Russian Crypto Exchange Livecoin Shuts Services after Hack
- It lost control over its servers and temporarily moved media channels to a new domain, Livecoin.news.
Hacked Russian cryptocurrency Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. Read this Term, Livecoin has announced that it is going to shut its services and requested its clients to proceed with fund withdrawals.
Livecoin servers were compromised last month, and the exchange lost control over its infrastructure. The attacker first modified the crypto exchange rates, inflating them to unrealistic figures.
Though many industry trackers pointed out the anomaly first, Livecoin came out with an official announcement about the hack on Christmas eve.
$BTC just reached 320k on it - whatever is going on, I don't recommend trying to make $ on this, very likely you will get your funds stuck pic.twitter.com/vzypVZqbab
— #DYORangutang (@cryptorangutang) December 24, 2020
The exchange managed to gain some control of the hacked servers and modified the prices, but the attacker soon started cashing out user accounts with gigantic profits. The total damage amount is not known yet.
“Our service has been damaged hard in a technical and financial way. There is no way to continue operative business in these conditions, so we take a hard decision to close the business and paying the remaining funds to clients,” the exchange noted.
Beware of Scammers
Livecoin users now have two months to claim their refund. However, the exchange warned against fraudsters trying to gain from such a situation and explicitly mentioned that users “don’t have to pay to get back your funds.”
The attack was orchestrated when the price of Bitcoin started its dramatic upward rally after breaching the iconic $20,000 level. The exchange admins also highlighted that it was a “carefully planned attack, which has been prepared, as we assume, over the last few months.”
Despite the exchange’s losses, many have pointed out the attack to an exit strategy in the bull market, but there is no evidence backing these allegations.
However, it is not clear if the doomed exchange will refund 100 percent of the user deposits or return them partially.
“Our service and team bear hard losses as well as our clients. In case of abuse and threats in conversation, the claim can be declined,” the exchange noted.
Hacked Russian cryptocurrency Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. Read this Term, Livecoin has announced that it is going to shut its services and requested its clients to proceed with fund withdrawals.
Livecoin servers were compromised last month, and the exchange lost control over its infrastructure. The attacker first modified the crypto exchange rates, inflating them to unrealistic figures.
Though many industry trackers pointed out the anomaly first, Livecoin came out with an official announcement about the hack on Christmas eve.
$BTC just reached 320k on it - whatever is going on, I don't recommend trying to make $ on this, very likely you will get your funds stuck pic.twitter.com/vzypVZqbab
— #DYORangutang (@cryptorangutang) December 24, 2020
The exchange managed to gain some control of the hacked servers and modified the prices, but the attacker soon started cashing out user accounts with gigantic profits. The total damage amount is not known yet.
“Our service has been damaged hard in a technical and financial way. There is no way to continue operative business in these conditions, so we take a hard decision to close the business and paying the remaining funds to clients,” the exchange noted.
Beware of Scammers
Livecoin users now have two months to claim their refund. However, the exchange warned against fraudsters trying to gain from such a situation and explicitly mentioned that users “don’t have to pay to get back your funds.”
The attack was orchestrated when the price of Bitcoin started its dramatic upward rally after breaching the iconic $20,000 level. The exchange admins also highlighted that it was a “carefully planned attack, which has been prepared, as we assume, over the last few months.”
Despite the exchange’s losses, many have pointed out the attack to an exit strategy in the bull market, but there is no evidence backing these allegations.
However, it is not clear if the doomed exchange will refund 100 percent of the user deposits or return them partially.
“Our service and team bear hard losses as well as our clients. In case of abuse and threats in conversation, the claim can be declined,” the exchange noted.