Over $30M stolen from Tether

According to the official statement of Tether, $30,950,010 USDT was removed from the Tether Treasury wallet on November 19, 2017
21 November 2017   315

Tether, the company behind dollar-pegged cryptocurrency reported about the hack attack. According to the official announcement, over $30M were stolen.

$30,950,010 USDT was removed from the Tether Treasury wallet on November 19, 2017 and sent to an unauthorized bitcoin address. As Tether is the issuer of the USDT managed asset, we will not redeem any of the stolen tokens, and we are in the process of attempting token recovery to prevent them from entering the broader ecosystem. The attacker is holding funds in the following address: 16tg2RJuEPtZooy18Wxn2me2RhUdC94N7r. If you receive any USDT tokens from the above address, or from any downstream address that receives these tokens, do not accept them, as they have been flagged and will not be redeemable by Tether for USD.  
 

Tether Team

Tether Team performed these steps:

  1. The tether.to back-end wallet service has been temporarily suspended. A thorough investigation on the cause of the attack is being undertaken to prevent similar actions in the future.
  2. New builds of Omni Core were provided to the community. (Omni Core is the software used by Tether integrators to support Omni Layer transactions.) These builds should prevent any movement of the stolen coins from the attacker’s address. Developers strongly urge all Tether integrators to install this software immediately to prevent the coins from entering the ecosystem. Again, any tokens from the attacker’s address will not be redeemed. 
    Note that this software will cause a consensus change to currently running Omni Core clients, meaning that it is effectively a temporary hard fork to the Omni Layer. Integrators running this build will not accept any token sends from the attacker’s address, preventing the coins from moving further from the attacker’s address.
  3. Developers are working with the Omni Foundation to investigate ways that will allow Tether to reclaim stranded tokens and rectify the hard fork created by the above software. Once this protocol enhancement is complete, the Omni Foundation will provide updated binaries for all integrators to install. These builds will supersede the binaries provided above by Tether .to. After the protocol upgrades to the Omni Layer are in place, Tether will reclaim the stolen tokens and return them to treasury.

 It is also worth noting that Huobi Pro

and Okex suspended the USDT trading at the moment.

UpBit to Compensate Possible USDT Losses in USD

South Korean cryptoexchange made an unexpected statement
07 February 2018   1233

South Korean crypto-exchange Upbit promised users to compensate to the full extent their possible losses in the event of the collapse of Tether and USDT. This is reported by Etoday ko.

We are aware of various suspicions about Tether. We compensate the entire amount to customers who have deposits in USDT on our exchange, in case of problems.
 

UpBit Team

Previously, users have repeatedly expressed doubts that Tether has the necessary amount of deposits in real US dollars to provide all the released tokens USDT.

At the moment of press, only 0.26% of whole Tether volume is being trade at Upbit. 

These are main USDT market parameters:

  • Average price: $1.01
  • Market Cap: $2 232 239 542 
  • 24h Volume: $5 161 760 000 

Few weaks ago, famous economist Dr. Doom accused Tether in recent Bitcoin price dump.