Hacked crypto exchange BITPoint to Refund 50,000 victims

During a press conference in Tokyo’s Chiyoda Ward on July 16, the recently hacked crypto exchange BITpoint Japan stated, it will reimburse about 50,000 customers who lost assets with bitcoin.

The article was updated on 14 November, 2019 by Amicus.

18 July, 2019, | AtoZ MarketsDuring the meeting at Chiyoda Ward, the president of BITPoint Japan Genki Oda apologized to the company customers. And he said that their team is investigating the cause of the recent crypto heist.

Hacked crypto exchange BITPoint confirms reimbursements in crypto

As the local media reports, BITPoint will repay its customers with the cryptocurrency after the restoration of the platform’s service. The customers will receive refunds of crypto on a 1:1 basis, or one bitcoin for each lost.

The company’s officials noted that roughly 50,000 users who lost funds in the recent hack would reimburse. If by refunding users in crypto and not cash, they might lose out due to recent price drops. When it asked, BITpoint’s director, Kimio Mikazuki, refused to answer “as it includes legal matters.”

BITPoint is still counting its loses 

According to the latest reports, the company’s primary estimated loses from the security breach. However, that has reached around 3.02 billion yen ($28 million) – roughly $4.6 million.

Three days ago, and four days after the hacking incident, the local media reported that the BITPoint discovered 250 million yen ($2.3 million) of stolen funds on overseas exchanges that were using a trading system provided by Bitpoint Japan.

Thus, the discovery brought the total sum of lost funds down from 3.5 billion yen ($32 million) to 3.02 billion yen ($28 million). Back then, the major BITPoint shareholder, Remixpoint, stated that $23 million of the illegal outflow belonged to its customers, while 1 billion ($9.2 million) belonged to the exchange.

According to the latest reports, the exchange customers have lost 2.06 billion yen ($20 million) in the breach. The crypto firm, in its turn, assured that it has newly prepared this amount in crypto assets for reimbursement. 

As Atoz Markets reported earlier, due to the last year hack of another Japanese crypto exchange Coincheck, about 260,000 customers lost their assets. Coincheck crypto theft also remains one of the biggest cybersecurity hacks in history.

The same year, about 130,000 Zaif exchange’s customers suffered a similar fate. For Coincheck and Zaif users, the stolen assents reimbursed in cash.  With about 50,000 customers affected, the BITPoint hack could be the third-largest crypto heist by now. 

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