cryptocurrency exchange Japanese company loses 534 million US dollars As a result of its exposure to hacking

Japan on Monday 29 January 2018 imposed administrative measures against Coincheck for the cryptocurrency exchange. After pirates stole hundreds of millions of dollars of its resources in cryptocurrency. NIM, in one of the largest piracy ever.

Hacking losses Japanese cryptocurrency exchange company

The loss of $ 530 million of the cryptocurrency. According to Friday’s trading value, was the result of the piracy, and Coincheck’s losses. Exceeded MTGox’s losses by stealing $ 480 million from the Bitcoin cryptocurrency in 2014.

Last Friday, Coincheck stopped trading in all cryptocurrencies except for Bitcoin. And announced that it had lost 523 million. Units of the cryptocurrency, “Nim”, which ranks tenth in the ranking of the world’s largest cryptocurrency by market value.

Reaction of Financial Services Agency

In a statement, the Financial Services Agency (FSA) said it ordered Quinchick to investigate the causes of the incident.

Deal “appropriately” with customers, strengthen risk management and take preventive measures.

The agency has given Coincheck until February 13 to comply with orders. Warning that it will search its offices if necessary.

Coincheck said it would use its own funds to offset losses of 46.3 billion yen (about 430 million dollars). At a value of 88.546 yen per person, for all 260,000 lost customers.

The company said it would compensate its customers with yen rather than the encoded virtual currency.

The agency said on Monday it was checking the ability of Coincheck to compensate. Adding that it is checking other trading companies. After the hacking process to detect any potential security risks.

Japanese government spokesman Yoshihidi Suga said the agency would oversee Coincheck to ensure compliance and contract compliance.

As the causes of the incident are discussed and action is taken. We call on the relevant ministries and agencies to urgently examine. The additional measures that we may need,” Suga said.

Japan is some 10,000 enterprises. In Japan are dealing with the cryptocurrencies of Bitcoin and Bitfellair, and the number of users in Japan exceeded one million in November.