where is the virtual currency theft thread?

[ximmy]

100,000 stolen from 4000wallets

http://www.techworm.in/2013/11/another-bitcoin-exchange-from-czech.html

Bitcoin Exchange based in Czech Republic, was hacked, causing more than 4000 bitcoin wallets to be compromised. The exchange (bitcash.cz) said on evening of November 11th there servers were breached by some Anonymous hackers.


Bitcash said hackers used their emails to send mails to their users asking them to send 2 BTC to wallet cause company have suffered a breach and have to use a U.S recovery company to get back the cash.
Company have warned their users on Facebook page for any such fraud mails, but still hackers were manage to stole $100,000 from over 4000 bitcoin wallets.
This is not the first time when any Bitcoin exchange have been compromised, just few days back
Chinese Bitcoin exchange GBL shutdown, taking away more than $4.1 virtual currency of users away with them.
Before that a similar case was found in Australia when Australian Bitcoin Exchange Tradefortress closed with $1 Million in Bitcoin fund missing.
Time to time hackers are targeting Bitcoin exchanges and wallets, have currency exchange with Bitcoins become safe enough for users to trust them.

[ximmy]

$4.1 million goes missing as Chinese bitcoin trading platform GBL vanishes

Bitcoin is surging in China, but the explosion in digital currency trading has been accompanied by possible fraud and theft.
GBL, a Chinese bitcoin trading platform that claimed to be based in Hong Kong, recently shut down – an event that might not be worthy of note had ¥25m ($4.1m) worth of users’ money not disappeared with it.
The company appears to have launched in May 2013, with its domain btc-glb.com registered on 9th May and a post later that month by Bitcoin Talk forum user zhaoxianpeng promoting the site.
Suspicions

Commenters were instantly suspicious, noting that the site’s server was based in Beijing despite the site’s claim to being based in Hong Kong.


http://www.coindesk.com/4-1m-goes-mi...-gbl-vanishes/

[Ares]

Beat me too it... LOL


http://www.coindesk.com/4-1m-goes-mi...-gbl-vanishes/

investing and trading in BTC's is extremely risky. Have to be very careful that the exchanges you sign up for are secure and reputable. If not, you're just asking to have something happen. It wasn't a big deal when BTC's were only worth 5-10 bucks a piece. It becomes a financial hardship if you have thousands / millions stolen because the exchange was too incompetent to protect its users.

But to be fair, NASDAQ has gone down how many times this year? 2-3 times? Even the big guys with Trillion dollar market caps aren't immune to human fuck ups.

[EE_]

100,000 stolen from 4000wallets

http://www.techworm.in/2013/11/another-bitcoin-exchange-from-czech.html

Bitcoin Exchange based in Czech Republic, was hacked, causing more than 4000 bitcoin wallets to be compromised. The exchange (bitcash.cz) said on evening of November 11th there servers were breached by some Anonymous hackers.


Bitcash said hackers used their emails to send mails to their users asking them to send 2 BTC to wallet cause company have suffered a breach and have to use a U.S recovery company to get back the cash.
Company have warned their users on Facebook page for any such fraud mails, but still hackers were manage to stole $100,000 from over 4000 bitcoin wallets.
This is not the first time when any Bitcoin exchange have been compromised, just few days back
Chinese Bitcoin exchange GBL shutdown, taking away more than $4.1 virtual currency of users away with them.
Before that a similar case was found in Australia when Australian Bitcoin Exchange Tradefortress closed with $1 Million in Bitcoin fund missing.
Time to time hackers are targeting Bitcoin exchanges and wallets, have currency exchange with Bitcoins become safe enough for users to trust them.

Call the cops!
Oh, wait...asking for protection is like asking for regulation. Can't have that.
This is the wild west.

[ximmy]

$250,000 worth of Bitcoins stolen in net heist 2012

Last night, a few of our servers were compromised. As a result, the attacker gained accesses to an unencrypted backup of the wallet keys (the actual keys live in an encrypted area). Using these keys they were able to transfer the coins. This attack took the vast majority of the coins BitFloor was holding on hand. As a result, I have paused all exchange operations.

A security breach at a purveyor of virtual currency Bitcoins (BTC) has resulted in the loss of very real dollars totaling around $250,000. Bitfloor, a major banking and exchange service for Bitcoins, may be facing shutdown after nearly their entire inventory was stolen.

http://www.nbcnews.com/technology/25...t-heist-980871

[ximmy]

Bit-heist: Over $1mn in bitcoins stolen from Australian online bank


An Australian bitcoin bank holding over US$1 million of the crypto-currency has been hacked, leaving an unknown number of users with nothing – one of the largest thefts in the currency’s four-year history.
The incident took place on October 26, when the bank was hacked, with 4,100 bitcoins valued at $1.3 million stolen, the service’s operator only known as ‘Tradefortress’ said. He refused to give his name to the press, also stressing he was not much older than 18.

