Topic: BTC38 hot wallet got hacked and lost 1.5 million - page 3. (Read 15719 times)

Agree with this, i dont know if its a curse or just a normal thing on which when bitcoins price is already rising gradually and we love to see it on its high price and thats the time there are news regarding on hacks or stolen huge amounts of bitcoin.This would definitely affects bitcoins price for sure.

btc38 wouldn't reveal the address but claimed the stolen coins were not moving.

Probably not for long. A bitter reminder to not keep your coins in exchanges people.

I'm sure that this reason makes BTC market being down. That 's so boring .
Hacking is always central everytime BTC rises up.

That's why people are advised not to keep much from their funds at exchanges. Such sites are attacked continually and if there's a single flaw, it'll be exploited against them and their users. I understand the difficulties of keeping an exchange flawless though and I can appreciate their quick reaction and honesty about the situation. I hope, they'll resolve it quickly. But people's funds gonna be safe according to their words, aren't they?

I hope all the people that are affected by it will get what they lost. Thinking about it as a an exchange means they can use your money. So it's not good to put private keys or something because they won't benefit from that.

jacobmayes94
I like your idea, I have to read it again since I just woke up,
but clearly a lot of these sites are lacking when it comes to security on their coin storage. It seems like a lot of the smaller exchanges aren't doing much in terms of security other than separating coins into two areas- a cold storage and a temporary hot wallet.
As soon as someone gains access to the hot wallet they have been able to drain the funds completely, which means that, yes an additional layer of security is indeed required to have a decently secure setup.

And again, when bitcoin price spiked then come a bad news
maybe this is staged lol

It seems different with bitfinex, they can recover their trust member. at least if the mirror was broken, they still can use the little part of the mirror. 

But i hope they will be learning for it.

Wouldn't it be better for exchanges to store user's funds in such a way that the private keys for the users own coins on their server are encrypted and bound by their login password or a separate passphrase (an option that is higher security but means passwords must be recorded, if a multisig config is used the exchange can refuse to sign with its key until a 2FA key is presented if enabled), but then to further refine it the person can also download a backup of their private keys to store offline, the exchange queries when the wallet balance has been moved when the user logs in or tries to do something else so it  cannot be used once withdrawn. Or a solution like the coinbase multisig vault uses, the exchange stores the users funds with an encrypted shared key with a passphrase, a key the exchange has, and a backup user key that can be combined with the exchanges key to recover a forgotten passphrase, and also enables funds to be recovered if the exchange goes bust... Something like the above solution(s)

That would prevent 1. an exchange going bust and taking all the money unless they somehow put in code to capture passphrases for the shared key (an ideal system would be to decrypt and generate this key on the client machine)
2. Prevent hacks like this rather than keeping loads of funds in a single hot wallet.
3. Give the users more control over their coins.

Coinbase used a set up like this and I spent weeks trying to get them to fix a decryption issue with the vault during the price rise after the halving, in the end I got fed up and just used the user key and shared key to move my coins and it took ages to get a response from them, having control of my coins rather than waiting weeks to spend them was nice : )

It is not a mistake of any exchange, it is our mistake, because recently, Bitfinex has been hacked, and it is not a first time. So why people don't take a lesson from them? Its mean next time, we also heard about anything more than it. People should learn, otherwise it is loss for us, Why we are not worried about our money? 38 BTC, it is a big amount, I am really sad to know about it. 

I am not that much surprised to be honest. I expect the same thing to happen to almost any online exchange or web wallet. Hackers are one step ahead (if it is really hackers doing) so we need to be 2 steps ahead of them by using a well protected pc with a desktop wallet like electrum or a hardware wallet in order to be safe. Personally since I have bought the hardware wallet a few months ago I don't read these kind of news at all, only the news that are posted in the forum here. It's sad to see the same story and the same way of people losing money.

This (storing coins in web wallets or exchanges) reminds me the signature of a member here who have said it super right:
Insanity, doing the same thing over and over again and expecting different results.

Only $217k? I'm actually kind of surprised to be honest.

I haven't done much reading into this incident, but for most exchanges I expect massive losses rather than something like a mortgage. While not something to scoff at, it definitely seems like less than one would expect.

As for how the site was exploited, that was something weird to read. Like other people have said, such an easy exploit worries me as to how good of a security system this site had.

Really a big issue with all these hacks over the years. The online wallet security is a big concern, that's why people are using offline wallets and paper wallets. Maybe we should implement a way to blacklist certain addresses related to the hacking.

This just goes to show everybody that nothing is 100% safe when it comes to transmission of currencies and that goes double for any cryptocurrency.
especially to the biggest one of them all: BTC

Its really a big loss who owns this bitcoin that was hacked.
Its not really safe at all to save bitcoin in one exchange.
Thus, lets be careful on holding the coins in one exchange.

There are a lot of sites that has lots of bitcoin, and I think it would be a matter of time that it would attack another one. Better keep your coins in your wallet that only you have access to. Not that we can't trust the site, it's because we can't trust hackers.

The stolen amount is too insignificant to have any sort of impact on the market, which is exactly why the market doesn't seem to care at all. I am sure if this was a major exchange, that the price would already be on its way down. I have such a feeling that this isn't the only hack or "hack" that we will be hearing about in the coming weeks. It's no surprise that always when the price is going up in a rapid manner, something will pop up attempting the price to plummet again. I am nearly certain that these are coordinated attacks.

Good timing for the hackers. BTC is already at over 900 dollars. This is a little too convenient for them, dont you think? This is another inside job by the people who own and run the exchange.

it s the problem of bitcoins .people are too much greedy about it .and i think that the price of bitcoins get increased.and there is possibility that  all the wallets will be hacked very  soon.