Crypto Exchange Cryptopia Gets Hacked, Clients’ Funds Stolen

Though the exact figure of the heist is not known yet, the exchange said that it suffered a “significant loss”.

New Zealand-based cryptocurrency exchange Cryptopia announced a security breach which resulted in a “significant loss.”

According to an official Tweet by the exchange, the hack took place on January 14. The exchange, however, did not post any figure for the loss incurred.

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The exchange has suspended all trading-related activities for an indefinite period.

“Once identified by staff, the exchange was put into maintenance while we assessed damage,” the official post by the exchange noted.

It has already notified New Zealand’s authorities and is working with the police and the country’s High Tech Crimes Unit to further investigate the security breach.

“Staff then notified and involved the appropriate Government Agencies, including NZ police and High Tech Crimes Unit who are jointly and actively investigating the matter as a major crime and they are assisting us with advice,” the exchange noted.

Cryptopia halted all activities since last 24 hours, and before officially admitting the breach, the exchange was calling it “unscheduled maintenance.”

“We are committed to getting this resolved as quickly as possible and will keep you all updated every step on the way,” it assured the users and the community.

Backlash from the Community

This is the first crypto exchange theft in 2019 and the crypto community raising questions on the exchange’s practices amid the hack, and some are even accusing it as a bear market “exit strategy.”

The timing of the breach also raises many questions, as it happened just before the commencement of Ethereum’s network upgrade to Constantinople.

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