It is the seventh largest cryptocurrency exchange by trading volume, and Bithumb has just announced that it has lost up to $32m in today’s heist, of which XRP is thought to form the principal component of its loss.
The episode represents the second South Korean exchange to have been hacked in as many weeks in a development that will do little to restore confidence to a market that has been in decline for six months.
South Korean Legislators to Reconsider
Market observers will be most keen to assess the impact of the two heists on the attitude of South Korean legislators whom, it was reported just over two weeks ago, appeared to have been demonstrating signs of a change in attitude in relation to the current blanket ban on ICOs.
It is thought, however, that both Bithumb and Coinrail are planning to reimburse users whose accounts were targeted during the two thefts.
Whilst there has been as yet no reaction from the Korean authorities themselves, it appears likely that impending legislation will now put stronger emphasis on crypto asset security as part of any new upcoming changes to existing legislation.
Whilst the Bithumb and Coinrail incidents indicate that security is an on-going concern with cryptocurrency trading platforms, the two thefts pale in comparison to the robbery of $500m of cryptocurrencies from Japanese exchange Coincheck back in January.