Youbit closed for theft: losing confidence with the exchanges

On 19 December 2017, the exchange Youbit announced its cessation of activity due to theft of their bitcoins for the second time this year.

Although the company assumes theft and ruled that the amount of bitcoins stolen recovers, has taken the decision to close and liquidate their accounts with 75% refund; the rest will be managed judicially in business liquidation.

“We apologize for any inconvenience this may have caused, I apologize for the lack of guidance and explanation of the progress.
We are currently seeking accounting and legal advice on investigations related to piracy and further processing.
And we are committed to help minimize client damage, after the legal review will be recognized by the variety of ways and during this consultation. As soon as the judicial review is completed, we will announce it as soon as possible. I tried to live up to your expectations, but I’m disappointed. I apologize again. – All employees of the Yubit exchange – “

The cyber attack is the second for the South Korean exchange, Youbit. The exchange was previously attacked in April in an attack that South Korean officials believe was carried out with the support of neighboring North Korea. Recent reports indicate that intelligence services in South Korea suspect that North Korea is behind additional attacks against domestic cryptocurrency exchanges, including market leader Bithumb.

Regardless of whether the reasons for the attack are political or simply a security breach, the lack of supervision at levels of control and security in centralized cryptocurrency accounts, as happened with MtGox, Bitrfinex or the recent theft in NiceHash, leaving the applicable legislation once again to the country where the company has its headquarters, which may be insufficient or null for international clients, also complicating the possible international demands and claims.

Jose Felip

Jose Felip

The difficult thing is not to learn, the difficult thing is to know how to teach. Editor and coordinator of the free book "La era de las BLOCK punto COM" CEO of