$3.5M Worth BTC Stolen From Coinsecure Exchange

CEO of exchange believes that it was the inside job and suspects the CSO of the company
13 April 2018   637

The CEO of the Indian cryptoexchange Coinsecure, accused the head of the security department of his company of stealing 438 bitcoins or about $ 3.5 million at today's rate.

Coinsecure reported the incident on its website, laying out 2 images on the main page. The first image represents a message from the exchange team, the second is a scanned copy of a statement that CEO Coinsecure Mohit Carla sent to the police in New Delhi.

Our system itself has never been compromised or hacked, and the current issue points towards losses caused during an exercise to extract BTG [Bitcoin Gold] to distribute to our customers. Our CSO, Dr. Amitabh Saxena, was extracting BTG and he claims that funds have been lost in the process during the extraction of the private keys.

Coinsecure Team

According to the second statement, Saxena told the team that the funds were stolen from the bitcoin wallet of the company.

However, the head of the exchange does not believe the words of his subordinate, which he indicated in a statement sent to the police.

Saxena is "making a false story to divert [his] attention and might have a role to play in this entire incident," Karla said.

The CEO demands that the police seize Saxena's passport, because he believes that his employee "might fly out of the country soon".

Carla founded Coinsecure in 2014. According to him, only he and Saxena had access to private keys from the main wallet of the exchange.

Coinbase to Issue New Statement

As reported, company says it was wrong about SEC approval of acquisitions of Keystone Capital Corp., Venovate Marketplace Inc. and Digital Wealth LLC
18 July 2018   119

Vice President of Communications of Coinbase Rachel Horwitz denied the information that the company received approval from the Securities and Exchange Commission of the United States for a deal to buy brokerage companies. This is reported by Bloomberg.

It is not correct to say that the SEC and FINRA approved Coinbase’s purchase of Keystone because SEC was not involved in the approval process. The SEC’s approval is not required for the change of control application. Coinbase has discussed aspects of its proposed operations, including the acquisition of the Keystone Entity, on an informal basis with several members of SEC staff.

Rachel Horwitz

Vice President of Communications, Coinbase

On Monday, a spokesman for Coinbase said that the company received permission from the SEC and the Agency for Regulation of Financial Institutions (FINRA) to purchase Keystone Capital Corp., Venovate Marketplace Inc. and Digital Wealth LLC.

However, despite the refutation from Rachel Horwitz, Coinbase still intends to obtain a license to carry out brokerage activities.