Mt. Gox and Coincheck Shouldn’t Be Equaled

The last time a Japanese cryptocurrency exchange suffered a massive hacking attack, it affected the entire cryptocurrency industry.. After this attack, it took about two years – although it is debatable – for the industry to recover.. The attack on the Coincheck exchange took place on Mt.. Gox incident, it’s not missing, but when you compare the effect of these two attacks on the market, Mt.. Let’s recap how serious Gox is.

Let’s recap what happened: Coincheck announced on Friday that its servers had been hacked – the largest ever seen – according to Tokyo morning.. Shortly after the theft was revealed, the exchange suspended trading of NEM targeted by thieves. Soon after, this suspension extended to other cryptocurrencies as well.

When it was all over, about 500 million XEM tokens (thought to be worth $420 million) were stolen from Coincheck, according to Bloomberg.. This means that the attack on Coincheck. It shows that it’s worth $80 million more than the attack on Gox.

XEM price dropped by as much as 11% when news about the matter began to spread, but XEM has been struggling to keep up for the past few hours (at the time of writing). it still lasts. While many other cryptocurrencies were also affected, the extent of the impact was not so severe and some cryptocurrencies dropped by only single digits.

Mt.. Despite the fact that more money was stolen than the Gox attack, the Coincheck attack did not affect the market as seriously because neither Coincheck nor XEM were able to use Mt.. Gox and Bitcoin four years ago.

Times Have Changed

Mt. Gox was once a common meeting point for Bitcoin investors. Altcoin trading was still developing at that time.. When we look at today, we see that there are much more crypto money exchanges, and much more crypto money directly.

As a result of the calculation made by Chris Burniske, one of the partners of Placeholder VC, Mt.. He found that Gox made up about 5% of the total network value of all cryptocurrencies at the time.

Theft from Coincheck was less than 0.25% of the total value.. Chris Burniske interprets this data as follows:

“Mt. The impact of the Gox hack on the crypto money markets at that time was much higher.”

There can be obstacles and negativities such as stock market hacks from the crypto community, but investors have learned not to attribute these negativities to different things.

Burniske comments:

“Cryptocurrency investors and speculators have witnessed several stock market attacks so far, and now an exchange attack is most likely a specific protocol rather than a weakness in internal cryptocurrency protocols. they know it’s due to a weakness in the implementation. The fundamentals of crypto assets have not weakened, but we have a new example of the need to further specialize in the infrastructure of crypto money applications.”

Can Money Be Saved?

Mt.. Another difference between Gox and Coincheck is that customers currently have a hope of getting a refund.. Mt.. The money stolen from Gox was gone.

At Friday’s press conference, Coincheck executives said they would compensate customers for their money stolen.. However, the scale of this ‘compensation’ is not yet known.

Paul Rieger, a member of the NEM Europe team that developed the XEM token, said that the team identified the stolen XEMs and the addresses found will be shared with the exchange.

As NEM is an account-based platform, all relative accounts can be determined. Thus, exchanges can find out if funds in an account have been stolen.. However, there is no guarantee that every account identified so far contains stolen XEM, or that every stolen token has been identified.

Ordinary Trading Day

CoinMarketCap data It shows that after the attack, all of the top 20 cryptocurrencies took a hit, but these cryptocurrencies have been fighting this blow for the last few hours.. There are only two coins that were in the top 20 at the time of writing, but exhibited more than 10% activity due to the impact of this attack.

NEM’s XEM token fell to 76.5 cents after the news, but the token was 72.1 cents on January 17. had a price like. In other words, even at the lowest price it saw after this news, it is still at a high level compared to a few days ago.

At the time of writing, XEM is at the level of $ 0.86 and continues its struggle.

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