Well this depends for every exchange in part, some exchanges might give some insurance but don't know how much, like Binance does when hack happen, but some might don't give nothing back, they should have log of IP and if there is unknown ip then for sure a hack can be involved.
If the exchange is kinda unpopular and having short financical they can't reimburse if there is hacking happen to the exchange whether outside or inside job. I usually only stick to the most reliable popular exchange but there are times when I need to use those 3rd tier exchange just for temporary and can't help but feeling anxious. Using unpopular exchange is sure like a rollercoaster of emotion unlike when everything is already trusted like in any popular exchangs out there and the 3rd rate exchange usually dont care where your money comes from. 
Topic: How exchanges treat the stolen Money? - page 2. (Read 771 times)
I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
You can't prove that you actually own that money,if you do then you made that transaction but whatever no exchange will treat any hacked money as something illegal to trade if there is no interference from governments.But if someone traded lot of money which was hacked then you may find the user if it was from KYC verified account but chances of happening is less.I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
You may have an account on multiple exchanges. You cannot blame anyone else for this. Because your wallet is a secret to you. You cannot blame anyone else for stealing or hacking it. You need to be aware of yourself. I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
There are no regulation or law that can take down or arrest the exchange owners if they turn out scam. But good exchange won't do that because if they can build trust to the people and they will attract more customers and they will become rich just by the transaction fees and trading fees.
Steal of money on the exchange has often happened in all of these cases because there are security bugs in the market but take it easy if a large exchange like binance already has a way to solve this problem by creating a Secure Asset Fund for Users (SAFU) so if there is hacked at the exchange, your money remains safe but remember not all markets have this SAFU system so be careful choosing exchange
How can you find the hacker which exchange they have deposited your amount? If you came to know also the particular exchange cannot help because they are not responsible for your amount, they are taking care of their customers amount only. as my knowledge if you lose amount due to hackers in crypto world it will be gone case you never expect it will be come back to you again.
as far as I know the exchange will contact your account that has been hacked and will freeze the recipient's account ,before that there will be questions and certainly the funds will return when the recipient's account is frozen and then transferred manually to your account that has been hacked
if your account was hacked through your fault, then, of course, the exchange doesn’t care - you yourself must take precautions, but if there is a major hacking of the exchange, then as rule exchanges compensating lost funds to users
I doubt if there is anyway an exchange can possibly know if a crypto asset traded on their platform is a stolen one. I completely doubt it
I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
You can't prove that you actually own that money,if you do then you made that transaction but whatever no exchange will treat any hacked money as something illegal to trade if there is no interference from governments.But if someone traded lot of money which was hacked then you may find the user if it was from KYC verified account but chances of happening is less. 
I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
The last hacks in well-known exchanges change my point of view towards the multi-layer security of the exchanges, I never hold more than 2 BTC on a single exchange. When the Binance has used the SAFU funds for paying the losses of hacked accounts, they discuss in Twitter how to prevent future hacks. The re-org idea of BTC blockchain which is a horror decision for punishing hackers by Biannce CEO was my biggest shock during those hard days. I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
It will be difficult to guessed, let make an imagine if the hacker know your password/private key and etc, does the exchange know when there is someone (not you) has logged to your account? I guess they didn't know it. That is way, they warn you to use high security level such as to activated the google authenticator on your device. Because just only you who will know the code, with mean just only you who can be able to log in.
I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
If that will be the case, then the exchange will most likely implement KYC for some reasons. They needed to confirm your complain first or else, many will abuse it by lying that this particular transaction for example is not them and pretend they have been hacked to get their money back from paying someone else. It will be complicated and we will be regulated so, it will be difficult to compromise between that and our anonymity.
But if you say an opinion, I think they clearly won't want to respond to your report because hacking is hard to find proof of because of internal factors.
That's common sense stuff. If an exchange would allow that to happen even once, they will be flooded with fake hack reports from people (frauds is a better term for them) thinking they can make a quick buck. I don't think I have even heard of non crypto services to do that. It just doesn't make sense because of how much money there is to lose. In this case I'm happy with exchanges being neutral/conservative with such events.
The exchange will have difficulty detecting stolen funds if you do not report a burglary to your wallet. You must explain to the exchange how the chronology occurs until your money or assets are transferred to another exchange. They can only mark the wallet of the thief as a wallet that commits a crime. The hack will be frozen so that it cannot make any transactions until the surrender gives up.
While it is good to ask the support we need to be detailed in how it happen and provide proof. Some exchanges cannot do anything in stolen money but we should atleast try to recover it as much as possible by all means. That's why we need to be in a good support exchanges so they will take time to understand us and investigate or detect transactions for us. I am curious to know, how Exchanges treat the stolen money or hack money? Are they really aware of it? Just think, your fund has been hacked and transferred from your wallet to another wallet and then it's deposited to an exchange. If you claim to the exchange about the money, Are they not responsible for taking necessary action? What do you think?
It depends on the exchange itself. Most large exchanges keep the required amount of money in the cold wallet, and it can be used to recover when they are hacked. Because your or project developer has no mistake in this regard. This is directly related to the security problem of exchange and should solve the problem themselves. 
If the stolen money was part of the cold wallet of the exchange, I think that your funds are safe and that made them not to treat their loss since that's their own. All they can do is to find the hacker and sue him in the international court. But, if it's in your wallet on their exchange and made a withdrawal without your permission, they don't take for an account.
For sure stolen funds normally goes in and out of Binance however no exchanges can detect whether those funds are stolen, but they can only flag stolen funds that are huge with questionable source but for smaller funds consider no chance.
I think if the one who stole the funds will see that they are transferred to the exchange, it is still possible to write to the support service of the exchange and at least freeze the withdrawal of funds.(I have no exact information, it's just my guesses)
I really guess that the government will just lock up the account that have suspicious transaction for some period of time while also investigating and this happen only if you have solid proof or a government tells them that they found illegal money got into the exchange's wallet. Otherwise they will just dont care but fortunately nowadays they require KYC to prevent AML aswell as preventing any stolen money from being cashed out from their exchange and that ofcourse require cooperation from both sides fastly otherwise it will just gone.
The exchange will have difficulty detecting stolen funds if you do not report a burglary to your wallet. You must explain to the exchange how the chronology occurs until your money or assets are transferred to another exchange. They can only mark the wallet of the thief as a wallet that commits a crime. The hack will be frozen so that it cannot make any transactions until the surrender gives up.
Jump to: