On the 28th of March, 2016, Toronto-based bitcoin hardware manufacturer Coinkite announced

its decision to exit the web wallet business due to various technical and legal issues.

At the time, the company warned existing users of various phishing attempts and to watch out for suspicious email communications purporting to originate from Coinkite.

In a security bulletin published today, Coinkite has warned that the entire database, which contains sensitive login details, may have been leaked when the company was shutting down their web wallet IT infrastructure.

The security notice reads:

“While we were turning off servers, disabling firewalls and cleaning up backup systems today, we may have leaked a copy of our database.”

Coinkite staff explained that all user login credentials are “salted and SHA256 hashed with 131,072 rounds”

and advised all former Coinkite wallet clients to change their passwords on other services that use similar login details.

The security bulletin also stated that most clients had already withdrawn their funds prior to today’s incident and that no funds are currently at risk.

 

If you liked this article follow us on Twitter @themerklenews

and make sure to subscribe to our newsletter to receive the latest bitcoin and altcoin price analysis and the latest cryptocurrency news.