Coincheck not sure about relaunch subsequent to 500 million USD hack

Coincheck not sure about relaunch subsequent to 500 million USD hack
Nov 1, 2018 by Rico Wise

Media sources report that Coincheck, a dominant Japanese digital currency exchange, expresses uncertainty about the plans to reopen the exchange after dealing with a 5000 million dollar hack in the beginning of the year.

10 months ago, the cryptoexchange has encountered the biggest security violation in the history of cryptomarket, resulting in a loss of over 500 million US dollars in XEM, the native digital currency of the NEM blockchain platform, in favor of an unknown team of cyber criminals.

Because of its inability to reimburse all of the financiers who became victims of the cyber attack, the cryptoexchange has concluded a deal with Monex, a Tokyo-based company, in order to acquire the needed amount of money to refund its financiers.

The probe in the Japanese cryptoexchange included law enforcement authorities, intelligence bodies, and the government of Japan itself, in order to try and retrieve any amount of the money stolen to reimburse the financiers on the network.

After the incident, the cryptoexchange was deprived of its license, which permitted Coincheck to operate as a cryptoexchange within Japan, and was issued the government’s request to file an application repeatedly, when a new executive as become in charge of the cryptotrading network.

Coincheck will be unable to accommodate new customers and open its services to the public before the Financial Services Agency, the Japanese main financial regulator, provides the company with a license permitting it to function as a completely regulated cryptoexchange with full compliance.