Crypto Exchange Coinrail Suffers $40 Million Steal

On Sunday South Korean crypto exchange Coinrail claimed it was the victim of a hack, with losses of about 40 billion won ($37.2 million) in cryptocurrency
11 June 2018   1121

In its blog post on Monday, Coinrail declared it had stopped its services after a “cyber intrusion” in its systems on Sunday morning. Without revealing the exact amounts stolen, Coinrail displayed some of the stolen ERC-20 tokens, namely NPXS tokens from Pundi X, a payment project; ATC from Aston X, a decentralized document project and; NPER tokens from the namesake decentralized IP project.

The heaviest hit was Pundi X, that said the hackers made away with a general of 2,619,542,080 NPXS tokens, approx. $19.5 million at the time of the theft. Data from a wallet address allegedly associated with the hacker has also pointed to 93 million (approx. $13.8 million) in ATX tokens and 831 million DENT coins, nearly $6 million in value, as well as a number of other tokens from projects including Jibrel Network, Storm, Kyber Network, B2BCoin and over $1 million in TRX tokens from Tron. The common value of the stolen tokens at the time of the attack reached $40 million.

The remaining one-third of coins are being investigated with investigators, relevant exchanges and coin developers.
Coinrail
Cryptocurrency Exchange, South Korea

Coinrail affirmed that 70% of its common coin reserves have been dislocated to an offline cold wallet and stay secure. Two-thirds of remaining 30 percent of token compromised have been frozen or recalled via consultation with developers like Pundi X and communication with exchanges like IDEX, according to the operator.

New York State to Revise BitLicense Granting Terms

At the moment, BitLicense is the most stringent legal framework for the cryptocurrency industry
23 October 2019   15

The terms for granting the so-called BitLicense, the license required for cryptocurrency companies to work in New York State, will be reviewed. This was stated by the superintendent of the New York Department of Financial Services (NYDFS) Linda Lacewell, reports CoinDesk.

BitLicense is considered the most stringent legal framework for the cryptocurrency industry at the state level. In particular, companies are required to receive it for cryptocurrency transactions of New Yorkers, even if they themselves are based in other jurisdictions.

Last year, Kraken, a San Francisco-based exchange, chose not to receive BitLicense, but to completely leave New York. Earlier this year, the Bittrex exchange (Seattle) also left the state without licensing.

This is a good time to take a look, a responsible look and see how our regime is fitting the current market and … what if any adjustments should we think about making to continue to adapt to sort of a changing industry … that’s going to be one of the things that [we do].
 

Linda Lacewell

Superintendent, New York Department of Financial Services

At the same time, she called not to “be too happy” about possible changes in the rules for the cryptocurrency industry.

According to her, the current regulatory regime “works well,” but the industry has changed since 2015, when BitLicense was introduced.

How has the industry grown? Has it matured in any way? And I don’t want to get too specific, but you know, it’s a good time for a second look.
 

Linda Lacewell

Superintendent, New York Department of Financial Services

 Lacewell did not specify when the revision of licensing terms will be completed and what exactly industry participants can expect in the end.

Since the introduction of the license until June 2018, only 6 companies have received BitLicense, but over the past 20 months, after the regulator has softened its position, 16 more companies have been added to their number.