Tech News, Magazine & Review WordPress Theme 2017
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • CRYPTO LIVEWIRE
    • Latest
    • Press Releases
    • Sponsored Posts
    • Submit Your Content
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • EXPLORE
    • eToro
No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • CRYPTO LIVEWIRE
    • Latest
    • Press Releases
    • Sponsored Posts
    • Submit Your Content
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • EXPLORE
    • eToro
No Result
View All Result
The Daily Hodl
No Result
View All Result

Stolen Ethereum on the Move As South Korea’s Crypto Exchange Hack Coincides With Regulatory Efforts

by Daily Hodl Staff
November 28, 2019
in Scams, Schemes and Hacks
‏‏‎ ‏‏‎ ‏‏‎ ‏‏‎

‎‎‎ ‏‏‎

ADVERTISEMENT

South Korea’s leading cryto exchange says hackers stole 342,000 ETH from its “hot wallets” linked to the internet.

While the theft marks another big plunder in the crypto world, the firm’s management says it will cover the losses, worth an estimated $52 million, up from $49 million at the time of the theft.

According to the announcement,

“At approximately 13:06 on November 27th, 2019 (KST), 342,000 ETH was sent from Upbit Korea’s Ethereum hot wallet to an anonymous wallet address – 0xa09871AEadF4994Ca12f5c0b6056BBd1d343c029.

ADVERTISEMENT

We took immediate actions to protect your assets, and no investors’ assets were lost.”

Trading on the exchange is still permitted but all deposits and withdrawals are frozen for two weeks.

As the crypto community speculates on the likelihood of the Upbit hack being an inside job, blockchain analysts are tracking the stolen Ethereum, which is already on the move to new wallets. Since the Ethereum network is open and public, anyone is able to view the new addresses containing the digital assets. A quick search on Blockchain.info shows that the receiving wallet now has a balance of $9.12, at time of writing, following several smaller transfers.

The stolen ETH is split among four new addresses, according to Peckshield researcher Chiachih Wu, with the hacker apparently trying to cash out on an exchange.

#UpbitHack Hacker is testing @HuobiGlobal now pic.twitter.com/0iAGxXXClY

— Chiachih Wu (@chiachih_wu) November 28, 2019

The chief executive officer of leading crypto exchange Binance says he is working to make sure the hackers do not cash out through the popular trading platform.

We will work with Upbit and other industry players to ensure any hacked funds that may make their way to Binance are immediately frozen.

Stay #SAFU

— CZ Binance (@cz_binance) November 27, 2019

Meanwhile, a theory that the hack was an inside job designed to thwart Upbit’s tax obligations has sparked controversy.

ADVERTISEMENT

Writes Twitter user Jeff Paik,

“Heard an interesting conspiracy that exchanges hack themselves to avoid taxes. Korean Tax Service told Bithumb to pay $30m tax in June 8, 2018. -> Bithumb got hacked $35m 12 days later.

Upbit was ordered to pay 50-60m tax in Jan 8, 2019. -> Upbit got hacked 50m today.”

Responds Zack Voell, a technical writer at Blockstream and a former researcher at crypto analysis firm Messari,

“This makes total sense. The reasoning would go something like: “Sure, after announcing the ‘hack’, we might lose dozens or even hundreds of customers (maybe more!), but hey, we don’t have to pay taxes! Worth it.”

The hack coincides with this week’s passage of a bill by South Korea’s national policy committee to establish a new regulatory framework for cryptocurrencies.

The new framework would require crypto businesses in South Korea to register with the Financial Services Commission’s (FSC) Financial Intelligence Unit (FIU), obtain an Information Security Management System certificate from the state-run Korea Internet and Security Agency, and conduct regular reporting. The requirements are designed to enforce anti-money laundering regulations and to make the industry more transparent.

ADVERTISEMENT

Given the latest hack, however, security of consumers’ funds remains a critical challenge. According to local media outlet Yonhap News, Upbit has reported damages to police authorities and the Internet Agency (KISA), and a joint investigation is underway.

While a report by Korea Joongang Daily, prior to the hack, declared that cryptocurrency is one step closer to being legitimate in Korea, Yonhap News suggests rising concerns.

An industry official says,

“We are sensitive to security issues arising ahead of the parliament’s passage of the special bill amendment, which is the first step in the enactment of regulations for cryptocurrency exchanges.”

ADVERTISEMENT
Follow us on Facebook            Join us on Telegram            Follow us on Twitter


Check Latest News Headlines


ADVERTISEMENT


Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Submit a Press Release

Crypto Livewire – Press Releases

  • Unifi Farms Beta Launches on Unifi Protocol to Pioneer No-Stake Farming
    February 26, 2021
  • Bang Bang: Critical Factors Fueling Rise of the Retail Investor
    February 25, 2021
  • How Traders Make Money in Both Bull and Bear Markets on BigoMex
    February 25, 2021
  • Student Coin Found New Ways to Use Crypto
    February 24, 2021
  • Everest Receives Crypto Custodian Approval
    February 23, 2021
Submit a Guest Post
ADVERTISEMENT
Bitcoin
$44,664.00
$44,664.00
5.84%
Ethereum
$1,359.74
$1,359.74
8.53%
Binance Coin
$210.30
$210.30
8.77%
Polkadot
$30.92
$30.92
12.42%
Cardano
$1.24
$1.24
11.74%
XRP
$0.414089
$0.414089
8.38%
ADVERTISEMENT

Spotlight

  • US Treasury Secretary Has Several Concerns About Bitcoin, Addresses Need for Digital Dollar
    February 24, 2021
  • ‘Big Short’ Investor Michael Burry Issues Warning on Future of Bitcoin and Gold
    February 22, 2021
  • Altcoin Daily Names Top 8 Altcoins Poised To Erupt in March
    February 26, 2021
  • SpaceX Is Exploring Benefits of Placing Bitcoin on Its Balance Sheet, According to MicroStrategy’s Michael Saylor
    February 23, 2021

DON’T MISS A BEAT

Crypto headlines delivered daily
to your inbox
BTC, ETH, XRP news alert options

By joining The Daily Hodl news list you agree to our
Terms and Conditions and Privacy Policy.

Check your inbox for confirmation email.

Cryptocurrency news and analysis, covering Bitcoin, Ethereum, Ripple, XRP, altcoins and blockchain technology

Categories

Bitcoin • Ethereum • Trading •
Ripple and XRP • Altcoins •
Blockchain • Regulators •
Scams • Crypto101 • HodlX • Explore • Futuremash •
Crypto Livewire

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT

JOIN US ON TELEGRAM

JOIN US ON TWITTER

JOIN US ON FACEBOOK

COPYRIGHT © 2017-2021 THE DAILY HODL

No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • CRYPTO LIVEWIRE
    • Latest
    • Press Releases
    • Sponsored Posts
    • Submit Your Content
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • EXPLORE
    • eToro

© 2020 The Daily Hodl

×
We use cookies to give you the best online experience possible. Continue browsing if you are happy with that, or see how to manage cookies.