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The Hacker News - Cybersecurity News and Analysis: Bitcoin

How Hackers Cash Out Thousands of Bitcoins Received in Ransomware Attacks

How Hackers Cash Out Thousands of Bitcoins Received in Ransomware Attacks

July 28, 2017Swati Khandelwal
Digital currencies have emerged as a favourite tool for hackers and cyber criminals, as digital currency transactions are nearly anonymous, allowing cyber criminals to use it in underground markets for illegal trading, and to receive thousands of dollars in ransomware attacks— WannaCry , Petya , LeakerLocker , Locky and Cerber to name a few. Also, every other day we hear about some incidents of hacking of crypto currency exchange or digital wallets, in which hackers stole millions of dollars in Bitcoin or Ethereum. The latest back-to-back series of thefts of Ethereum —one of the most popular and increasingly valuable cryptocurrencies—in which around half a billion dollars in total were stolen is the recent example of how much hackers are after crypto currencies. It's obvious that after ripping off hundreds of thousands of cryptocurrencies from exchanges, wallets and ransomware victims, cyber criminals would not hold them in just digital form—the next step is to cash the
Bitcoin Exchange Operator Arrested For $4 Billion Money Laundering Scheme

Bitcoin Exchange Operator Arrested For $4 Billion Money Laundering Scheme

July 27, 2017Mohit Kumar
Greek  police have arrested a Russian man who is believed to have been the operator of the popular BTC-e Bitcoin exchange on charges of laundering more than $4 billion in bitcoin for culprits involved in hacking attacks, tax fraud and drug trafficking. A United States jury indicted 38-year-old Alexander Vinnik on Wednesday after his arrest in Greece on Tuesday at the request of US law enforcement authorities. The suspect is one of the operators of BTC-e, a service operational since 2011. Headquartered in Russia, the digital currency exchange has been offline since the arrest of Vinnik, and its homepage says, "Site is under maintenance. We apologize for the inconvenience.." According to a press release published by the U.S. Treasury's Financial Crimes Enforcement Network (FinCEN), BTC-e ignored "know your customer" laws in an effort to serve criminals, and even hosted message boards buzzing with illegal activities. The FinCEN also announced a $110
Hacker Uses A Simple Trick to Steal $7 Million Worth of Ethereum Within 3 Minutes

Hacker Uses A Simple Trick to Steal $7 Million Worth of Ethereum Within 3 Minutes

July 18, 2017Mohit Kumar
All it took was just 3 minutes and ' a simple trick ' for a hacker to steal more than $7 Million worth of Ethereum in a recent blow to the crypto currency market. The heist happened after an Israeli blockchain technology startup project for the trading of Ether, called CoinDash , launched an Initial Coin Offering (ICO), allowing investors to pay with Ethereum and send funds to token sale's smart contact address.. But within three minutes of the ICO launch, an unknown hacker stole more than $7 Million worth of Ether tokens by tricking CoinDash's investors into sending 43438.455 Ether to the wrong address owned by the attacker. How the Hacker did this? CoinDash's ICO posted an Ethereum address on its website for investors to pay with Ethereum and send funds. However, within a few minutes of the launch, CoinDash warned that its website had been hacked and the sending address was replaced by a fraudulent address, asking people not to send Ethereum to the pos
AlphaBay Dark Web Market Goes Down; Users Fear Exit-Scam

AlphaBay Dark Web Market Goes Down; Users Fear Exit-Scam

July 06, 2017Wang Wei
AlphaBay Market, one of the largest Dark Web marketplaces for drugs, guns, and other illegal goods, suddenly disappeared overnight without any explanation from its admins, leaving its customers who have paid large sums in panic. AlphaBay , also known as "the new Silk Road," has been shut down since Tuesday night. The site also came in the news at the beginning of this year when a hacker successfully hacked the AlphaBay site and stole over 200,000 private unencrypted messages from several users. Although the website sometimes goes down for maintenance, customers are speculating that the admins have stolen all their Bitcoins for good measure, when heard no words from the site's admins on the downtime. Some users at Reddit and Twitter are claiming that AlphaBay's admins may have shut down the marketplace to withdraw a huge number of bitcoins from the site's accounts. The withdrawal Bitcoin transactions total 1,479.03904709 Bitcoin (roughly $3.8 Million),
Largest Cryptocurrency Exchange Hacked! Over $1 Million Worth Bitcoin and Ether Stolen

Largest Cryptocurrency Exchange Hacked! Over $1 Million Worth Bitcoin and Ether Stolen

