Crypto Exchange Binance Hacked, $40M+ Stolen in Bitcoin

Discussion in 'HardForum Tech News' started by sknight, May 9, 2019.

  1. sknight

    sknight [H]Lite

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    This is a pretty high-profile heist, as heists come, since Binance is actually the world's biggest crypto exxchange in terms of traded volume. The act was reported by Binance as a well-conducted orchestra, with hackers using seemingly unconnected accounts at the most opportune time to achieve a single, high-value withdrawal of $41M (roughly 7,000 Bitcoin at current pricing) - only 2% of Binance's total value in their so-called "hot wallet".

    The hackers also took away with several information on users' accounts: a large number of user API keys, 2FA codes, and "potentially other info" were taken besides the cool $41M in Bitcoin. Binance CEO Changpeng Zhao warned that the hackers could still be controlling enough relevant accounts that could allow them to influence pricing and make even more money.
     
  2. Hatriot

    Hatriot Limp Gawd

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    WHAT THE FVCK! Well there goes any defense of crypto I ever had. Do you have a link?
     
  3. Krenum

    Krenum [H]ardForum Junkie

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  4. motqalden

    motqalden [H]ard|DCOTM Feb 2018, June 2019

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    Because an exchange was hacked?
    Don't keep your coins on exchange. And and alk sites can be hacked. Doesn't matter if crypto or not
     
  5. ryan_975

    ryan_975 [H]ardForum Junkie

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    Keep in mind that they didnt hack crypto itself, they hacked a poorly administered service that handled other people's crypto assets.
     
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  6. Sycraft

    Sycraft [H]ardness Supreme

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    So if you keep them on your own gear, that can't be hacked?
     
  7. pillagenburn

    pillagenburn Gawd

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    If you keep them on your own gear then that doesn't create a honeypot that every crook on the planet wants to get into. Also the only way the crook would know that the coins are on your box is if you broadcast that to the world or run some really unsecured shit... whereas the crooks know that the exchange has tons of coin.
     
  8. motqalden

    motqalden [H]ard|DCOTM Feb 2018, June 2019

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    1. If my own shit gets hacked at least i have only myself to blame
    2. I'm a much smaller target and why would you even know to look for me
    3. good luck hacking a paper wallet or an offline computer. even if you break in and steal it from my house you will need my PW to get the funds
     
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  9. Sycraft

    Sycraft [H]ardness Supreme

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    Ya because nobody writes malware that goes around trying to do things like steal crypto coins... The problem with the "just keep it on your computer" argument is this would be the same argument as "just keep cash in your house." Can you do it safely? Sure, it is possible to do a good job securing your personal devices, just like it is possible to have good physical security for cash. The problem is that you probably don't. Most people are not very good at computer security. It is complex, ever evolving, and can be a pain in the butt. So most people just ignore it and/or lie to themselves that they are doing a good job.

    So really it doesn't solve anything, except for allowing crypto evangelists to shift blame and say "Well it was your own fault!" when shit goes down.

    Thing is: Banks have solutions to this. Not only do they tend to have WAAAAAY better security than crypto exchanges, but they have contingency plans to deal with it. Transactions are traceable, logged, and can be reversed, they have insurance, etc. While that doesn't mean your money is 100%, can never be stolen EVAR, safe in a bank it is pretty damn safe, particularly compared to trying to keep it yourself.
     
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  10. motqalden

    motqalden [H]ard|DCOTM Feb 2018, June 2019

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    Alright you have make some good points. So we know that even banks get robbed right? All that this proves is that the exchange was doing the right thing in terms of having a slush fund to cover this . You can't prevent all hacks, but if you have money to cover things like this and take responsibility then really this only speaks to the exchange in a good light.
     
  11. Burticus

    Burticus 2[H]4U

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    LOL. Banks are insured. And even if they weren't, the people that rob them (while mostly on the stupid side) have serious balls to risk decades in prison to make some cash. With crypto, any snot nosed anonymous kid from anywhere (ok, 95% China, 5% Russia) can steal your money without getting out of their pajamas. With zero risk of prosecution.
     
  12. Galvin

    Galvin 2[H]4U

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    Crypto is probably the lowest risk of getting caught when stealing funds
     
  13. ryan_975

    ryan_975 [H]ardForum Junkie

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    I'd imagine credit card fraud is far less risky since there's $20B-$30B lost every year, and no one seems to be going to jail over it.
     
  14. wolfofone

    wolfofone Gawd

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    Just use a paper wallet that you cut into multiple pieces and store in different safety deposit boxes around the world, simple ;-).
     
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