Jan 182016

From the talk-about-delayed-notification dept., Ali Raza reports:

Paul Vernon, also known as Big Vern, founder of Cryptsy announced that the cryptocurrencies exchange had been hacked. The announcement was made more than a year after the discovery of the hack because Cryptsy, in the meanwhile, was trying to cover everything up by channelling the money it was earning back into its clients’ wallets.

The attacker – famous for developing Lucky7Coin – inserted a Trojan malware into Cryptsy’s code so that he could access precious information and transfer cyber currencies – mainly bitcoin and litecoin – out of Cryptsy’s safe. Overall the losses amount to $6 million, equal to 13,00 BTC and 300,000 LTC if translated into cryptocurrencies.

Read more on HackRead.

  2 Responses to “Cryptsy Hacked: Bitcoin Worth $USD 6 Million Stolen”

  1. What a copy-paste hack job from the Softpedia and CCN.la articles. I recommend using those, or the Banking Info Security article as source for this article instead of this story where the reporter can’t barely write proper English.

    Softpedia: http://news.softpedia.com/news/cryptsy-bitcoin-trader-robbed-blames-backdoor-in-the-code-of-a-wallet-498994.shtml
    Banking Info Security: http://www.bankinfosecurity.com/bitcoin-heist-steals-millions-from-exchange-a-8803
    CCN: https://www.cryptocoinsnews.com/cryptsy-trades-withdrawals-suspended-indefinitely-claims-bitcoin-theft/

  2. Thanks for the BankInfoSecurity shout-out. My story also has some fun details relating to Cryptsy about:
    *) Alleged connection with Secret Service “Silk Road” agent gone rogue
    *) Class-action lawsuit launched by Cryptsy users who want their bitcoins back
    *) The apparent fate of the stolen litecoins
    *) Cryptsy’s appeal to its attacker to send the missing bitcoins home again

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