BitFinex Update: Platform Confirms Losing $72m worth Bitcoin to Hackers

Following the security breach that shook the Bitcoin community, the victimized digital currency exchange BitFinex yesterday revealed the damages it faced.

The exchange’s communication manager Zane Tackett reported on Reddit that BitFinex has lost around 119,756 BTC (~$72 million) in the recent theft. As the law enforcers continue investigating the matter, Tackett didn’t reveal further details in the public domain.

Bitfinex, meanwhile, has also roped in some of the top blockchain analytics companies to track the stolen bitcoin. The exchange hopes to identify the hackers, as well as their bitcoin addresses to better understand the final resting position of their stolen funds.

 BitFinex, however, hasn’t yet clarified how the hackers managed to gain access into the users’ wallets. The rumors circulating on Reddit claim that either the hacker gained access to the platform by compromising either the private keys of BitFinex, or BitGo (a blockchain security platform associated with Bitfinex). In the latest update, Bitfinex stated:

 “We are currently in an ongoing process of restoring limited functionality in a secure environment, with full functionality coming afterwards in progressive stages. The first step is bringing the site online and allowing users to log in and view the state of their accounts. Note that initially, trading, deposits, withdrawals, and other core site functionality will be disabled.” 

As the company work’s towards partially restoring the platform to allow users access their account, Bitfinex has also updated the respective prices at which the margin position for all pairs will be settled. The settlement prices are fixed based on the mid-point of the bid and ask on the platform at 18:00 UTC on August 2.  The settlement prices for various pairs are as follows.

 BTCUSD: $604.06000000

ETHUSD: $10.19050000

ETHBTC: $0.01689900

ETCUSD: $2.83700000

ETCBTC: $0.00471495

LTCUSD: $3.75180000

LTCBTC: $0.00621295

Many Bitfinex customers are seeking for more information about the security breach and the fate of their digital currency deposits. As Tackett continues to respond to most of the questions, there are some who are left with no answers yet. However, in spite of the serious situation, both Tackett and Bitfinex have been appreciated by many across the Bitcoin community for the way they are handling the current situation.