It took the bank’s owner two weeks to notify the affected customers.

http://rt.com/news/bitcoin-hacking-stolen-million-417/

[EE_]

Major Bitcoin theft from website, claims owner
8 November 2013 Last updated at 11:22 ET

Bitcoin 'at risk' of network attack
Man cashes in on $22 Bitcoin stash

A man who ran an online "wallet service" for storing Bitcoins has claimed hackers stole virtual currency from his site worth more than one million Australian dollars.

The Australian man said 4,100 Bitcoins (US$1.04m, £650,000) were taken in two separate attacks.

He said he would not report the theft to police as Bitcoin transactions are virtually impossible to trace.

This has led some users to speculate whether it was an "inside job".

In a radio interview with ABC News the man, who only used his online name TradeFortress, denied being involved.

The Bitcoin virtual currency is increasingly used to pay for things online.

According to the Sydney Morning Herald, the theft occurred on 26 October but users were only alerted this week via a message he posted on the wallet service's website.

"I know this doesn't mean much, but I'm sorry, and saying that I'm very sad that this has happened is an understatement.

"Please don't store Bitcoins on an internet-connected device, regardless if it is your own or a service's."

Bitcoin is the most well known of a handful of virtual currencies. The currencies are developed through a computer process called "mining" and can be traded on exchanges or privately between users.
http://www.bbc.co.uk/news/technology-24871444

[Ares]

Major Bitcoin theft from website, claims owner
8 November 2013 Last updated at 11:22 ET

Bitcoin 'at risk' of network attack
Man cashes in on $22 Bitcoin stash

A man who ran an online "wallet service" for storing Bitcoins has claimed hackers stole virtual currency from his site worth more than one million Australian dollars.

The Australian man said 4,100 Bitcoins (US$1.04m, £650,000) were taken in two separate attacks.

He said he would not report the theft to police as Bitcoin transactions are virtually impossible to trace.

This has led some users to speculate whether it was an "inside job".

In a radio interview with ABC News the man, who only used his online name TradeFortress, denied being involved.

The Bitcoin virtual currency is increasingly used to pay for things online.

According to the Sydney Morning Herald, the theft occurred on 26 October but users were only alerted this week via a message he posted on the wallet service's website.

"I know this doesn't mean much, but I'm sorry, and saying that I'm very sad that this has happened is an understatement.

"Please don't store Bitcoins on an internet-connected device, regardless if it is your own or a service's."

Bitcoin is the most well known of a handful of virtual currencies. The currencies are developed through a computer process called "mining" and can be traded on exchanges or privately between users.
http://www.bbc.co.uk/news/technology-24871444

I read that, the bitcointalk thread that discusses this believes the owner actually stole it. He won't publish the logs, and was very deceptive to questions others were asking him. So if there is a theft, it was most likely from the site owner.

[EE_]

They should look in Pago Pago...that's where I'd be if I made off with the loot.

$1.3 Million in Bitcoin Stolen in Major Online Robbery
By Lorenzo Franceschi-Bicchierai/2013-11-08 18:15:45 UTC

Cybercriminals have stolen $1.3 million dollars' worth of Bitcoin from inputs.io, a company that let users store the digital currency in online wallets, the site's founder claimed in a message on the site on Friday that started with a frowning emoticon.

The founder, known only as TradeFortress, wrote that cybercriminals hacked into his site on two different occasions and stole 4,100 BTC, the equivalent of $1.3 million. If true, this would be one of the 15 biggest robberies in Bitcoin's history, according to one list of Bitcoin heists (the biggest theft involved 263,024 BTC).

See also: Bitcoin Researchers: You Can Game the System

The hackers gained access to the site's database by disguising their identities through a social engineering attack, TradeFortress told Wired.

TradeFortress explained in an announcement that the hackers broke into the site's hosting account by compromising a series of email accounts. They were even able to bypass two-factor authentication, exploiting a flaw on the host server.

The hacks occurred on Oct. 23 and Oct. 26, but TradeFortress only began notifying the affected users this week. In a post in the BitcoinTalk forums, TradeFortress informed theft victims that refunds are on the way, but that the site doesn't have enough funds "to pay everyone fully."

Given the fact that Bitcoin are extremely hard to trace, chances are slim that the hackers will be caught.Given the fact that Bitcoin are extremely hard to trace, chances are slim that the hackers will be caught. But some suspect the heist may have been contrived by TradeFortress to steal customers' digital currency. But TradeFortress has denied these accusations in an interview with ABC Australia.

After the heist, TradeFortress said the site is effectively dead and issued a warning to Bitcoin owners who use online wallets instead of storing them locally on computers.

"I don't recommend storing any Bitcoins accessible on computers connected to the Internet," TradeFortress wrote in the BitcoinTalk forum.

[EE_]

I read that, the bitcointalk thread that discusses this believes the owner actually stole it. He won't publish the logs, and was very deceptive to questions others were asking him. So if there is a theft, it was most likely from the site owner.

Sure it was. That's why I'd like you to help me set up a site so we can do it too.
Pago Pago awaits us!