Cryptocurrency marketplace hacked, pilfered for +- 60 million

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fabis
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Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by fabis » Wed Dec 06, 2017 8:23 pm

https://www.theregister.co.uk/2017/12/0 ... _pilfered/

Cryptocurrency mining market NiceHash says it has fallen victim to a hacking attack that may have resulted in the loss of its entire Bitcoin wallet.
"Unfortunately, there has been a security breach involving NiceHash website. We are currently investigating the nature of the incident and, as a result, we are stopping all operations for the next 24 hours. Importantly, our payment system was compromised and the contents of the NiceHash Bitcoin wallet have been stolen. We are working to verify the precise number of BTC taken," the marketplace said.
While NiceHash did not put a number or dollar account on the lost cryptocurrency, estimates are that the loss stands to be around $60m. NiceHash says it will relaunch itself with improved security "at the earliest opportunity."

there is literally nothing i need to say, but if there was, it would be: Are you sure about crypto?

supaflix
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by supaflix » Wed Dec 06, 2017 8:54 pm

fabis wrote:
Wed Dec 06, 2017 8:23 pm
https://www.theregister.co.uk/2017/12/0 ... _pilfered/

Cryptocurrency mining market NiceHash says it has fallen victim to a hacking attack that may have resulted in the loss of its entire Bitcoin wallet.
"Unfortunately, there has been a security breach involving NiceHash website. We are currently investigating the nature of the incident and, as a result, we are stopping all operations for the next 24 hours. Importantly, our payment system was compromised and the contents of the NiceHash Bitcoin wallet have been stolen. We are working to verify the precise number of BTC taken," the marketplace said.
While NiceHash did not put a number or dollar account on the lost cryptocurrency, estimates are that the loss stands to be around $60m. NiceHash says it will relaunch itself with improved security "at the earliest opportunity."

there is literally nothing i need to say, but if there was, it would be: Are you sure about crypto?
Third party holders of crypto can be hacked just like banks or stores that hold cash can be hacked. The blockchain and network is secure. Third party holders/exchanges etc are not secure.

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Pajamas
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by Pajamas » Wed Dec 06, 2017 8:56 pm

The Bangladesh Bank was hacked for more than that, $81 million. What does that mean? Are you sure about the dollar?

https://www.reuters.com/article/us-cybe ... SKCN0YA0CH

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BogleMelon
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by BogleMelon » Wed Dec 06, 2017 8:59 pm

So people who have money in this wallet lost it forever? :oops:
Excuse my English, it is my second language! | | "One of the funny things about stock market, every time one is buying another is selling, and both think they are astute" - William Feather

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samsoes
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by samsoes » Wed Dec 06, 2017 9:11 pm

BogleMelon wrote:
Wed Dec 06, 2017 8:59 pm
So people who have money in this wallet lost it forever? :oops:
Gone forever, like yesterday's lunch.
"Happiness Is Not My Companion" - Gen. Gouverneur K. Warren. (Avatar is the statue of Gen. Warren at Little Round Top @ Gettysburg National Military Park.)

lack_ey
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by lack_ey » Wed Dec 06, 2017 9:16 pm

Oh, it was NiceHash this time? That's actually pretty well known. It's not really a typical exchange but more of a platform for connecting people with mining hardware with those who wish to use it to mine.

A lot of small-time cryptocurrency miners use a NiceHash client to automatically mine on their hardware, managing connecting to mining pools and running the code and all that. It automatically switches which cryptocurrencies are mined based on which is more profitable and the mining rate on the underlying hardware, as that changes over time, paying out rewards in Bitcoin periodically after taking their cut (IIRC it was 2% of mining profits). I once loaded up the client out of curiosity, but it's been a while so I forget.

I always figured that this was a weak link and a potential target, and now it's actually been hacked.

As far as I know, this is not some exchange where people had long-term storage of coins. It's just the Bitcoin wallet they had to pay people their mining profits was effectively plundered. We're looking at a relatively small loss for a large number of users, I would think. For example, somebody's last four days' worth of mining revenue, let's say $40 (less than 0.01 BTC and not yet distributed), being gone.

fabis
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by fabis » Wed Dec 06, 2017 10:23 pm

Pajamas wrote:
Wed Dec 06, 2017 8:56 pm
The Bangladesh Bank was hacked for more than that, $81 million. What does that mean? Are you sure about the dollar?

https://www.reuters.com/article/us-cybe ... SKCN0YA0CH
i'm sure of the insurance on my assets, i can tell you that.

aristotelian
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by aristotelian » Thu Dec 07, 2017 7:13 am

Interesting, one article I read said the theft was "reported to the relevant authorities". Who are the relevant authorities? What damages can anyone claim if the item stolen is a currency that is not recognized as legal tender? Wouldn't it be like reporting the theft of Monopoly Money?

... And the price of Bitcoin just went up another $4,000. Unbelievable.

sambb
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by sambb » Thu Dec 07, 2017 7:36 am

Crypto hack isnt close to the fraud in Enron, which was in the S&P. Fraud is everywhere.

Jags4186
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by Jags4186 » Thu Dec 07, 2017 8:00 am

Bank gets "robbed", all my money gone, FDIC gives me a check.
Bitcoin gets robbed, all my money gone, ???

I still don't get the store of value point of Bitcoin.

protagonist
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Re: Cryptocurrency marketplace hacked, pilfered for +- 60 million

Post by protagonist » Thu Dec 07, 2017 8:42 am

Funny article: "Someone in 2010 bought 2 pizzas with 10,000 bitcoins — which today would be worth $100 million".

http://www.businessinsider.com/bitcoin- ... on-2017-11

I wonder how many people have become multimillionaires or billionaires by buying a pizza worth of bitcoins 7 years ago. And I wonder how many of them are selling today.

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