July 05, 2017Swati Khandelwal
One of the world's largest Bitcoin and Ether cryptocurrencies exchanges Bithumb has recently been hacked, resulting in loss of more than $1 Million in cryptocurrencies after a number of its user accounts compromised. Bithumb is South Korea's largest cryptocurrency exchange with 20% of global ether trades, and roughly 10% of the global bitcoin trade is exchanged for South Korea's currency, the Won. Bithumb is currently the fourth largest Bitcoin exchange and the biggest Ethereum exchange in the world. Last week, a cyber attack on the cryptocurrency exchange giant resulted in a number of user accounts being compromised, and billions of South Korean Won were stolen from customers accounts. Around 10 Million Won worth of bitcoins were allegedly stolen from a single victim's account, according to the Kyunghyang Shinmun, a major local newspaper. A survey of users who lost cryptocurrencies in the cyber attack reveals " it is estimated that hundreds of mill
Creator of Bitcoin Mining Schemes faces $12 Million for Ponzi Scam

Creator of Bitcoin Mining Schemes faces $12 Million for Ponzi Scam

June 06, 2017Wang Wei
Every time a new topic trends on the Internet, scammers take advantage of it. You must have heard of Bitcoin and how in recent days it has made some early investors millionaire overnight. Yes, the Bitcoin boom is back, and it's real — a digital currency that has just crossed a new milestone today. The current price of 1 BTC or 1 Bitcoin = US$2,850. An American con man took advantage of this boom in Bitcoin market to run bogus bitcoin mining schemes and earn millions of dollars. But the bogus schemes ended as the United States Securities and Exchange Commission (SEC) has won a legal battle against two bogus, but now defunct, Bitcoin companies operated by Homero Joshua Garza — GAW Miners and ZenMiner. Garza is now facing a $12 Million (£9.2 Million) penalty for running the bogus schemes – what lawmakers have certified was a "Ponzi scheme." According to the SEC, Garza used the "lure of quick riches" in order to get people to invest in the bitcoin mi
Ransomware Hijacks Hotel Smart Keys to Lock Guests Out of their Rooms

Ransomware Hijacks Hotel Smart Keys to Lock Guests Out of their Rooms

January 29, 2017Mohit Kumar
What's the worst that could happen when a Ransomware hits a Hotel? Recently, hundreds of guests of a luxurious hotel in Austria were locked in or out of their rooms when ransomware hit the hotel's IT system, and the hotel had no choice left except paying the attackers. Today, we are living in a digital age that is creating a digital headache for people and organizations around the world with cyber attacks and data breaches on the rise. Ransomware is one of them. The threat has been around for a few years, but during 2016, it has turned into a noxious game of Hackers to get paid effortlessly by targeting hospitals, Universities, private businesses and even police departments and making hundreds of millions of dollars. Now, the Romantik Seehotel Jäegerwirt 4-Star Superior Hotel has admitted it paid €1,500 (£1,275/$1,600) in Bitcoin ransom to cybercriminals who managed to break into their network and hack their electronic key card system that prevented its guests f
Bitcoin Price Jumps Above $1150 — Highest in last 3 Years

Bitcoin Price Jumps Above $1150 — Highest in last 3 Years

January 04, 2017Mohit Kumar
What a good start of the New Year for those holding Bitcoins! Web-based digital currency Bitcoin has passed $1,110 for the first time on the Bitstamp Price Index (BPI) since early November 2013. Bitcoin broke the barrier on 1 January and now is trading above $1,150 mark at the time of writing, marking a bright beginning to 2017 for the digital currency. At the time of writing, 1 Bitcoin = $1158.99. Bitcoin is a revolutionary virtual currency that has no central authority; instead, it relies on thousands of computers worldwide that validate transactions and add new Bitcoins to the system. The world's first and most famous cryptocurrency is developed around Blockchain, which is a complex cryptographic protocol and a global computer's network that oversees and verifies which Bitcoins have been spent by whom. The identity of the people spending Bitcoins is extremely difficult to trace because of its anonymous nature. Therefore, the currency is very popular among criminal
FBI is Investigating Theft of $1.3 Million in Bitcoin from a Massachusetts Man

FBI is Investigating Theft of $1.3 Million in Bitcoin from a Massachusetts Man

October 15, 2016Swati Khandelwal
Over two months ago, the world's third largest Bitcoin Exchange Bitfinex lost around $72 Million worth of Bitcoins in a major hack. Shortly after the company encountered a $72,000,000 Bitcoin theft, an unnamed Bitfinex user from Cambridge, Massachusetts, filed a police report in September, alleging that $1.3 Million of funds were stolen from his account. Since then the Cambridge police have handed the case over to the FBI, which is working with the Bitcoin exchange as well as European authorities to recover funds stolen from the Bitfinex user, Coindesk reports . The individual claimed that he held $3.4 Million in Bitcoin in his personal wallet hosted by the Bitfinex Bitcoin exchange. But following the August's Bitfinex breach, he was left with $2.1 Million in his account. Bitfinex then notified the individual of his initial loss of approximately $1.3 Million in Bitcoin, but after the company issued IOU tokens as an emergency measure to keep the exchange operating, the l
Unknown Bidder Buys 2,700 Bitcoins (worth $1.6 million) at US Government Auction

