South Korean Police Reports 7 Crypto Exchanges and 158 Wallets Hacked
In South Korea, the National Police Agency has created a report about the incidents that took place in the cryptocurrency market during the last three years. According to it, there were 158 crypto wallets and seven exchanges attacked. The information has been revealed by the local news outlet The Korean Digital Times.
The report created by the police is titled ‘Status and Measures of Hacking Damage of Virtual Currency Exchanges in the Last Three Years.’ The information has also been shared with local authorities. As per the report, 112 billion won ($99 million dollars) were stolen by different hackers in the last years.
As cryptocurrency expanded all over the world, the number of attacks and stolen funds has also increased over time. In 2016, the amount stolen was 300 million won ($262,000), in 2017 it grew to 40.5 billion won ($35.8 million) and in 2018 71.3 billion won have been stolen ($63 million).
On the matter, The Korean Digital Times explained:
“From 2015 to 2018, there have been 158 cases of hacking of virtual currency personal wallets, in particular, 91 cases this year. However, (only) six cases were arrests made.”
In 2016 only one incident was reported by a crypto exchange known as Rippl4y, which has hacked in July. In 2017, four exchanges were attacked, including Yapizon on April 22, Bithumb on June 28, COinis on September 23 and Youbit on December 19. During 2018, two exchanges were hacked, Coinrail on June 10 and Bithumb on June 19.
The government has also been working in order to stop these attacks to cryptocurrency exchanges. Governmental agencies were performing security inspections in order to verify that crypto platforms were operating under the current laws and with all the necessary measures to protect investors.
During this year, many security flaws were found in several exchanges. This is why the government decided to tighten the rules around cryptocurrency exchanges.
The lawmaker Min Kyung-wook said according to Boan News:
“The nature of cryptocurrency exchanges is always exposed to cyber threat. The hacking accidents occurred even in the places where the government conducted security checks.”
At the moment, South Korea is one of the most active countries in the cryptocurrency market. The Korean won is also one of the most traded virtual currencies against Bitcoin. Asia has, in general, had a very active crypto community. Japan, China and South Korea were always the main countries linked to the crypto world. However, China has completely forbidden activities surrounding cryptocurrencies.