get affected by stuff like this.

[1Referee]

yet another place hacked and a big amount of money stolen and we are still not seeing any change in these services security measures. and people are also continue trusting them with their money.
I wonder when this is going to change if ever!

It will never change. Hot wallets are connected to the internet, and thus a very interesting target for hacker thieves. It's not that all people keep their coins on exchanges without withdrawing them. Plenty of people are trading where the trading sessions can last days, perhaps even weeks depending on the intensity of the volatility. In that regard, traders must have a certain amount of coins and money in their exchange account in order to continue trading. What I personally do is, when I am done trading, I withdraw all my coins. That's a basic rule for me. If I am going to trade again, I simply deposit coins, and do what I want to do, where after that I withdraw them again. Very simple.

[chesatochi]

People know the risks of keeping lots of coins on exchanges, they can't say they don't know the risks. Difference is now the price doesn't get affected by stuff like this.

We see it over and over from different stories around that is not the best way to keep all your bitcoin on a central wallet over the network. The best is to always keep your valuable bitcoin in a cold wallet or paper wallet. The security is something that people should always take seriously and be aware of it all the time.

[RocketSingh]

Every price spike comes with an exchange hack. This has become so obvious now.

[mobnepal]

So basically 1.5 million RMB means around 2,00,000 USD which is not quite big to worry about sudden crash on market.
However this can be another good example of how unsafe it is to store bitcoin/crypto in exchange platform and online wallets are also susceptible to this types of hack.

[calkob]

Very strange that everytime bitcoin goes on a run in price another exchange is hacked    I doubt it will stop this rise tho, i am guessing $900 by Christmas day. 

[400actforsale]

When I first seen the thread title I think it was 1.5 million bitcoins then 1.5 million USD worth. But the turned uo result of 1.5M RMB meaning they're just few hundred of bitcoins.

Anyway, this hack have reminded us the fact again: Never store your coins with exchange unless you're going to use them. Store them in your wallet and that is the only way to ensure your bitcoins are secure. Mtgox have make many bitcoiners lost coins there due to hacks, same to many other exchanges.

[davis196]

2 hours later, another 8btc thread  gave out the true reason: BTC38 was hit by a hacker with approximate loss of 1.5 million RMB.

“As a result of the server logic problems on 21st Dec, more than 10 million Bitshares, over 10 million NXT and some BTC/LTC were stolen from the exchange’s hot wallet (estimated total loss of  1.5 million RMB). We shut down the server immediately and stayed up all night to fix the problem. We have reviewed our wallet deployment plan and made new adjustments. We will take full responsibility for the total loss of the digital asset (market buyback).” The most important assurance is that all funds are safe in the hands of BTC38.
BTC38 explained the delay to calm down the market:“As we are currently redeploying the wallet, the service for certain coins will be resumed gradually.”

http://news.8btc.com/exclusive-btc38-hot-wallet-got-hacked-and-lost-1-5-million

Every time when the bitcoin price  increases and hits the roof(like today) there are some hackers who

steal X million of btc from some exchange platform or wallet and btc price does down.

Next year i`m waiting for the next bitfinex.

[European Central Bank]

even if exchanges themselves have bulletproof security, there are still ways in via the hosting, domain and other options. it's an irresistable target for hackers and always will be. they're not gonna get less creative as time goes on either.

[BigBoom3599]

Luckily this hack wasn't as big as some of the previous ones, maybe people are finally learning to stop storing their coins on exchanges maybe we should only use shapeshift style exchanges to minimize losses in case of a hack...