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Crypto Bank Robbers are Back at It

Singaporean Exchange DragonEx Has Been Hacked

2019-03-27 09:06:48 | Jonathan Ganor

DragonEx, one of the most popular exchanges in Singapore has been hacked and had funds stolen. It is currently unknown how much funds were lost in the hack. In an announcement on their official Telegram channel, a DragonEx representative said the following:

"March 27th, Latest Report on Stolen Assets
1. Hong Kong Cyber Security and Technology Crime Investigation Bureau has set up a special investigation team to investigate. DragonEx is assisting the evidence collection.
2. Set up contact with the most of exchanges worldwide and keep them updated with the lastest information.
3. Have submitted the Report to China Mainland Police.
4. Work with many domestic and overseas Security Agencies.
5.The Asset Appraisal and Audit Group, Investigation and Evidence Collection Group, Public Relations Connection Group, Legal Liaison Group and User Relationship Management Group are set up to carry out the work.
With efforts and help form all strength, part of the assets are freezed but still large part of the stolen assets are still flowing fast. DragonEx will try best to retrieve back more assets. Meanwhile, we're grateful to all exchanges that offer us the support, e.g Coinbene, Gate, Bitmart, OKex, Huobi, Binance, Bittrex, Bitforex."

What This Means

It appears that the hackers attempted to hide their tracks by using multiple exchanges and transfers. While it isn't clear what currency was stolen, it apparently wasn't a privacy-oriented coin. Apparently, funds were tracked to certain accounts on exchanges and frozen by the exchange's team. There seems to be a high chance of partial or full recovery of the funds.

Law enforcement is also on the tracks of the hackers or hacker. Several different law enforcement agencies are investigating the hack. Hopefully this will lead to an arrest.

It is unlikely that this hack will have any influence on the world of cryptocurrencies. One way to look at it is looking at small exchanges like small town bank. a rural bank getting robbed will not influence the price of the U.S. Dollar in any way. A leading or central bank, however, could be problematic.

What Happens to DragonEx's Users?

DragonEx has promised to compensate any users affected by the hack. It appears that the exchange is back up & running. In the meanwhile, attempts to recover the stolen funds seem somewhat successful.

It seems to be apparent that the days of Mt.GoX are behind us. Hackers can no longer easily steal funds from exchanges without consequences. Even Coincheck, Japan's largest exchange experienced a large hack in 2018 & is still operational & reputable.

In any case, always store your cryptocurrencies on a secure wallet & not on an exchange. Never share your keys with anyone and stay alert.

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