The Japanese cryptocurrency exchange Coincheck is starting today to give refunds to the users that were targeted by the $530 million hack in January 2018. The company has released an official blog post in which is said that they will cover the losses at the rate of $0.83 per NEM. The exchange platform will make the refunds in the national currency Yen.
Compensation date and time: March 12, 2018
Compensation amount: 88.549 yen × Japan time January 26, 2018 January 26 Number of possession at 23:59:59
Compensation object: Japan time January 26, 2018 23: 59: 59 Customers who held NEM as of the time, stated the company.
Last Thursday, the head of the crypto exchange announced in a press conference that the fund restitution will start this week. This good willing action comes after the Japanese regulators have pressed multiple lawsuits against Coinckech for lacking responsibility in securing the platform.
On January 26, Coincheck confirmed that more than 500 million cryptocurrencies have been stolen in a flash. According to the company, the users will receive back a total amount of $420 million.
Customers who have not completed identity verification at compensation date are also subjects of compensation. Completion of identity verification is required separately for dispensing Japanese yen. Also, please be aware that there may be cases where you will be asked to verify your identity separately as a result of Japanese yen withdrawal, reads the blog post.
CoinCheck Is Restarting Withdrawals
Due to increased access, there is a possibility that it will be difficult to temporarily connect to services, telephones, etc.
When trading volume rapidly increases, or when problems not found at the present time are confirmed, we may temporarily suspend trading without prior notice at our discretion. In addition, there is a possibility that temporary trading will be automatically stopped if sudden price fluctuation occurs.
When confirmed problems etc. not known at this time, there is a case that we will not resume without prior notice.
CoinCheck Hacked Since the Begining of January
The local news has reported that the hack was made by infecting the staff’s computers with malware attacks. The report suggests that the attackers used phishing emails to infiltrate into the operating systems of the employes. While CoinCheck’s security tools did not detect the breach, the attackers have collected a great number of private keys and unleashed the attack on January 26.
The Japanese regulators have given the crypto exchange a deadline until March 22 when they will have to submit a document with the solutions for improving the platform’s security.