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BTC Exchange Platform in Canada Hacked

A small BTC exchange platform located in Alberta, Canada, is now offline after an announcement via an official Twitter post claiming all of their funds are gone.


 

They were explaining what had happened and they had just 1 hour before completely deleting their Twitter page, but they were able to write a post saying that a bug entered the system and allowed hackers to steal the amounts from the exchange.

Mt. Gox had previously claimed the same issue, but there is a huge difference between how each company handled the situation. When it comes to Mt. Gox, an action was taken to try and repair the damage that took place, but they caused added harm. The company even tried to exploit BTC price in hopes of attempting to recoup the lost assets before any user was able to notice.

The Exit Strategy

Sometimes within the digital currency networks, exit scams happen. It’s a type of hacking where you gain the trust of a few clients, put the entire funds they have in one destination, and then take the funds and just run. The way you choose to run, claiming a hack or just disappearing, with the money is not of importance. A practice that is less frequently used is keeping your coins away from exchanges or similar platforms overnight. You simply do not know what will take place later, and in cryptos, if you lose control over your private keys, you don't own anything.

It seems, unfortunately, that the MapleChange hack in Canada screams exit scam. When this type of hack happens, there’s no use in deleting your accounts and completely disappearing, for example. There’s no doubting the fact that the debt from the company’s depositors is small, but such scams happen all the time in business, and that’s why insurance cases, as well as bankruptcy cases, in courts,  are available.

Another signal this is an exit scam is the very short time frame since the post about the hack on the account and the complete disappearance of the entire exchange or any of its managers.

This domain represents yet another red flag, which is registered within GoDaddy as Flavius P. Moreover, competent projects go to extreme lengths to appear above board, particularly operations that take care of clients’ funds.

The overall timing of the issues seems also a considerable factor in speculating that it's no hack, but actually, a scam that is premeditated. As per the platform’s traffic volume analysis, they'd been doing a lot more business during the week before the incident than any other time. If it is indeed a scam, they planned to strike early on Sunday due to the fact that most users are probably asleep.

1 year ago

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