Bitcoin exchange Bitstamp reopening today after $5 million heist

Bitcoin exchange Bitstamp reopening today after $5 million heist

Update: Bitstamp is now back up and running. Nejc Kodrič, the company’s CEO, has written a blog post explaining further about what happened and why it took longer than originally predicted for the service to return.

The bitcoin exchange is making all transactions on its platform commission-free until the end of January 17.

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Bitstamp, the bitcoin exchange hacked earlier this week, resulting in the loss of 19,000 bitcoin worth around $5 million, will resume trading today, reports Reuters. One bitcoin is currently worth $276.80.

The service was suspended after the security breach was uncovered. Damijan Merlak, one of the company’s co-founders, confirmed in an email to Reuters that it will be back online today.

Bitstamp had previously said it expected trading would resume within 24 hours but it has taken substantially longer to deal with the situation. It has also said that customers will not lose money as a result of the security breach and that its security measures will be increased.

In a post on its site, Bitstamp said the loss represented a small fraction of its total bitcoin reserve, with the majority held in ‘cold storage’ on offline systems.

Last year, Bitstamp claimed that it had systems in place to prevent cyber attacks on its platform after Mt. Gox, which was once one of the world’s biggest bitcoin exhanges, lost more than $650 million and was shut down.

➀ Bitcoin exchange Bitstamp says to resume trading on Friday [Reuters]

Featured image: Zach Copley [Flickr]

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