you would think that after this many hacking incidents all this time, these exchanges would take more precautions about their hot wallets but it doesn't look they are learning anything at all.
i just hope they don't disappear like other hacked exchanges who disappeared.
Topic: BTC38 hot wallet got hacked and lost 1.5 million - page 5. (Read 15719 times)
I don't know if I need to say this but, everytime the price of Bitcoin rises by a lot some large or medium sized exchange gets hacked and they flee with the money. The next moment the news and media start reporting it, and the bad news starts pushing the price down by a lot. It's kinda shameful how Bitcoin exchanges are keeping so much funds in their hot wallets. I just hope they have some form of insurance or enough funds in their cold wallet to accommodate the loss or to find the thief (which is going to be very tough) and get back people's hard earned money. I'm also glad they're taking full responsibility for the loss of digital assets. I'm also very glad they have some leads on the hacker.
This is really sad news, but how the he'll did they did it. Isn't the security supposed to be super strong, though I do get it hackers found a way, I hope the money gets restored soon. Are other exchanges and wallets also under threats? And no legal case can also be filed right cause it's not a legal currency? Or they can try and track them and get it back?
Wow. Another attack on exchange. This happen too often. But i didnt see the effect on bitcoin price yet. We'll see that in days. The last time, bitfinex is attack by hackers which triggered the price to fail until it reached $500+ price. Exchange should give insurance to all their customers. They cant just say sorry because its a huge amount.
On the other hand, huge hacks usually lead to sharp btc price drops, althought these have historically only meant temporary slips.
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And yes, why do people continue to store such huge amounts on exchanges? Small inconvenience to transfer from a more secure cold wallet.
This can't be considered as huge hack, as the amount that has been hacked is not much and also much more alts seems to get stolen rather than bitcoin from their hot wallet so better to watch bitshares and NXT market for next few days. ------------------------------snipped ---------------
And yes, why do people continue to store such huge amounts on exchanges? Small inconvenience to transfer from a more secure cold wallet.
People don't like to wait for time it take to deposit their coins in exchange platform and like to grab the opportunity to buy cheap coins whenever they are available also many traders use to trade on daily swings so they can't afford to wait for time to deposit everytime they want to trade. However it is true storing in cold wallet is safest way to store cryptos. We need decentralized trading platform where we can do p2p trade without need to trust any third party.
Holy shit.
I think I remember reading about this site and thinking about using it at some point in the near future too. Probably a good thing that I didn't get too interested in it.
You mention that 1.5m RMB was lost though, what is/was the conversion rate to USD? It can mean a huge difference as to what the noted losses are.
I think I remember reading about this site and thinking about using it at some point in the near future too. Probably a good thing that I didn't get too interested in it.
You mention that 1.5m RMB was lost though, what is/was the conversion rate to USD? It can mean a huge difference as to what the noted losses are.
The conversion rate is 1 RMB = 0.145 USD, so they got away with about $217801.66 USD if my calculator is working correctly. The users will not be affected in any way, because the exchange already said that they will cover the losses. Why do we always see "hacks" when the Bitcoin price breaks out? People should not store large amounts of coins on these exchanges, but they are not listening and when this happens, people lose a lot of money and then they blame Bitcoin.
On the other hand, huge hacks usually lead to sharp btc price drops, althought these have historically only meant temporary slips.
The largest ETH hack also did little to spur the slump.
And yes, why do people continue to store such huge amounts on exchanges? Small inconvenience to transfer from a more secure cold wallet.
Luckily this hack wasn't as big as some of the previous ones, maybe people are finally learning to stop storing their coins on exchanges 
maybe we should only use shapeshift style exchanges to minimize losses in case of a hack...
It doesn't really matter how big or small the current theft is, this just shows that no exchange is safe from seeing its hot wallet coins get stolen. maybe we should only use shapeshift style exchanges to minimize losses in case of a hack...All this is done to make it possible to serve people with fast cashouts at the time they request a withdrawal.
People are screaming for better security, but superior hackers are always one or two steps ahead of all the security measures.
The only thing that will help in this case is that exchanges store all their coins offline and process withdrawal requests manually. There is no other option.
Luckily this hack wasn't as big as some of the previous ones, maybe people are finally learning to stop storing their coins on exchanges maybe we should only use shapeshift style exchanges to minimize losses in case of a hack...
maybe we should only use shapeshift style exchanges to minimize losses in case of a hack... 
even if exchanges themselves have bulletproof security, there are still ways in via the hosting, domain and other options. it's an irresistable target for hackers and always will be. they're not gonna get less creative as time goes on either.
2 hours later, another 8btc thread gave out the true reason: BTC38 was hit by a hacker with approximate loss of 1.5 million RMB.
