Coincheck To Refund All Hacked Customers

Coincheck To Refund All Hacked Customers

What happened

Friday’s NEM hack was pretty heavy for Coincheck, a Japanese cryptocurrency exchange. Around 260 000 customers who fell victims of hackers will receive a full refund, the exchange said.

I was having an offline weekend. What’s that about?

Lucky you! Coincheck has been hacked January 26, resulting in a loss of 523 mln NEM coins – or approximately $534M. Seems like the funds were stored in a relatively low-security environment.

So what now?

Coincheck has confirmed its intention to refund the money to the affected users. However, the time and methods of refunds are still unclear. The compensation for each NEM coin will be JPY 88.549.

What can we learn from it

  •  Japanese exchanges seem unfortunate: the theft of the NEM coins is the largest hacking event on cryptocurrency market since the Mt. Gox collapse, which also happened in Japan.
  •  However, the commitment to refund was met favourably by the local users.
  •  Meanwhile, NEM developers work on tracking the stolen coins and to blacklist the hackers’ accounts.

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