Cryptopia Comes Back To Life After Unfortunate Hacking Incident, Announces Return To Normal Operations
Cryptopia Comes Back To Life After Unfortunate Hacking Incident Last Month, Announcing Their Return To Normal Operations
Over a month ago, Cryptopia was a victim of a major security breach that involved “significant losses.” The website was switched into maintenance mode to prevent further damage from occurring, which subsequently kept users from performing any trading activity. Though many comments were posted to their Twitter post that announced this unfortunate damage on the platform, the company could not comment, due to turning over the incident to local police.
From January 15th on, the company remained at a standstill, though Cryptopia posted updates from the police’s official website as the investigation progressed. Almost two weeks later, the company had stated that they had “no direct access” to the platform since the original breach, but that they were “working tirelessly to recover all stolen assets.”
With complete social media silence on Twitter, no further posts were added for over two weeks until an update was finally added on February 14th. The tweet provided an update, saying that investigations were ongoing, but that the company finally had access to the building again.
Again, with no other posts, users were given more information 12 days later, which said,
“Currently, we have calculated that worst case 9.4% of our total holdings was stolen.”
The team also suggested watching the Twitter page for other updates.
Several posts later, the company stated that both founders had returned back to Cryptopia on February 27th. Now, Cryptopia seems to have found their footing, and they are prepared to re-enter the market. Only four hours after that post, the company stated,
“We are aiming to have the Cryptopia site re-opened as read-only by Monday.”
Naturally, the opening of the website comes with many questions, which Cryptopia did their best to address. Customers will be able to view the website to find their cryptocurrency holdings and will see what portion of their holdings were affected during the hack. Approximately $16 million in Ethereum and ERC20 tokens are expected to have been stolen, which accounts for just under 10% of the holdings that were on the exchange.
Clearly, with such a massive hack that took their website down for six weeks, there were many users that chose to abandon Cryptopia and move on. However, some investors stayed put, and are hopeful that the launch of the exchange as a read-only website will evolve into full access soon.
Unfortunately, the new updates and changes to the protocol may not be enough to bring back their former audience.
Waribo Nwachukwu, a Twitter user, noted,
“They’ve been on this fixing of security for long. Unless a client dies from frustration, they won’t sit up & do the needful. To me, they’re buying time & gauging investors mode. However, this strategy might pay off as trust will be built if the “read-only” status doesn’t linger.”