Its time to look back to the famous cyber attack in the Crypto world. The Zaif attack, considered to be one of the biggest attacks, the market has ever seen. Investigations are still going on and as a result, humongous questions are arising without limit. The hack of Japan-Licensed Cryptocurrency exchange Zaif took the crypto community by surprise last week. It came to the view that the stolen wealth out of the hack are being traded on Binance and other exchange.
THREE IMPROVEMENT ORDERS PASSED BY THE JAPAN’S WATCHDOGS:
The event couldn’t pass unnoticed, especially when warned about the vulnerabilities by the exchange in advance following the Japanese Financial Authorities’ (FSA) verifications.
The failure to address this issue resulted in this infamour hack where a total of $60 million worth of Crypto- out of which $40 million belonged to the their customers- being leaked. The FSA subsequently issued the order for the Business improvement and asked to explain the details of the hack, as well as the reason why they reported the hack several days ago.
An anonymous official of Financial Service Agency said:
“We have not received enough explanation on what exactly happened. What they told us is an employee’s PC was hacked […]”
BlockTrace Concludes: Atleast a part of the amount is on Binance
A few days following the hack, blockchain investigations company BlockTrace released additional details about the hack on Twitter. The BlockTrace team seems to have found what happened with the $60 million withdrawn from Zaif:
In addition to Binance, some of the other accounts are being investigated which are suspected to be linked with the hack. Two exchanges haven’t answered the call yet, although members of the communities believe, they owe an explaination.
Binance accounts in particular, Its been revealed by BlockTrace that the hacker(s) was able to create hundreds of accounts and deposit 2$ BTC in each account – therefore, the concerns related to Binance’s Anti Money Laundering regulations are not unfounded.
The Guardian Angel: BlockTrace
The amount of contribution of BlockTrace in Zaif hack is unquestionable, and could prove if the two exchanges be opened for collaboration in the present and the future. Whether the cryptocurrency wallets, transactions and accounts can still be traced, is still a question – but certain states have already done this before to track down criminals.
BlockTrace also claims that, it could return the lost money of the victims to recover their loss. These are the first few steps taken by the company to combat the crime resulted in thefts worth no less than $1.6 Billion.
Regarding the hack in question, The CEO of BlockTrace Shaun MaGruder, revealed that the verification steps taken by the companies to open customer accounts may still be very lenient. Even though you have to upload your ID for the KYC, it cannot prove that its really you.
What can be the possible solution to avoid such a hack? let us know in the comments below
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