What happens to your fiat balance if a bitcoin exchange gets hacked?

[Stojkovic]

Not sure where to post this, but here goes...

Say a bitcoin exchange you are with gets attacked by hackers. The hackers would presumably make off with your bitcoins as well as your personal information, which is enough for you to worry about. But would you expect to get your fiat balance back when the site is up and running again? I'm guessing the answer is yes, and that it would be similar as for a regular trading site or betting site that got hacked. Is this right?

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[xedk]

it depends on the exchange. for example, coinbase insures its digital currency and fiat is FDIC insured for US residents

https://support.coinbase.com/customer/portal/articles/1662379-how-is-coinbase-insured-

[quantumcat]

it depends on the exchange. for example, coinbase insures its digital currency and fiat is FDIC insured for US residents

https://support.coinbase.com/customer/portal/articles/1662379-how-is-coinbase-insured-

This is precisely why it is good to stick to the biggest exchanges. They are mostly the safest choice. Gemini, Bitstamp, and Coinbase/GDAX are good choices imo. For alts, binance has risen in popularity recently.

[mr angry]

But would you expect to get your fiat balance back when the site is up and running again?

There's no guarantee an exchange will get back up and running again. The biggest exchange in early 2014 was MtGox. It closed, but never reopened after getting hacked. It's now almost four years its customers have been going through the courts trying to get something back. Both fiat and bitcoin holders lost their money.

[mk4]

I'm pretty sure it completely depends on how careful the exchange stores their data. If the exchange's security sucks, and you have your credit card info on your account, then they could probably use your funds to buy bitcoin and send em out to the hacker's wallet.

it depends on the exchange. for example, coinbase insures its digital currency and fiat is FDIC insured for US residents

https://support.coinbase.com/customer/portal/articles/1662379-how-is-coinbase-insured-

This is precisely why it is good to stick to the biggest exchanges. They are mostly the safest choice. Gemini, Bitstamp, and Coinbase/GDAX are good choices imo. For alts, binance has risen in popularity recently.

Coinbase is good, sure, but always remember to not store big amounts of bitcoin/eth/ltc on Coinbase.