$32 Million Stolen as Hackers Shutdown Bitpoint Exchange

Wilfred Michael 

Wilfred Michael

News reporter

12 July 2019,
$32 Million Stolen as Hackers Shutdown Bitpoint Exchange

Japan-based cryptocurrency exchange, Bitpoint has become the latest to suffer a security breach after hackers stole at least $32 million worth of XRP and other cryptocurrencies from their platform.

As per Bloomberg, the exchange, although being one of the licensed crypto exchanges in Japan, was among those warned by the country’s Financial Services Agency to improve their internal controls following the hack of Coincheck.

However, it appears apparent that they did not fully heed that warning, and has now paid the price after hackers gained unauthorized access to their hot wallets holding cryptocurrencies denominated in Bitcoin, Bitcoin Cash, XRP and other cryptos.

A post-hack investigation, reportedly showed that 2.5 billion yen ($23.1 billion) of stolen funds belonged to the exchange’s customers, while Bitpoint owned the rest which is estimated at $9 million.

Also, as you would expect, stocks belong to Remixpoint Inc, the parent company of Bitpoint has plummeted by 19% following news of the exchange’s hack and even went untraded in Tokyo as investors feared the worse.

Meanwhile, Bitpoint isn’t the first leading cryptocurrency exchange breached by hackers in 2019. 

Since the start of the year, New Zealand based Cryptopia, Malta-based Binance, peer-to-peer platform, LocalBitcoins, and XRP-focused crypto exchange Gatehub have lost at least over $60 million to security breaches. 

While Binance eventually replaced the stolen funds which in their case was 7000BTC ($41 million), Cryptopia has since, and Gatehub has since then shut down with customers having little to no hope of getting payback.

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