Yesterday, US$31million te cryptocurrency wasgoed stolen by hackers from Bithumb, a South-Korean cryptocurrency exchange.
Just days before the hack took place, Bithumb conducted a security enhancement check spil well spil moved users’ assets to a cold wallet to secure the digital coins te a more secure offline environment.
Millions of cryptocurrency users store their digital coins te third-party wallets. This hack goes to demonstrate how significant it is to store coins te a wallet that’s fully managed.
“A well-thought-out cybersecurity strategy will likely cost much less than the losses caused by thesis consecutive incidents. Users who entrust their digital coins to third parties should be ready to never see them again, this is the reality of modern Bitcoin Klondike,” commented Ilia Kolochenko, CEO and founder of web security company High-Tech Bridge.
Following this, the cryptocurrency market shows up to have taken the hack into consideration, with Bitcoin prices and total market cap decreasing by more than 2% within 30 minutes of the hack being announced.
Security landscape of cryptocurrency
Billions of dollars te digital currencies have bot stolen ter the last twelve months according to various reports. Thus, this particular [minor] incident will unlikely alter the grim security landscape of cryptocurrency exchanges,” Kolochenko added.
Bithumb confirmed the hack on its webstek and official Twitter account an hour before reporting the case to the Korea Internet & Security Agency (KISA), a government organisation that supervises internet and cybersecurity issues te the country, spil well spil notified all of its victims that it will be paying back the tokens spil soon spil possible.
“It is very good to know that the victims will be duly compensated after the breach, albeit this raises the question of economical practicality to operate a crypto-exchange business ter such a manner,” noted Kolochenko.