Gatecoin Exchange is Investigating a Possible Hack

Gatecoin, the regulated cryptocurrency exchange is investigating a potential leak of funds in its hotwallet, employees of Gatecoin detected last night what appeared to be suspicious transactions, and decided to shut down the exchange to prevent further losses.

Gatecoin tweeted a message announcing that the exchange’s website was down due to the high risk of leakage in one of the Hotwallets -the wallets that hold funds for day to day transactions-. The website has been showing

 a maintenance sign for hours and encouraging the users to follow the twitter account for further updates.

The company released a statement:

Dear Users, Last night Asia time, we suspected a potential leak on our hot wallets. Therefore, we decided to shut down the exchange and ports in order to minimise further potential losses, and we are conducting a full forensic investigation to identify the root of the issue. This is why Gatecoin’s user interface and API are currently offline. Please be sure that we will do our best effort to investigate, fix the issue ASAP and we will cover for the potential losses. We store 95% of users’ crypto-asset funds in multi-sig cold storage vaults, so your funds are safe. Please accept our deepest apologies for this disruption. We will keep you regularly updated on the progress made by our team. Sincerly, The Gatecoin Team

Gatecoin has reassured that the customer’s funds are safe and that the company will compensate for any losses in user’s wallets. Some Reddit users have been sharing information of the potential hack, user Hitchcott posted that, according to Gatecoin CEO’s Aurelien Menant the Digix and The DAO tokens are safe. The reddit account of one of the employees at Gatecoin said:

Related Post

Unfortunately the ETH leaked was on hotwallets and we’re investigating the source and root of the breach. Fiat are stored in segregated client accounts at major reputable banks. We will ensure all customers are compensated for any missing ETH.

This hack comes after the Gatecoin exchange suffered from a major blackout of its server infrastructure, the problem left Gatecoin’s customers without the ability to use the website.

Apple users can now download the app of The Merkle in the App Store

!

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.

 

Eduardo Gómez

Eduardo Gómez is a Computer Science Major from Venezuela, a country with a loyal Bitcoin user base. He discovered Bitcoin in 2012 and now he use it to escape the triple-digit inflation that Venezuela suffers, he is focusing on developing a writing career, and he tries to keep up with the news in FinTech and Blockchain Technologies.

Share
Published by
Eduardo Gómez

Recent Posts

Topping the Best New Meme Coins to Buy Now: BTFD Leads the Charge!

In a world where meme coins can turn a latte budget into a lambo fund,…

3 hours ago

Best Cryptos to Buy Today: Qubetics Presale Hits $2.7M, MicroStrategy Falls After Bitcoin Price Dips, and Ethereum Heist Involves North Korean Hackers

Best Cryptos to Buy Today: Qubetics Presale Hits $2.7M, Bitcoin Price Dips, and Ethereum Heist…

6 hours ago

WIF Set to Overtake BONK? Lunex Soars with 100x Potential in Altcoin Season

As altcoin season heats up, all eyes are on the rising stars—especially Lunex, which is…

15 hours ago

Binance Coin Price Dips: BNB Holders Rush To Lunex Presale To Hedge Their Long Positions

While the broader market witnessed a notable upward movement, Binance Coin (BNB) experienced a decline…

15 hours ago

Crypto Stalwarts Forecasted 800% Growth in Innovative Projects: VeChain, Rollblock and Polkadot!

This blazing crypto bull run has investors looking for the next top altcoins set to…

15 hours ago

Dogecoin Price Set To Recreate 36,000% Rally From 2021 After Pennant Formation

The Dogecoin price is back in the limelight, captivating the crypto world with its recent…

16 hours ago