Hacker steals $7 million in Ethereum cryptocurrency after compromising start-up’s token sale – SC Magazine

A mysterious cyberthief made off with $7 million in the cryptocurrency Ethereum on Monday after hacking a virtual currency trading platform during its Initial Coin Offering and inserting a malicious address where digital investors were tricked into sending their funds.

The platform provider, a blockchain tech startup called CoinDash, disclosed in an online statement that more than 2,000 investors unknowingly sent their virtual money to the hacker, for a total of roughly 37,000 Ethereum, which equates to around $7 million. The cyberattack occurred immediately after CoinDash publicly launched its ICO token sale on July 17, the company noted.

In response, CoinDash has launched a forensic investigation, contacted law enforcement, and intends to credit victims with tokens as if they had actually sent their investments to the correct address. “We are currently gathering information regarding each for the attack victims and will release the complete list for our contributors and community review shortly,” CoinDash said in the statement, attributed to co-founders Alon Muroch and Adam Efrima, and the CoinDash team.

“The only way now is to move forward. The company’s vision is intact and the products we are developing are still in high demand (even more so now),” the statement continues. “Such malicious attacks will not divert us from developing a product that will make crypto investments more accessible to the public.”

More at: Hacker steals $7 million in Ethereum cryptocurrency after compromising start-up’s token sale – SC Magazine

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