Steemit Suffered Minor Cyber Attack, Bittrex Suspended Steem Transactions

Hacking attacks on cryptocurrency related ventures don't seem to ever slow down.

Hackers have been targeting the cryptocurrency sector for years now and after the DAO fiasco they seem to be getting greedier and more capable – exposing weaknesses in new systems as soon as they become popular.

Steemit, the decentralized social media platform rewarding users for their work with cryptocurrency, has become the latest project to have fallen victim to a cyber attack according to its CEO Ned Scott.

Luckily the hack has been contained very quickly this time, with fewer than 260 accounts compromised, and less than $85,000 worth of Steem possibly stolen. Furthermore Scott announced that users whose accounts were compromised will be completely reimbursed.

Help us to make Finance Magnates better!

Steemit CEO, Ned Scott
Steemit CEO, Ned Scott

They have reported the hack to police and other cyber crime authorities, including the FBI. Additionally, a full, internal investigation is currently being conducted and the Bittrex exchange is actively helping the investigation.

As a precaution, Bittrex has temporarily suspended the ability to deposit or withdrawal Steem and Steem Dollars from their exchange. The Bittrex team is said to be completing the analysis of Steemit’s wallet and once it has passed their compliance checks, they will reopen the wallet for deposits and withdrawals.

Just a few days ago the total market capitalization of Steem surged from $13 million to a height of $260 million, shooting past Ripple and Litecoin to become the 3rd most valuable cryptocurrency.

Got a news tip? Let Us Know