Domestic cryptocurrency exchange Livecoin shut down after hacking – another exit scam?


If we receive accusations and threats against us, the application for a refund will be canceled.

Representatives of the hacked domestic cryptocurrency exchange Livecoin announced the closure and also asked traders to apply for withdrawal of funds. Control of the servers was lost, with the platform temporarily opening media channels on a new domain,

Attackers gained access to the data and servers in December 2020. Because of the hackers’ actions, Livecoin lost the ability to control some of its infrastructures. The first activity of the hackers was the change of cryptocurrency rates, inflated to exorbitant figures.

While bitcoin’s value was in the $23,000 range as of 12/23/2020, the Livecoin platform reached the $450,000 mark. USD. At the same time, the price of ether was $15,000, while on the other trading platforms it did not exceed $600. Traders were the first to notice the abnormal figures, but soon the information reached the company’s employees, who issued an official statement about the hack.

The exchange managed to regain control over the lost servers and normalize prices, but after that, the attackers began to withdraw funds from users. So far, the total losses are only being calculated.

“Our site has suffered greatly both technically and financially. Based on the situation that has arisen, we can not continue operations. Thus, it was decided to close the exchange. The remaining funds will be used to pay depositors,” – said Livecoin.

Beware of malefactors

Customers of the online trading platform Livecoin can apply for the payment of funds for 2 months. At the same time, representatives of the platform warned that attackers are likely to take advantage of the situation and try to deceive traders by offering them fee-based application processing services.

The attack took place during the rapid rally of bitcoin, shortly after the most popular cryptocurrency exceeded the $20,000 mark. Exchange executives emphasized that the attackers’ activities were carefully planned. Probably, it took a couple of months to prepare for the hacker attack.

A number of experts believe that in reality, the exchange made an exit scam at the start of the bull rally. But there is no evidence to support this theory yet. Also there is no 100% certainty that the platform will pay customers in full.

We, as well as users, have suffered significant losses. If threats and accusations are made against us, the application for a payout will be canceled,” the company said.

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