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The Saga of Cryptopia Hack Continues

The first major Cryptopia cryptocurrency exchange hack took place on January 14, 2019. It led the exchange to suspend all its services on January 15. The exchange said that the hack caused significant losses. However, initially, the crypto exchange didn’t acknowledge the security breach and suspended its services by saying that they are undergoing unscheduled maintenance. It was later reported that the cybercriminals siphoned off US$16 million worth Ethereum as well as ERC20 tokens. Reports say that the hackers started siphoning off the ETH holding from two core wallets of Cryptopia on the morning of January 13, 2019.

Cryptopia exchange was again hacked on January 29, 2019. This information was reported by blockchain infrastructure firm Elementus through a blog post. In the blog, they have said that the hacking attack on Cryptopia is continuing. The hackers have hacked 17,000 Cryptopia wallets and reportedly stole 1,675 ETH, which is equivalent to US$175,875. They are accumulating the stolen Ethereum at this address. The report also said that 5,000 out of the hacked 17,000 Cryptopia wallets were emptied at a time when the hackers first hacked the exchange.

Conclusion

It seems the same hacker or group of hackers have carried out this Cryptopia hack, which carried out the attack on January 14, 2019. A Twitter user criticized the concerned cryptocurrency exchange by saying:

“The nature of the compromise is, the attacker stole their ETH privkey and deleted [Cryptopia’s] copy. Same hack, just new histrionic-newsable point to steal your attention if you never learned the basics of how private keys work.”

A Wall Street Journal recently published a report saying that most (to the extent of 60%) of the cryptocurrency hacks/scams are carried out by two hacking groups or entities. In fact, these 2 hacking groups have siphoned off US$1 billion worth of cryptocurrency.

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