Binance Foils Cryptopia Hacker by Freezing Stolen Crypto
Binance Puzzled Why Hackers Keep Sending Funds to its Exchange
Binance CEO Changpeng Zhao announced the news in an early morning tweet on Wednesday.
Zhao questions why attackers keep on sending the stolen funds to Binance, given that word quickly spreads and the crypto exchange is not shy about halting the flow of stolen funds.Just checked, we were able to freeze some of the funds. I don't understand why the hackers keep sending to Binance. Social media will be pretty fast to report it, and we will freeze it. It's a high risk maneuver for them. https://t.co/i0PeahLzic
— CZ Binance (@cz_binance) January 16, 2019
Cryptopia said in a tweet that the breach occurred on Monday. Based in New Zealand, Cryptopia said the hack caused it to suffer “significant losses.”
The breach moved at least $2.4 million worth of ethereum (ETH) to several unknown wallets. Also, it moved roughly$1.2 million worth of Centrality (CENNZ).
Still, it’s unclear who was behind the hack that resulted in the redistribution of the stolen funds through Binance and other exchanges. Some have even suggested that Cryptopia may have made the transfers for security reasons.
Cryptopia said Tuesday in a tweet:
We cannot comment as this matter is now in the hands of the appropriate authorities. We will update you as soon as we can.https://t.co/9uMiKQwb6u
— Cryptopia Exchange (@Cryptopia_NZ) January 15, 2019
Zhao Creates His Own Debacle
The day after Cryptopia announced the hack, Zhao posted a message on Twitter that received considerable backlash. In that tweet, he appeared to advise crypto holders to store their holdings on exchanges instead of on personal storage devices like USB drives or hardware wallets.That tweet did not sit well with some. Some took Zhao’s tweet to mean that the risk of self-storage is significantly greater than the risk of storing cryptocurrency on “reputable” exchanges like Binance, for example. However, Zhao later said he was not necessarily advising investors to store funds on exchanges.
Are Hacks Becoming the Norm?
Recently reposted that more than $731 million was lost to exchange hacks in the first half of 2018 alone. Most of that loss, $500 million, resulted from the Coincheck hack of January 2018. There have not been any more exchange hacks on the scale of the 2014 Mt Gox hack of that upended the crypto space.
Still, breaches are a serious risk to the long-term stability and adoption of cryptocurrency. Continued breaches with basic hacking tools and methods could erode trust and confidence from investors in the public market.
Featured Image from Shutterstock
Posted from my blog with SteemPress : https://bittreat.com/binance-foils-cryptopia-hacker-by-freezing-stolen-crypto/
Warning! This user is on my black list, likely as a known plagiarist, spammer or ID thief. Please be cautious with this post!
If you believe this is an error, please chat with us in the #cheetah-appeals channel in our discord.
Thank you so much for sharing this amazing post with us!
Have you heard about Partiko? It’s a really convenient mobile app for Steem! With Partiko, you can easily see what’s going on in the Steem community, make posts and comments (no beneficiary cut forever!), and always stayed connected with your followers via push notification!
Partiko also rewards you with Partiko Points (3000 Partiko Point bonus when you first use it!), and Partiko Points can be converted into Steem tokens. You can earn Partiko Points easily by making posts and comments using Partiko.
We also noticed that your Steem Power is low. We will be very happy to delegate 15 Steem Power to you once you have made a post using Partiko! With more Steem Power, you can make more posts and comments, and earn more rewards!
If that all sounds interesting, you can:
Thank you so much for reading this message!