Experts suggest NEM Foundation to stop tracing stolen coins


March 23, 2018 11:40 am

Experts suggest NEM Foundation to stop tracing stolen coins | Coindelite News
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Efforts put in by NEM Foundation to locate stolen coins gone in vain

On March 22 NHK World reported that all NEM (XEM) coins that were stolen from the most extensive Japanese cryptocurrency exchange, Coincheck, have been retrieved from the hackers’ account as confirmed by experts.

Hackers stole NEM cryptocurrency worth $530 mln on Jan.26. By Feb.1, the team of the Singapore-based NEM foundation was able to confirm that the hackers were transferring the stolen NEM coins to different addresses, but the hackers’ physical location could not be traced.

The stolen coins were detected one month later on crypto exchanges in Canada and Japan.

The NEM Foundation stopped tracking the stolen coins by March 18 due to which the movements of the currency hastened as stated by NHK. According to experts, it is impossible to trace the stolen coins almost after two months of the hack. Records of online transactions display that the balance of the account believed to be used by the hackers is zero.

According to the new annual report of Japan’s National Police Agency, more than $6.2 mln of different cryptocurrencies were lost to hacks and fraud in 2017, not including the $530 mln Coincheck hack. On March 17, Cointelegraph reported that Coincheck stopped supporting three privacy-oriented digital currencies; Monero, Dash, and ZCash.

Earlier this month, Coincheck started to refund the affected users. Compensation is in Japanese Yen at a rate of 88.5 yen ($0.83) to one NEM coin. Regarding the value of the stolen currency, the Coincheck hack carries the dubious title of the most prominent cryptocurrency hack in history.