Hacked Japanese Crypto Exchange Coincheck Repays Customers

The Japanese cryptocurrency exchange Coincheck Inc., which was hacked in January said today that it has compensated all its customers affected.

One of Japan's Biggest Cryptocurrency Exchange Hacked

523 million units of NEM tokens that belonged to around 260,000 customers were stolen from the Tokyo based exchange on the 26th of January. It was reported as one of the biggest cryptocurrency hack incidents after Mt. Gox.

Coincheck spent ¥ 46.3 billion ($ 435 million) to compensate for the lost tokens. Customers were paid at the rate of ¥88.549 per NEM as promised by the exchange before. The price is ¥110 less than the worth of the tokens at the time of hack but more than the current rate.

Japanese Crypto-Exchange Hacking Explained

The company used its own funds to repay the customers. It started the refunding on Monday and has completed it. Coincheck, however, will not resume its services which had come to a halt after the hack. It is going to make sure its system is completely secure before it does.

The Japanese authorities have not yet identified the hackers. Cryptocurrencies are designed to maintain a high level of anonymity of the user's identity.

Coincheck hasn't yet acquired a license from the Japanese government.

(Source: The Wall Street Journal)