Hacking is the Big Problem

[S.coastapps]

Guys…

I read the new the Japanese Exchange Coincheck loses ¥58 billion in the hacking attack. It’s not a single case in this after a few weeks ago Etherdelta was also Hacked. So how can we ensure that our money is safe on exchanges?

[1715009453]

1715009453

[OmegaStarScream]

You don't. Hacks target the exchanges wallet by finding exploits and not the user accounts separately. If you want your funds to be safe, use exchanges for trading only and withdraw to your personal wallet.

[Kemarit]

Guys…

I read the new the Japanese Exchange Coincheck loses ¥58 billion in the hacking attack. It’s not a single case in this after a few weeks ago Etherdelta was also Hacked. So how can we ensure that our money is safe on exchanges?

There are measures like 2FA, strong passwords. But I seriously doubt that it can deter hackers from doing their thing. This is like a cat-and-mouse game. The people with Coincheck is that they didn't store NEM offline. That's a big no-no as far as security and protecting the funds of your users. Crytocurrencies are really susceptible and vulnerable to such attacks. However, based on my experience, I usually don't store huge amount of money on a exchange. I withdraw to my wallet where I have total control, I only let it sit few hundreds on a exchange for trading purposes only.

[thedreamer]

You don't. Hacks target the exchanges wallet by finding exploits and not the user accounts separately. If you want your funds to be safe, use exchanges for trading only and withdraw to your personal wallet.

I love it when people say this. How the heck do you 'trade' if you keep your coins in the wallets... You don't.

IF you're holding, then yes, keep it in your wallet. If you trade it makes no sense.

[OmegaStarScream]

You don't. Hacks target the exchanges wallet by finding exploits and not the user accounts separately. If you want your funds to be safe, use exchanges for trading only and withdraw to your personal wallet.

I love it when people say this. How the heck do you 'trade' if you keep your coins in the wallets... You don't.

IF you're holding, then yes, keep it in your wallet. If you trade it makes no sense.

What I meant is do the trade and withdraw instantly. Exchanges were created for trading and not for holding your funds. Unless you are day trading, I see no reason on why you should keep your money on an exchange for a anything more then a few minutes. Trading with individuals on forums etc. is another option to avoid using centralized exchange.

[damrianto]

hack is not a good way for you to get the funds. this is one way to destroy your wallet ..
for the security you can exchange and trade token and you can save in your personal wallet this is a safe way to trade.

[marlboroza]

How do you know that this isn't inside job?
In my opinion if hacker steal money from exchange it is not your problem and they have to pay back whatever users lost.

So how can we ensure that our money is safe on exchanges?

Your money is safe only in your wallet and if you are trader you agree with risk that you might lose your funds. Remember that.

What I meant is do the trade and withdraw instantly. Exchanges were created for trading and not for holding your funds. Unless you are day trading, I see no reason on why you should keep your money on an exchange for a anything more then a few minutes. Trading with individuals on forums etc. is another option to avoid using centralized exchange.

What about people who are using bots? They can't really stay off exchanges.
Trading on forum also has certain risk, less options, less traders and lots fees, right? Pay fees, pay escrow, what if escrow runs away with money? Or dies? I am not saying it will, but lets look at all possibilities.

hack is not a good way for you to get the funds. this is one way to destroy your wallet ..
for the security you can exchange and trade token and you can save in your personal wallet this is a safe way to trade.

You should be permanently banned.

[iqlimasyadiqa]

You don't. Hacks target the exchanges wallet by finding exploits and not the user accounts separately. If you want your funds to be safe, use exchanges for trading only and withdraw to your personal wallet.

I love it when people say this. How the heck do you 'trade' if you keep your coins in the wallets... You don't.

IF you're holding, then yes, keep it in your wallet. If you trade it makes no sense.

