Bitcoin continues bleeding after Coinrail hack

Bitcoin continues bleeding after Coinrail hack

The price of Bitcoin on most exchanges have plummeted by more 10% after Coinrail, a Korean cryptocurrency exchange was hacked.

Coinrail sent out a tweet to confirm the hack saying “cyber intrusion” on Sunday, causing a loss for about 30% of the coins traded on the exchange. It did not quantify the value, but local news outlet Yonhap News estimated that about 40 billion won (£27.8m) worth of virtual coins was stolen.

Coinrail said “70% of total coin and token reserves have been confirmed to be safely stored and moved to a cold wallet [not connected to the internet]. Two-thirds of stolen cryptocurrencies were withdrawn or frozen in partnership with related exchanges and coin companies. For the rest, we are looking into it with an investigative agency, related exchanges and coin developers.”

Police have begun an investigation, according to the Korea Herald, which cited a spokesperson as saying: “We secured the access history of Coinrail servers and we are in the process of analysing them.”

On the Luno exchange in Nigeria, Bitcoin has fallen below N2.6 million it was as at last week down to N2.4 million per BTC.