A cryptocurrency exchange based in Japan currency control, It was founded in 2012 by Koichiro Wada and Yusuke Otsuka and gained a large user base in a short time.

However, in 2018 cyber attackwould change Coinheck’s fortunes by increasing investor concerns about security…

On January 26, 2018, approximately 523 million NEM coins were stolen by hackers from the Coincheck exchange!

The incident took place in the morning and the stock market approximately reported the attack 8 hours later He noticed.

After the incident, the stock market in all currencies collapsed rapidly. Even though the shooting stopped The stock market was too late to notice the attack.

The amount stolen was approx 58 billion yen ($532.6 million) It was round.

In fact, this was due to the exchange storing NEM tokens in a hot wallet connected to the internet.

Hot wallets are more vulnerable to hackers because they have a constant internet connection. easy target could be taken.

For this reason compared to cold wallets It was a big mistake for the exchange to store the assets in such a wallet as they were not protected.

Cold wallet, a more secure method, offers offline asset storage, while Coincheck does technical shortcomings and staff shortages He explained that this prevented him from using this method.

That’s why Coincheck is for hackers become an easy target And what happened to investors’ assets…

After the hacking incident, the price of NEM also experienced a large drop.

In the aftermath of the attack, Coincheck told its investors about it $440 million repayment Although the company decided to do so, this incident raised serious questions about the security of crypto exchanges not only in Japan but around the world.

Although the Japanese government destroyed Mt. Although Coincheck took steps to regulate crypto exchanges after the Gox scandal, regulations are not enough It showed.

In summary, the Coincheck scandal is about how risky it can be to store large amounts of money on centralized exchanges. a bitter lesson took his place in history as.

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