Yes it is basic knowledge. We must keep the amount we have on the exchange to be able to trade. sometimes some exchange does not offer good security features and even the exchange can make an action that is not commendable by taking over the account we have. every time we entrust the amount we have on the exchange then we must be prepared to face the bad risks occur. Security is only guaranteed when we can save the amount we have on personal wallet, especially is an offline wallet that has a private key security feature. Each coin must have a wallett official and it is the safest option to date.

[thedreamer]

How do you know that this isn't inside job?
In my opinion if hacker steal money from exchange it is not your problem and they have to pay back whatever users lost.

I'm a FIRM believer that it is ALMOST ALWAYS an inside job when any place gets 'hacked'.
I lost a bunch when BTC-E fiasco went down, turns out it WAS BS reasons like I said from the start, not what they claimed.

As far as I know the management involved still has hits out on their heads (they walked away with a few hundred milllion in USD).

[bL4nkcode]

Yes it is basic knowledge. We must keep the amount we have on the exchange to be able to trade. sometimes some exchange does not offer good security features and even the exchange can make an action that is not commendable by taking over the account we have. every time we entrust the amount we have on the exchange then we must be prepared to face the bad risks occur. Security is only guaranteed when we can save the amount we have on personal wallet, especially is an offline wallet that has a private key security feature. Each coin must have a wallett official and it is the safest option to date.

That's why even if you're a trader or long-term holder then you should not put all your funds on a certain exchange/web wallet, don't invest/trade what you can't afford to lose. Because any sites are too vulnerable to hacking.

Trading with individuals on forums etc. is another option to avoid using centralized exchange.

This might be a good option but be careful and be aware to whom you trade with, use an escrow for good.

I'm a FIRM believer that it is ALMOST ALWAYS an inside job when any place gets 'hacked'.

Should I say an exit scam.

[BTCforJoe]

How do you know that this isn't inside job?
In my opinion if hacker steal money from exchange it is not your problem and they have to pay back whatever users lost.

This is why all exchanges have their privacy policies and terms reflect that they are not responsible for any outside breaches made to their networks.

You don't. Hacks target the exchanges wallet by finding exploits and not the user accounts separately. If you want your funds to be safe, use exchanges for trading only and withdraw to your personal wallet.

I love it when people say this. How the heck do you 'trade' if you keep your coins in the wallets... You don't.

IF you're holding, then yes, keep it in your wallet. If you trade it makes no sense.

What I meant is do the trade and withdraw instantly. Exchanges were created for trading and not for holding your funds. Unless you are day trading, I see no reason on why you should keep your money on an exchange for a anything more then a few minutes. Trading with individuals on forums etc. is another option to avoid using centralized exchange.

I think we're at a pivotal moment where a lot of the new adopters of crypto trading don't have a clue what Mt. Gox was. I love when people criticize the people who advise others not to keep their money in exchanges. Just because an exchange offers 2fa options, and verification on your account, doesn't mean that they can't get "hacked". Like so many others have said, I also believe that anytime an exchange gets "hacked", it's just an inside job for the devs to make a few million bucks. And for reference as to why a lot of early adopters ALWAYS recommend pulling your money out of exchanges (outside of trading), here's the wiki link to Mt. Gox: https://en.wikipedia.org/wiki/Mt._Gox

And for the record, another coin theft just occurred by Coincheck, and the value of coins that were stolen is confirmed to be more than the Mt. Gox incident. Again, another exchange "hack": https://www.coindesk.com/coincheck-confirms-crypto-hack-loss-larger-than-mt-gox/

[GeorgeFeb]

Guys…

I read the new the Japanese Exchange Coincheck loses ¥58 billion in the hacking attack. It’s not a single case in this after a few weeks ago Etherdelta was also Hacked. So how can we ensure that our money is safe on exchanges?

Become a hacker yaself!

G, I should have learn programming back in the day!

