Indian Bitcoin Exchange COINSECURE Compromised !!!

timerland

hero member

Activity: 1526

Merit: 596

Quote from: ankurguta87 on April 12, 2018, 02:29:20 PM

As they expalined in email, Bitcoin funds have been exposed and seem to have been siphoned out to an address that is outside our control.
An FIR has been lodged with the Cyber Cell, Delhi (copy of the complaint enclosed), and we have expert investigators already on the case.
current issue points towards losses caused during an exercise to extract BTG to distribute to our customers

Seems pretty ironic because their name was coinsecure Roll Eyes

400 BTC is still a lot of money to be lost, even by a big exchange.

I really wonder how they are going to be able to recover those funds, and reimburse any victims of this hack. As they've said, the funds are outside of their control, and I doubt they will be able to successfully track the hacker down and get BTC back from them.

From this we can learn 2 things:

1. Never store funds with an exchange because you are at the mercy of them doing their job at keeping your coins secure, and actually processing your withdrawals.

2. Always go through strict security measures before you try to extract any forks of bitcoin, it can result in hacks and breaches in security for sure.

pugman

legendary

Activity: 2383

Merit: 1551

dogs are cute.

Quote from: ankurguta87 on April 12, 2018, 02:29:20 PM

As they expalined in email, Bitcoin funds have been exposed and seem to have been siphoned out to an address that is outside our control.
An FIR has been lodged with the Cyber Cell, Delhi (copy of the complaint enclosed), and we have expert investigators already on the case.
current issue points towards losses caused during an exercise to extract BTG to distribute to our customers

The hack would most likely be from outside India and even if the "expert investigators" find something, it'd be almost of no use. Those bitcoins can easily fooled around with, if they use a mixing service or something. If they get any IP address also, it won't help as the hacker would have used tor.
Now I would be interested to see if coinsecure would give back the funds to its users from their pockets, and worst part is they can't have any link with the banks because RBI has said this.

blockman

hero member

Activity: 2912

Merit: 627

Vave.com - Crypto Casino

Quote from: lizardbtc on April 12, 2018, 04:08:12 PM

I like their name coinsecure - turns out they were not greatly secured after all. If they are dealing with funds and money security should be your top priority and this is something that is hard to achive.

Coins aren't secure, their brand name is going nowhere base on this incident.

Quote from: Roboabhishek on April 12, 2018, 03:10:51 PM

Looks like around 400 BTC was stolen, whilst this is small in scale compared to some other recent hacks, it's definitely not great news. That's around $3,000,000 or so. I just hope this wasn't an inside job

Still a lot and can't compare to the bigger exchanges that were hacked. A loss is a loss and this is a big amount for the company.

Quote from: Roboabhishek on April 12, 2018, 03:10:51 PM

I have personally never heard of the site, so I doubt it's a big deal.

I don't even know them since it's base from India.

Let's hope that they will settle this and they can tracked out the owner of that address.

lizardbtc

full member

Activity: 448

Merit: 109

I like their name coinsecure - turns out they were not greatly secured after all. If they are dealing with funds and money security should be your top priority and this is something that is hard to achive.

Quote from: cryptohunter on April 12, 2018, 04:00:11 PM

well they were getting closed down in a few weeks probably thought they would get out now since the fees would be drying up sooner than later.

decentralised exchanges like blocknet and komodo are coming dont worry

Although DEXes are the future for sure you will still have to have some central point to trade between crypto and fiat markets. You can use barterDEX by komodo today as it is still in some testing phase bust still you can do trades, althoug volume is very low there which is why it can take some time to trade there. Haven't looked much into detail regarcing blockcnet.

cryptohunter

legendary

Activity: 2100

Merit: 1167

MY RED TRUST LEFT BY SCUMBAGS - READ MY SIG

well they were getting closed down in a few weeks probably thought they would get out now since the fees would be drying up sooner than later.

decentralised exchanges like blocknet and komodo are coming dont worry

khendjer

member

Activity: 157

Merit: 13

Quote from: Roboabhishek on April 12, 2018, 03:10:51 PM

Looks like around 400 BTC was stolen, whilst this is small in scale compared to some other recent hacks, it's definitely not great news. That's around $3,000,000 or so. I just hope this wasn't an inside job, I have personally never heard of the site, so I doubt it's a big deal.

Does anybody know what is the 'BTG extraction exercise'?

Did they mean a BTC split procedure?

Looks like they'd wanted to split their BTC so they took the operational or cold wallet related private keys and wanted to split their coins using some service or tool. They probably used a malicious service or phishing website and exposed the private keys.

Hope the users will receive their funds back otherwise Coinsecure should change their name to Coininsecure. Their acts don't seem professional.

Roboabhishek

hero member

Activity: 882

Merit: 528

Looks like around 400 BTC was stolen, whilst this is small in scale compared to some other recent hacks, it's definitely not great news. That's around $3,000,000 or so. I just hope this wasn't an inside job, I have personally never heard of the site, so I doubt it's a big deal.

ankurguta87

full member

Activity: 364

Merit: 117

As they expalined in email, Bitcoin funds have been exposed and seem to have been siphoned out to an address that is outside our control.
An FIR has been lodged with the Cyber Cell, Delhi (copy of the complaint enclosed), and we have expert investigators already on the case.
current issue points towards losses caused during an exercise to extract BTG to distribute to our customers

Topic: Indian Bitcoin Exchange COINSECURE Compromised !!! (Read 136 times)