“As a result of the server logic problems on 21st Dec, more than 10 million Bitshares, over 10 million NXT and some BTC/LTC were stolen from the exchange’s hot wallet (estimated total loss of 1.5 million RMB). We shut down the server immediately and stayed up all night to fix the problem. We have reviewed our wallet deployment plan and made new adjustments. We will take full responsibility for the total loss of the digital asset (market buyback).” The most important assurance is that all funds are safe in the hands of BTC38.
BTC38 explained the delay to calm down the market:“As we are currently redeploying the wallet, the service for certain coins will be resumed gradually.”
http://news.8btc.com/exclusive-btc38-hot-wallet-got-hacked-and-lost-1-5-million
“As a result of the server logic problems on 21st Dec, more than 10 million Bitshares, over 10 million NXT and some BTC/LTC were stolen from the exchange’s hot wallet (estimated total loss of 1.5 million RMB). We shut down the server immediately and stayed up all night to fix the problem. We have reviewed our wallet deployment plan and made new adjustments. We will take full responsibility for the total loss of the digital asset (market buyback).” The most important assurance is that all funds are safe in the hands of BTC38.
BTC38 explained the delay to calm down the market:“As we are currently redeploying the wallet, the service for certain coins will be resumed gradually.”
http://news.8btc.com/exclusive-btc38-hot-wallet-got-hacked-and-lost-1-5-million
Every time when the bitcoin price increases and hits the roof(like today) there are some hackers who
steal X million of btc from some exchange platform or wallet and btc price does down.
Next year i`m waiting for the next bitfinex.
When I first seen the thread title I think it was 1.5 million bitcoins then 1.5 million USD worth. But the turned uo result of 1.5M RMB meaning they're just few hundred of bitcoins.
Anyway, this hack have reminded us the fact again: Never store your coins with exchange unless you're going to use them. Store them in your wallet and that is the only way to ensure your bitcoins are secure. Mtgox have make many bitcoiners lost coins there due to hacks, same to many other exchanges.
Anyway, this hack have reminded us the fact again: Never store your coins with exchange unless you're going to use them. Store them in your wallet and that is the only way to ensure your bitcoins are secure. Mtgox have make many bitcoiners lost coins there due to hacks, same to many other exchanges.
Very strange that everytime bitcoin goes on a run in price another exchange is hacked 
I doubt it will stop this rise tho, i am guessing $900 by Christmas day. 
I doubt it will stop this rise tho, i am guessing $900 by Christmas day.
So basically 1.5 million RMB means around 2,00,000 USD which is not quite big to worry about sudden crash on market.
However this can be another good example of how unsafe it is to store bitcoin/crypto in exchange platform and online wallets are also susceptible to this types of hack.
However this can be another good example of how unsafe it is to store bitcoin/crypto in exchange platform and online wallets are also susceptible to this types of hack.
Every price spike comes with an exchange hack. This has become so obvious now.
People know the risks of keeping lots of coins on exchanges, they can't say they don't know the risks. Difference is now the price doesn't get affected by stuff like this.
We see it over and over from different stories around that is not the best way to keep all your bitcoin on a central wallet over the network. The best is to always keep your valuable bitcoin in a cold wallet or paper wallet. The security is something that people should always take seriously and be aware of it all the time.
yet another place hacked and a big amount of money stolen and we are still not seeing any change in these services security measures. and people are also continue trusting them with their money.
I wonder when this is going to change if ever!
I wonder when this is going to change if ever!
It will never change. Hot wallets are connected to the internet, and thus a very interesting target for hacker thieves. It's not that all people keep their coins on exchanges without withdrawing them. Plenty of people are trading where the trading sessions can last days, perhaps even weeks depending on the intensity of the volatility. In that regard, traders must have a certain amount of coins and money in their exchange account in order to continue trading. What I personally do is, when I am done trading, I withdraw all my coins. That's a basic rule for me. If I am going to trade again, I simply deposit coins, and do what I want to do, where after that I withdraw them again. Very simple.
People know the risks of keeping lots of coins on exchanges, they can't say they don't know the risks. Difference is now the price doesn't get affected by stuff like this.
yet another place hacked and a big amount of money stolen and we are still not seeing any change in these services security measures. and people are also continue trusting them with their money.
I wonder when this is going to change if ever!
yeaa i even wondering is all this time hacked issue in exchanges just a mere drama?I wonder when this is going to change if ever!
too much incident within a year involve 'exchange' and 'hack'.
are they did not even learn? or they are actually a great hacker group that operating in bitcoin exchanges hack.
after bitfinex incidents and now this exchange and apparently china exchange will be the next aim by the hackers because before BTC38 several times ago bter also has announce they got hack and lost a lot of bitcoins however i was wondering whether this is will have bad influence for altcoins market because this exchange is the top 3 exchange in china
Price of bitshares and nxt seems to be stable.
after bitfinex incidents and now this exchange and apparently china exchange will be the next aim by the hackers because before BTC38 several times ago bter also has announce they got hack and lost a lot of bitcoins however i was wondering whether this is will have bad influence for altcoins market because this exchange is the top 3 exchange in china
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