Coinrail Wants To Make A Comeback After Alleged Hack
South Korean digital currency exchange platform Coinrain has announced that it plans to restart its exchange services despite being surrounded by a cloud of uncertainty after it was hacked.
Coinrail is the seventh largest cryptocurrency exchange platform in South Korea and it reported on June 10 that it was the victim of a malicious hack that led to the loss of cryptocurrencies worth around 45 billion won or $41 million. The exchange was reportedly hacked shortly after it deleted a vital part of its terms of services, leading to a lot of suspicion.
The part of the terms of service that was removed was reportedly aimed at protecting users. Coinrail has however responded to the criticism saying that the changes to the terms and conditions were made in accordance with the existing regulations. The exchange also claims that the changes were part of the company’s efforts to strengthen its responsibility.
Coinrail released a statement on its website saying that it has moved 70 percent of the coins it holds to a cold storage solution for safekeeping. Meanwhile, 80 percent of the coins that were leaked have been redeemed or withdrawn. It also revealed that the remaining coins were under investigation. Some of the digital currencies that were stolen include JibrelNetwork (JNT), Artexcoin (ATX), Nper (NPER), Tradove (BBC), Pundix (NPXS), and Dent (DENT).
Coinrail stated in a tweet that it plans to resume its exchange services before mid-July if it is committed towards restoring its services. The company also revealed through the tweet that it was working on numerous measures aimed at recovering the damage caused by the loss. It also promised that it would provide feedback on the restoration measures before the end of this month.
South Korean reports revealed that about 50 customers tried to visit the offices of the cryptocurrency exchange in Gangnam, Seoul earlier this week but they were not granted entry. There was also a notice on the door warning visitors that they would not be granted entry to the headquarters. Unfortunately for the exchange, the hack and the loss of trust by users might hurt its future performance.