BitGrail Must Stay Close, Italian Court Says

Decision was made at the request of the law firm, acting on behalf of more than 3000 BitGrail users, who are still trying to recover the stolen funds
24 May 2018   663

The Italian cryptocurrency exchange BitGrail will not be able to open in the near future, despite the attempts made by its founder, CCN reports.

Court in Florence upheld a preliminary decision to restrict the activities of the exchange, which is currently undergoing bankruptcy proceedings, preventing it from restarting the auction.

The preliminary decision was made at the request of the law firm BonelliErede, acting on behalf of more than 3,000 BitGrail customers, who are still trying to recover the stolen funds from the site. In February, BitGrail reported that it lost about $ 170 million in the Nano crypto currency.

BitGrail operator Francesco Firano blames crypto currency developers who allegedly left a vulnerability in their protocol, which allowed an attacker to withdraw funds from his exchange.

The Nano Foundation in turn stated that they have "reliable evidence" that the hacking was possible because of the bug in the software of the exchange, rather than their cryptocurrency. The organization also created a foundation to help victims of the attack recover the stolen funds.

Firano tried again to launch his exchange on May 2, but was forced to close the site only 3 hours after the opening, because he received the appropriate order of the court.

According to BonelliErede, the court also decided to confiscate the remaining assets of the exchange and appoint a special administration to manage them.

Pure Bit to Refund Investors' Money

Another cryptocurrency scam storu may have happy ending
15 November 2018   70

The founders of the South Korean exchange Pure Bit, who were suspected of stealing investors' money, announced the return of funds.

According to the local edition of BlockchainROK, representatives of the exchange have already partially returned the money to some users and pledged to return all other funds.

On November 4, the exchange team launched the ICO with the goal of collecting about $ 30 million to create a crypto exchange. However, on November 9, Pure Bit closed the site, said goodbye to its investors and removed everyone from the group in the KakaoTalk messenger. Also, the founders of the exchange withdrew funds from the account that was used for ICO.

According to CCN, one of the issues traced the Ethereum address of the exchange and asked Upbit to block the account and freeze the funds. Upbit fulfilled this request.

This is Pure Bit. First off, I would like to apologize to everyone that was affected by the ICO. Since November 5, I raked in 16,000 ETH and did not open a crypto exchange as promised. I kicked out everyone in our social media chat groups and disappeared without any message. I negatively affected investors in the project psychologically and financially. I made an unforgivable mistake that cannot be turned around, blinded by money. It has been less than a day and I have already started to suffer from guilt. Although it cannot be compared with the hardship faced by the investors, I also felt significant guilt. I sincerely apologize to all of the investors in the ICO who were affected by the operation.

CEO of Pure Bit

The founder of Pure Bit also notified that he would return ETH 16,000 to depositors without taking into account the payment of services to a third-party company that organized ICO.