Liquid Cryptocurrency Exchange Falls Victim to Cyber Attack Losing $90 Million 0 36

Cyber attacks throughout the crypto market are getting much worse as the market gets more popular. In 2020 cyber attacks only cost companies a little over $100 million. But only six months into 2021, the total value lost to cyber criminals rose to over $350 million. And that value is not even counting the biggest heist to ever occur in crypto history.

Unfortunately, despite its best efforts, Liquid Cryptocurrency Exchange fell victim to a cyber attack as well. For now, the Japan-based crypto exchange is suspending all withdrawals and deposits for its investors since the attack.

While an exchange itself being hacked is not very surprising, the fact that it was Liquid Exchange is quite serious. It is one of the biggest fiat-crypto exchanges in the world, thanks to its daily traded spot volume. They offer their services throughout 100 different countries with over 800,000 customers using their service. Furthermore, they also reported that they reached a daily trade volume of over $1.1 billion this year alone.

Once the exchange got wind that their warm wallets were compromised, they had to move fast. They quickly moved their assets, the ones that were not already stolen, into a cold wallet. A cold wallet is the same as a warm wallet being that the cold one does not connect to the internet. Therefore, in the event of a hack, they can be quite useful in protecting a company’s assets.

But despite their best efforts, the company did lose a large sum of money. To be exact, they lost $90 million worth of crypto. And even though the tea is holding out hope that it was a White Hat hack, they might not be so lucky.

Following the hack, Liquid released a statement. They said that they are investigating the incident and will keep people updated as to what happens. However, due to the nature of the attack, they will also be suspending withdrawals and deposits.

Their first update was not an optimistic one, as they informed their investors that assets worth a little over $90 million have been stolen. While they have yet to identify the party responsibly, they are taking measures to ensure that their users do not face the brunt of this attack.

And while this is certainly their most recent breach, it is not their first. An anonymous third party took hold of Liquid exchange’s account. They did so by transferring control of Liquid’s account to their own, due to a fault on their domain’s hosting provider. A subsequent investigation revealed that the hackers made away with sensitive information including keys, emails, encrypted passwords, addresses, and names.

Previous ArticleNext Article

Leave a Reply

Your email address will not be published. Required fields are marked *

Sentenced ‘Bitcoin Czar’ Named Among Pandora Papers 0 9

Juts couple of days ago ICIJ published its new research about some of the world’s top leaders’ and influential peoples’ stories of financial misconducts.  The reports by ICIJ also argued that “Bitcoin czar” may have been the member of the Carbanak hacking group. The International Consortium of Investigation Journalists (ICIJ) have also discussed the crypto criminal in their new leaks called “Pandora Papers.’

The ICIJ’s Pandora Papers have claimed “Bitcoin czar” a famous criminal who masterminded the largest “cyberheist in history” own the offshore assets. However, the Pandora Papers also said that those offshore assets being managed by a third independent firm.

Pandora Papers have exposed how some of the world’s most influential people have hidden their wealth. Where those papers have exposed world’s top 300 politicians and businessmen. The report has also discussed the operations of hacker group Carbanak. The cybergang according to the reports have stolen around $1.24 billion from financial institutes and the digital crypto exchnages as well. The network operated over more than 100 countries from 2013 to 2017.

However, the most famous arrest of this network’s members came in 2018, when the authorities finally managed to arrest the master mind Denis Tokarenko (also known as Denis Katana), and many people have voiced that Pandora Papers indirectly called his name.

The reports published by the Bloomberg’s business research and network team concluded that at the time of Tokarenko’s arrest back in the month of March 2018, the Spanish National Police recovered 15,000 Bitcoin (BTC), worth $162 million from his possession. This is history’s biggest crypto scam till today.

The illegal approach adopted by the Tokarenko did not just end here. The Chief inspector of the Spanish police, Carlos Yuste also told the sources that Tokarenko also purchased a bitcoin mining system in China. He used his mining system to launder his illegal Bitcoins as well.

Despite the fact that Pandora Papers have not directly covered the crypto thefts and other cyber-attacks, but these papers have partially included the incidents from digital trading as well. This leads to the future possibility the ICICJ might decided to open up about the digital thefts and cybercrimes incidents as well.

But the fact is that Pandora Papers have provide quite the useful insight about the some of world’s most famous cyber-attacks on the recent time. If authorities decided to put investigate these facts, then there might be multiple people who find them behind the bar. The primary issue regarding the cyber-attacks culprits is that majority of them gets away because of the lack of the profs. The only notable person who was sent to prison on committing a cybercrime was former Rizal Commercial Banking Corporation employee Maia Santos Deguito.

Uzbekistani Citizens Warned Against the Use of Unauthorized Exchanges 0 9

The government of Uzbekistan has been quite proactive when it comes to the use of crypto exchanges. As most of you may know, there has been a fair bit of commotion in the crypto world and most of it exists because of the regulations being implemented by a large number of governments. While some people are not in the favor of these regulations, many people, including a large number of crypto experts believe that they will be quite handy.

This is because regulating crypto will ensure that people don’t have to worry about false transactions, scams, frauds, and a large number of other issues prevalent in the world of crypto. The government of Uzbekistan has been especially quite determined to eliminate crypto-related corruption in the country. One of the first steps that the country has taken is to make sure that people in the country steer clear from making transactions with unauthorized exchanges.

For those who don’t know, there are loads and loads of exchanges operating in Uzbekistan and other countries in the world. Sure, not all of them are unauthorized but you will be surprised to learn that a large number of them happen to not be authorized.  What makes things so complicated is the fact that knowing which exchange is legit and which one isn’t can be quite challenging. This is because most exchanges, if not all, look one in the same and it is difficult for people to tell them apart.

This is one of the main reasons why the government of Uzbekistan has stepped in and tried to take matters into its own hands. One of the main aims of this exchange is to make sure that people do not have to worry about checking which exchange they would choose to invest crypto in. Instead, the government has been helping people quite a bit by creating teams just for the purpose of checking these exchanges.

In addition to that, the Uzbekistani government has also issued a notice against unauthorized crypto exchanges, stating that using them could result in serious action. Upon checking some of the exchanges operating in Uzbekistan, it was learned that there were more than 5 of them that did not have their own offices in the country. Instead, research teams found out, after a thorough investigation that these unauthorized exchanges were operating from somewhere else.

This was enough to suggest that the government is indeed hard at work to steer clear from crypto corruption in the country. Because of this, governments of other countries have also become quite proactive in order to eliminate any sort of corruption to keep investors safe.

Editor Picks

Ready To Invest in Bitcoin? - Top 4 Bitcoin Trading Brokers‎ Read More
Skip to content