Counting the Cost: Cryptocurrency Hacks in 2019
Ah, 2019: A year when cryptocurrency exchanges seemingly played a game of musical chairs, but instead of music, it was all about hacks. A grand total of $292,665,886 vanished into the digital ether, and 510,000 user logins suffered the same fate. Can we just agree that 2019 was not the year crypto nerds expected?
The Rise in Hacks: A Disturbing Trend
Despite common sense suggesting that with time comes improved security, the unfortunate reality was quite the opposite. More crypto exchanges were hacked in 2019 than in 2018, where only nine exchanges bore the brunt of uninvited guests. Year after year, the landscape of crypto theft has become less of a surprise party and more of a recurring nightmare.
The Regulatory Abyss
In a world where anything from a taco truck to a sunflower stand must abide by local regulations, the world of crypto exchanges seems to thrive in a regulatory black hole. Countries like Canada, Malta, and even the serene state of Wyoming have taken steps to create frameworks that provide guidance. Unfortunately, for many, including the exchanges that flopped in 2019, there are no safety nets to catch them when they fall into Hackerville.
A Closer Look: The Notorious Hacks
Let’s pull back the digital curtain and see some of the major hacks that tarnished the reputation of cryptocurrency exchanges in 2019. Buckle up!
- Cryptopia (Jan. 14): Kicked off the year with a bang, losing over $16 million worth of various cryptocurrencies.
- LocalBitcoins (Jan. 26): Not as heavy-hitting but embarrassing—$27,000 and six accounts fell prey to a phishing scam.
- Coinmama (Feb. 15): 450,000 usernames and passwords served up on a digital silver platter.
- DragonEx (Mar. 24): Hit with a hack smackdown totaling $7.09 million. Ouch!
- CoinBene (Mar. 25): Claimed a maintenance mishap while $105 million evaporated. Coincidence? You decide.
- Bithumb (Mar. 30): The suspicion of insider theft—seriously, what ever happened to loyalty?
- Binance (May 7): $40 million lost and personal user data swiped. It’s like a digital horror movie!
- GateHub (Jun. 1): 23.2 million XRP went poof, causing a minor (major) freak-out.
- Bitrue (Jun. 26): $4.23 million walk-away that left users furious and wallets empty.
- BITPoint (Jul. 11): $32 million slipped past unnoticed. The perfect heist?
- VinDAX (Nov. 5): $500,000 vanished without a trace, like a magician at a bad magic show.
- Upbit (Nov. 27): Closed the decade with a bang—$49 million for the biggest heist of the year.
Final Thoughts: The Path to Safety
As we wrap up this 2019 hack-tastrophe, it’s clear that cryptocurrency exchanges have a long way to go when it comes to security. With a growing list of regulatory guidance but an unwavering talents for mayhem, we hope that 2020 offers better fences to prevent this digital cattle rustling. Here’s to a more secure future—for exchanges and investors alike!