Biggest cryptocurrency theft ever

Security Hack theft

NEM Price Drops below $0.8 due to Sudden 17% Decline

Kaspersky Lab's Costin Raiu said there was a transfer of $110 million worth of Ripple out of Coincheck, adding "hacking suspected".

On Friday night, users of Coincheck had gathered around the building in central Tokyo where it is located.

Coincheck, a Japanese cryptocurrency exchange, is set to use its own money to pay back victims of a hack of its exchange. Other estimates peg the loss a bit lower at around $420 million, and some have it as high as $600 million.

Cryptocurrencies took a dip after Japan-based digital exchange Coincheck suspended client deposits and withdrawals for virtual currencies except bitcoin, saying it had been hacked. It later included that it had limited dealings in most different cryptographic forms of money as well. It handles bitcoin transactions and storage. The exchange posted several updates today in a blog post.

Before this hack, Mt Gox has been carrying the torch for suffering the biggest crypto theft.

Regardless of the official tally, it's a major theft, surpassing the ~$340 million that was famously stolen from Mt. Gox in 2014.

It's hard to pin an exact dollar figure on the theft, since the value fluctuates.

We're watching for further developments. Coincheck later confirmed the losses and held a press conference to provide more details.

NEM, the 10th-largest cryptocurrency by market value, fell 14 per cent to 81 U.S. cents in the 24 hours through 10:07am.

"We know where the funds were sent", Otsuka said during the press conference.

"All withdrawals from the platform are now restricted, including JPY". However, it is not absolutely certain that every account tagged contained stolen XEM, or that every stolen token has been tagged.

The theft of the massive number of NEM tokens has affected the cryptocurrency market and NEM's value tumbled 11% over a 24-hour period to 87 cents per token.

Many of these tokens are still down on the day, however, and it remains to be seen whether most of the coins listed on CoinMarketCap will move into the green. At the time of writing this article, the crypto currency NEM (XEM) has already lost 20% of its value to trade at about $0.80.

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