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Has Bitrue been hacked?


Mitty

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4 hours ago, iLeeT said:

Hardly a surprise they are getting hacked. Low liquidity exchanges with barely any volume and a couple of developers cannot guarantee security, you need much bigger team for that and even they can't get it right all the time. Why did they have 10M XRP in their hot wallet in the first place..

Not going to mention the fact that CB and Binance are struggling handling traffic with Binance recently going down due to a disk failure.. They had 2 years to scale up and it's the same stuff again, absolute amateurs.

Well, I wouldn't call Binance a "Low Liquidity" exchange and they were hacked just as easily. Liquidity has nothing to do with it.

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12 minutes ago, King34Maine said:

Well, I wouldn't call Binance a "Low Liquidity" exchange and they were hacked just as easily. Liquidity has nothing to do with it.

It has. Low liquidity -> barely any trading -> less income from fees -> smaller dev team -> barely any money for insurance, if you get hacked a couple of times you are bankrupt.

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The issue could be 'when' an exchange token is announced, which attracts flow, which attracts bad actors. If it's relatively clear that an entity is not ready yet, then the question becomes why is an exchange token pursued? 

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1 hour ago, iLeeT said:

This is not necessarily a good thing when dealing with security issues. You need to get to the root cause and be 100% that it is indeed the root cause and also you need to do a full audit on other potential vulnerabilities etc., not just open up an hour after your hot wallet got emptied out.. 

Agreed. Its just reassuring that they communicate with the community, but if it happens again its over

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This kind of reminds me of Oil manipulation.  Funny how when prices tank with Oil a Refinery randomly goes up in smoke and Bingo prices instantly increase due to a strangled supply route with Crypto an exchange gets hacked during a bull run and bingo the reaction causes prices to tank.  Is it misfortune or a controlled burn??

Edited by Guest
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Here is another article about the hack"

https://cryptovest.com/news/bitrue-exchange-hacked-xrp-and-cardano-ada-stolen/

Here is a sentence from that article:

"While the funds are relatively small compared to other heists, this time, XRP will have to show its capabilities in reversing transactions."

Correct me if I'm wrong, but that is simply not going to happen. The exchanges can and should cooperate, but the transactions will not be reversed..

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6 minutes ago, bx549 said:

Here is another article about the hack"

https://cryptovest.com/news/bitrue-exchange-hacked-xrp-and-cardano-ada-stolen/

Here is a sentence from that article:

"While the funds are relatively small compared to other heists, this time, XRP will have to show its capabilities in reversing transactions."

Correct me if I'm wrong, but that is simply not going to happen. The exchanges can and should cooperate, but the transactions will not be reversed..

How would that even be possible ? Force all validators?

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6 minutes ago, Zerp_Legend said:

How would that even be possible ? Force all validators?

I don't think it's possible, and so I think this hacking incident may be used to debunk FUD when people claim that Ripple can reverse transactions. But I wanted some other opinions as I'm not the most knowledgable person regarding this stuff.

Edited by bx549
added "to debunk FUD"
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36 minutes ago, Zerp_Legend said:

How would that even be possible ? Force all validators?

Bitrue may be like some/most exchanges where, when you send the crypto, you're sending it to the same address as everyone else. However, it's the destination tag/memo/ID that lets them know that you are the one that sent those funds and you "own" that portion of the funds. Through your account with them, they'd only display and allow you to withdraw and trade the portion that you "own". This is why you'll see warnings on some deposits that have big bold red letters that say you must include a destination tag/memo/ID or your funds won't clear through to your account.

Since they control the secret key to that aggregate wallet, it gives them the safety of not having to manage concerns about leaked secret keys (like GateHub was having), but I believe it also gives them full control of the funds in that wallet since it's truly their wallet that you're sending your deposits to. Assuming I'm not slipping wrong words or concepts, this would allow them to "reverse" the transaction by agreeing that the account in question is the fraudulent one and they'd just lock the account within their service and send the crypto back.

It's a bit similar to how banks work. You give them your money and they have access to all of it. Your account just shows you what portion of their supply you're allow to move around. If you were found to try and launder money, that bank could certainly close your account and send the funds that they possess that you deposited.

Edited by Xrylite
Cleaning up wording relevant to crypto.
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34 minutes ago, bx549 said:

"While the funds are relatively small compared to other heists, this time, XRP will have to show its capabilities in reversing transactions."

Correct me if I'm wrong, but that is simply not going to happen. The exchanges can and should cooperate, but the transactions will not be reversed..

BREAKING NEWS!!!

Bank robbed in Smallstownville! 

Instead of the police working with the banks and the community to locate the perps and return the funds, some idiot who writes an article wants the world to invent a back-in-time machine to reverse the robbery!

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Not only there are hackers after the cryptos of exchanges but also exit scammers. I dunno is this Bitsane story true. The exit scammers anyways hurt the reputation of legit exchanges too which slows down overall crypto adoption more or less.

https://www.forbes.com/sites/hanktucker/2019/06/27/crypto-exchange-and-xrp-refuge-bitsane-vanishes-scamming-as-many-as-246000-users/#2db940b677fa

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