HACKING SENDS CONRAIL INTO A COMPLETE HALT

The world of cryptocurrency has been made safer by blockchain but not every aspect of it is hack proof. Companies that run mining and crypto exchanges platforms build their codes on top of blockchain and can be exposed to fraud if their systems are not highly encrypted. One of such incidences has happened to Coinrail. Coinrail is the 99th largest cryptocurrency exchange platform with quite a number of investors.

The recent hack into Coinrail has led to fears of money lost in a number of currencies other than their own. This has not been made any easier by the recent decision by CFTC to investigate the digital exchanges for irregularities. The South Korea based cryptocurrency exchange lost about $40 million to an anonymous hacker affecting about 30% of their system. They reported on their website that the cyber intrusions were made on a range of ERC-20 tokes including ATC from Aston, Pundi X project, NPER token and NPXS token. The company reported that it has frozen these accounts and also moved their other assets to a cold room that is completely inaccessible through the internet until the issue is resolved. The intrusion has caused a drop in investments with a drop over about 10 million dollars by press time.

The report seems to contradict with a blog post that was made following some reports found on Etherscan. These showed that the company actually lost more than it was reporting. They also had no idea on how much of the stolen tokens had been liquidated by the perpetrator.

Coinrail also believes that an Ethereum address was involved in the hacking with an Etherscan showing a transaction of 26 million NPXS tokes taking place at IDEX. The platform received another 2.6 billion NPXS transactions that has not been dubbed as a highly suspicious account, Fake Phishing 1431. The company also claims that these assets were not liquidated from the address. The same account shoes that it received a number of transactions from different tokens including Jibrel network, Tron, Kyber Network and Storm. The Etherscan clearly indicates that some of the stolen tokens had been sent for trading on EtherDelta. It is still not certain whether the assets have been liquidated according to Coinrail.

Cornrail reported that the data will remain frozen as the police and relevant authorities investigate the hack. The data is also off the system for scrutiny by the public due to Coinrail shutting down their system.