Cryptopia to Restore Operations in Read-Only Mode

Users can log into their accounts and check the account balance, change passwords and 2FA; other functionality is unavailable
06 March 2019   418

The site of the New Zealand cryptocurrency exchange Cryptopia, affected by the actions of hackers in mid-January, resumed operation in a read-only mode.

Users can log into their accounts and check the account balance. At that, the displayed amount will correspond to the state of the account as of January 14 - until the moment the withdrawal of funds begins by the attacker. In the future, these data will be used by the exchange in the calculation of payments to victims.

The Cryptopia manual urged users to update passwords and data for two-factor authentication. Other site functionality is currently unavailable.

Also, for the first time since the moment of hacking, the exchange has announced the return of funds to affected users, indicating that it is at the “final stage”.

The site promised to publish additional information later.

Hackers craked into the Cryptopia exchange in mid-January, having stolen, according to the data of the analytical company Elementus, $ 16 million. Soon the same company reported that another $ 3.2 million had been stolen from Cryptopia.

Fake Trading Share to Reach 68%, - FTX Global

This figure, however, is significantly lower than what Bitwise's report and the discrepancy is explained by the difference in methodology
04 July 2019   1187

The exchange of derivatives FTX Global and Alameda Research conducted a study that estimated the volumes of fictitious transactions (wash trades), presumably prevailing in many cryptocurrency exchanges.

The report says that 68.6% of trading volumes displayed by CoinMarketCap are fake. This figure, however, is significantly lower than what Bitwise Asset Management announced in March.

The discrepancy between the results in almost 30% of the authors of the new study is explained by the difference in methodology. So, FTX Global is sure that Bitwise used an too strict approach to data analysis, which is why a significant proportion of real trading volumes fell into the category of fake ones.

While our methods are not foolproof, we believe they paint the most accurate picture of the true nature of cryptocurrency trading volume that anyone has made publicly available as of yet.

FTX Global Team

The Alameda methodology involves verifying the authenticity of data on trading volumes on various exchanges based on six different parameters, including manual verification of information and comparison of order books.

FTX Global Website
FTX Global Website

In particular, the experts found out that some sites provided data on the volumes of foreign exchanges for their own, with a slight delay in time. Other platforms used more advanced techniques - for example, they introduced large fake volumes only against the background of many smaller orders, thus trying to hide the true state of affairs.

The main purpose of these tactics is to raise the platform higher in the CoinMarketCap rating, creating a false impression of its liquidity. It also sometimes allows for the ability to charge a higher listing fee.