Crypto helps us give us the freedom to take back control of finance, and it also essentially enables us to build a bank. But many third-party wallets are completely dependent on providers due to which, the provider will have security measures in place Their crypto will be only as secure.
And in the second and recent years, vulnerabilities within these third parties have been exploited to gain an advantage by hackers that have directly targeted cryptocurrencies. Because of the trading platform ici, it is now simple to become a crypto trader.
In addition, they have used flash loans to make a handsome profit which has seen them steal the equivalent of over $7 billion in hacking to date. However, there are some cryptos whose value has increased significantly in recent years. And given this situation, if hackers were to keep and cash all the cryptocurrencies today, they would have more than $40 billion in assets available at present.
As the value of the cryptocurrency has increased, so has the interest in stealing it. Here we’ve rounded up the top five cryptocurrencies that have been hacked so far.
Bitfinex was hacked in 2016 and there were approximately 120,000 bitcoins available which at the time was believed to be equivalent to 72 million dollars in USD. Here, in contrast to Mount, Gox, after several coins were stolen from the company’s wallet in a single attack, has taken precautions to avoid such a failure. Bitfinex has used the ‘IOU’ as a token for its users through which they have offered to compensate. Token holders can immediately sell it at a discount, or they can also wait until Bitfinex can buy it back after using the commercial profit.
In the year 2018, Zaif suffered a loss of approximately USD 62 million in fiat currency, it was laundered into various cryptos including Bitcoin, Monacoin, and Bitcoin Cash. Although it took about three days for the exchange to realize that funds had disappeared from their hot wallet, they announced shortly thereafter that their customers would be compensated using the company’s funds.
Binance is considered one of the most popular crypto exchanges across the world. Around 7,000 bitcoins were swiped from Binance in the year 2019 by hackers. In which there was a loss of fiat currency equivalent to about 40 million US dollars. Binance has been instrumental in reimbursing its users with a dedicated ‘Insurance Fund’ set up for this purpose. However, the exchange tried to find out what had gone wrong.
4. Coin check
It is a Japanese crypto exchange that was hacked to the tune of about 500 million NEM in January 2018. Although Coincheck has been in operation since 2014, the NEM, the currency in question, and its cold wallet were not set up. When the exchange detected this hacking, it was found that the attackers were probably of Russian origin. Apart from this, there were some employees in the exchange whose personal laptops were infected with malware, Systems were able to exploit vulnerabilities after the hackers had gained access.
It is one such cryptocurrency exchange that was robbed of approximately 17 million Nano (XRB) coins in the year 2018 by hackers. At that time it was worth around USD 170 million. However, BitGrail was not fully known among cryptocurrency traders. It offered only a handful of coins, with most of its trading liquidity incorporated into the Nano. In addition, BitGrail tried to offer to modify the blockchain to fully cover the pitfalls, but this suggestion was, unsurprisingly, rejected by the developers of Nano.