Unknown Bidder Buys 2,700 Bitcoins (worth $1.6 million) at US Government Auction

August 23, 2016Swati Khandelwal
A winning anonymous bidder bought 2,700 Bitcoins ( worth roughly $1.6 Million ) in an auction held by the United States Marshals Service ( USMS ) on Monday. The US government announced at the beginning of this month its plans to auction 2,719 Bitcoins that were seized during several criminal, civil and administrative cases like Silk Road. The US Marshals confirmed to CoinDesk that four bids were received in the auction that took place between 13:00 and 19:00 UTC on August 22. The majority of the Bitcoins in the auction were stemmed from investigations of the Silk Road online black marketplace. Included 2,719 Bitcoins in the auction were: Around 1,300 Bitcoins seized from a civil case related to Matthew Gillum, a Silk Road drug dealer, who was sentenced to nine years in prison in 2015. Only 2.8 Bitcoins directly came from Silk Road founder Ross Ulbricht , who was found guilty of operating Silk Road for illegal goods and handed two life sentences . Some 65 Bitcoins came
Warning — Bitcoin Users Could Be Targeted by State-Sponsored Hackers

Warning — Bitcoin Users Could Be Targeted by State-Sponsored Hackers

August 19, 2016Mohit Kumar
Another day, another bad news for Bitcoin users. A leading Bitcoin information site is warning users that an upcoming version of the Blockchain consolidation software and Bitcoin wallets could most likely be targeted by "state-sponsored attackers." Recently, one of the world's most popular cryptocurrency exchanges, Bitfinex, suffered a major hack that resulted in a loss of around $72 Million worth of Bitcoins . Now, Bitcoin.org, the website that hosts downloads for Bitcoin Core, posted a message on its website on Wednesday warning users that the next version of the Bitcoin Core wallet, one of the most popular bitcoin wallets used to store bitcoins, might be replaced with a malicious version of the software offered by government-backed hackers. Specifically, Chinese bitcoin users and services are encouraged to be vigilant " due to the origin of the attackers. " Bitcoin.org doesn't believe it has sufficient resources to defend against the attack.
Bitcoin Exchange Offers $3.5 Million Reward for Information of Stolen Bitcoins

Bitcoin Exchange Offers $3.5 Million Reward for Information of Stolen Bitcoins

August 14, 2016Mohit Kumar
Hong Kong-based Bitcoin exchange 'Bitfinex' that lost around $72 Million worth of its customers' Bitcoins last week is now offering a reward of $3.5 Million to anyone who can provide information that leads to the recovery of the stolen Bitcoins. Bitfinex revealed on August 2 that the cryptocurrency exchange had suffered a major security breach, which resulted in the loss of nearly 120,000 BTC. The hack led to a 36 percent loss for each Bitfinex customer, who will be issued tokens to be redeemed as the company is able to reimburse the losses. Now, the exchange is willing to offer 5% of the lost funds ( nearly 6,000 BTC ) as a reward for the recovery of the stolen bitcoins. The news came after a Reddit user, using alias someguy916, inquired about a reward Bitfinex would be willing to offer for the stolen bitcoins. In response to the question, Bitfinex community director Zane Tackett stated that a bounty would be awarded to anyone who has information that would hel
Bitcoin Price Drops 20% After $72 Million in Bitcoin Stolen from Bitfinex Exchange

Bitcoin Price Drops 20% After $72 Million in Bitcoin Stolen from Bitfinex Exchange

August 03, 2016Mohit Kumar
Yet another blow to Bitcoin: One of the world's most popular exchanges of the cryptocurrency has suffered a major hack, leading to a loss of around $72 Million worth of Bitcoins. Hong Kong-based Bitcoin exchange ' Bitfinex ' has posted a note on their website announcing the shutdown of its operation after discovering a security breach that allowed an attacker to steal some user funds. While the company did not mention a total amount lost in the breach, one of their employees — Bitfinex community director Zane Tackett — confirmed on Reddit that the total amount stolen was 119,756 bitcoins — worth up to $72 Million in cash. The cause of the security breach and the hacker behind the incident is still unclear, but the attackers appear to have mysteriously bypassed Bitfinex's mandated limits on withdrawals. "The theft is being reported to — and we are co-operating with — law enforcement," Bitfinex statement reads. "We will look at various options to
Corrupt Federal Agent charged in Silk Road theft accused of stealing another $700,000

Corrupt Federal Agent charged in Silk Road theft accused of stealing another $700,000