[BillCoin]

As long as you follow the rules there is simply no reason that somebody would be able to hack your wallet.
Most of the hacks targets online wallets, which means- wallet like blockchain.info, that can be hacked through obtaining your username and password only( unlike wallets like electrum.org that are based on your computer, and they will need to have an access to the actual file on your computer to get an access to the funds), and exchange wallets(usually finding an exploit on the exchange may let the hacker withdraw all the coins available on the hot wallet).

If you store your coins at home on a cold wallet, there is no way that someone would be able to obtain your coins.

[richardsNY]

G, I should have learn programming back in the day!

No need for that. Launch an exchange, pretend that you lost x amount of coins due to a hack that happened a while ago (which gives you enough time to get rid of taint and whatnot), and there you have made yourself some quick bucks. For that reason I see operators perform an inside theft more as a serious problem than hackers. It's far too easy to walk off like nothing has happened, just like Bitfinex managed to do -- after them having compensated people on a fiat based value, people suddenly started to make use of that exchange again.... At first they were talking about how they would never make use of that exchange ever again, and now it's all fine....

[GeorgeFeb]

G, I should have learn programming back in the day!

No need for that. Launch an exchange, pretend that you lost x amount of coins due to a hack that happened a while ago (which gives you enough time to get rid of taint and whatnot), and there you have made yourself some quick bucks. For that reason I see operators perform an inside theft more as a serious problem than hackers. It's far too easy to walk off like nothing has happened, just like Bitfinex managed to do -- after them having compensated people on a fiat based value, people suddenly started to make use of that exchange again.... At first they were talking about how they would never make use of that exchange ever again, and now it's all fine....

Ha, very interesting!

Or open some shell bs like Changelly instead and rake some money! ☺

[nikifffor]

The security problem bothers me too much. but we are in the 21st century. we are moving into the digital economy and the topic of security will be even more acute over the years. People need to become more literate in terms of security.

[hugeblack]

Guys…

I read the new the Japanese Exchange Coincheck loses ¥58 billion in the hacking attack. It’s not a single case in this after a few weeks ago Etherdelta was also Hacked. So how can we ensure that our money is safe on exchanges?

why you save your money on exchange site? (besides hacking) some sites can stop your account without any reasons.
Some of the exchange sites are Scam, a High fee, and many docs.
use some wallets like electrum and exodus. Only use exchange sites for trading.

[copypaper5]

it's important to have a strong and unique password. If the password is not strong then it is very easy for hackers to guess your password with brute force. Or we can use the password management tool.
For me it's safe to secure my account and wallet.
But I think there is no absolute security, can only minimize the occurrence ...

Maybe there is another better way, please tell me ..

[BitHodler]

The security problem bothers me too much. but we are in the 21st century. we are moving into the digital economy and the topic of security will be even more acute over the years. People need to become more literate in terms of security.

People (including myself) should stop using centralized exchanges, so they won't have to suffer from these 'hacks' anymore. I do some occasional slow trading, which quite often is being referred to as buy low sell high trading.

As soon as I have bought the coins, I have them directly be sent to my personal offline wallet. I will not leave any coins on an exchange while sleeping, that's something I have promised myself.

The only thing I do have left on exchange is fiat. I fully accept the risk of what might happen when an exchange goes down or gets hacked and gives all accounts with balance a fresh haircut ~ my coins is were the priority lies.

[ralle14]

it's important to have a strong and unique password. If the password is not strong then it is very easy for hackers to guess your password with brute force. Or we can use the password management tool.
For me it's safe to secure my account and wallet.
But I think there is no absolute security, can only minimize the occurrence ...

Maybe there is another better way, please tell me ..

Exchanges aren't really that secure. What if the hacking incident was an inside job having strong security (2fa) and passwords is no help to us.

The only solution to avoid this is already said by Omega which is to withdraw your funds when you're not trading. If it's expensive to withdraw convert them to altcoins so fees won't bother you. Doing this on a daily basis could be frustrating  but at least your money is safe from the hackers.