Bancor Hack Results in $13.5 Million Lost; User Funds Safe

The wallet/exchange service Bancor suffered a security breach on July 9th that led to $13.5 million worth of Ethereum (ETH), Bancor (BNT), and other tokens.

Luckily for users, the hackers only got Bancor’s own funds and did not get any user owned funds.

Further, Bancor being a mostly decentrazlied exchange (but not a fully decentralized one) was able to freeze their own Bancor token (thus making it impossible for the thieves to liquidate those).

When you consider that $10 million of the funds stolen where Bancor tokens (BNT), this really then ends up being a theft of about $3.5 million in tokens. That isn’t good, but it is also not the end of the world when compared to the amount of theft and fraud in the traditional financial system.

Anyone looking for this to explain why there was a crypto correction yesterday is however likely looking in the wrong place. Reporting of the hack took place shortly after the market started to correct, not before (meaning it could have had some effect, but was likely not the catalyst… that is, unless the market knew about the hack before information was made public).

Author: Thomas DeMichele

Thomas DeMichele has been working in the cryptocurrency information space since 2015 when was created. He has contributed to MakerDAO, Alpha Bot (the number one crypto bot on Discord),...

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