July 04, 2016Swati Khandelwal
A former United States undercover agent who stole hundreds of thousands of dollars worth of Bitcoins during an investigation into the underground drug marketplace Silk Road is now suspected of stealing even more of the cryptocurrency from two other cases. Shaun Bridges is one of two former US agents who pleaded guilty last year and was sentenced in December to almost six years in prison for stealing over $800,000 in Bitcoin while investigating the Darknet marketplace. Bridges and his partner stole money from Silk Road accounts and framed someone else for it, which lead the Silk Road chief Ross Ulbricht to plan a murder. Ulbricht is now serving life in prison sentence . Ulbricht was convicted in February 2015 of running the underground black market . According to court filings unsealed on Thursday, Bridges is believed to have stolen additional funds from a Secret Service account on two different occasions months after he was initially charged. Bridges and 46-year-old fo
Hacker Steals Money from Bank and Donates $11,000 to Anti-ISIS Group

Hacker Steals Money from Bank and Donates $11,000 to Anti-ISIS Group

May 19, 2016Mohit Kumar
Meet this Robin Hood Hacker: Phineas Fisher, who breached Hacking Team last year, revealed on Reddit Wednesday that he hacked a bank and donated the money to Kurdish anti-capitalists in Rojava autonomous region in northern Syria that borders territory held by the ISIS ( Islamic State militant group ). Fisher, also known as "Hack Back" and "@GammaGroupPR," claimed responsibility for both the Hacking Team and Gamma Group data breaches. The vigilant hacker donated 25 Bitcoin (worth around US$11,000) to a crowdfunding campaign known as the Rojan Plan, which has been set up by members of the Rojava's economic committee, described by Fisher as "one of the most inspiring revolutionary projects in the world." Also Read:  Here's How Hackers Stole $80 Million from Bangladesh Bank The funds donated to the campaign came from a bank heist, though the hacker neither revealed the name of the bank nor provided any further details of the bank heist. Whe
Craig Wright Will Move Satoshi Nakamoto's Bitcoin to Prove His Claim

Craig Wright Will Move Satoshi Nakamoto's Bitcoin to Prove His Claim

May 03, 2016Swati Khandelwal
Yesterday, BBC broke a story allegedly revealing Craig Wright as the original creator of Bitcoin digital currency Satoshi Nakamoto. However, the highly skeptical cryptographic community is definitely not yet convinced with the technical proofs Wright has yet provided to the media outlets and on his  blog . Now, Wright has promised to provide further evidence for his claim that he is behind the pseudonym, Satoshi Nakamoto. Wright's spokesman told BBC that he would " move a coin from an early block " of Bitcoin owned by Nakamoto " in the coming days. " However, the spokesman did not specify a deadline. " So, over the coming days, I will be posting a series of pieces that will lay the foundations for this extraordinary claim, which will include posting independently-verifiable documents and evidence addressing some of the false allegations that have been levelled, and transferring bitcoin from an early block. ", Wright said in a latest blog post
Bitcoin Creator Has Finally Unmasked Himself. Maybe, Real?

Bitcoin Creator Has Finally Unmasked Himself. Maybe, Real?

May 02, 2016Mohit Kumar
The mysterious creator of the BITCOIN digital cryptocurrency seems to have been identified as an Australian entrepreneur, and his name is: Craig Steven Wright. Five months after Wright, an Australian computer scientist and businessman was outed as Satoshi Nakamoto , revealed himself as the original inventor of Bitcoin digital currency. Wright has published a blog post offering Cryptographic Key as proof of his work, backed up by other technical information and the prominent Bitcoin community members have also corroborated his claim. However, Satoshi Nakamoto has always shown the desire to remain anonymous, while Wright has not. " I am not seeking publicity, but want to set the record straight, " he explains. Wright has provided some technical proofs to BBC , The Economist, and GQ media outlets that link him to the identity of Nakamoto. Craig Wright Claims He is Satoshi Nakamoto At the meeting with the BBC and Economist, he digitally signed messages using th
How to decrypt Petya Ransomware for Free

How to decrypt Petya Ransomware for Free

April 12, 2016Mohit Kumar
Ransomware has risen dramatically since last few years and is currently one of the most popular threats on the Internet. The Ransomware infections have become so sophisticated with the time that victims end up paying ransom in order to get their critical and sensitive data back. But if you are infected with Petya Ransomware , there is good news for you. You can unlock your infected computer without paying the hefty ransom. Thanks to the Petya author who left a bug in the Ransomware code. What is Petya Ransomware? Petya is a nasty piece of ransomware that emerged two weeks ago and worked very differently from any other ransomware. The ransomware targets the victims by rebooting their Windows computers, encrypting the hard drive's master boot file, and rendering the master boot record inoperable. Also Read:  How to Decrypt CoinVault and Bitcryptor Ransomware A master boot record (MBR) is the information in the first sector of any hard disk that ide
Microsoft Quietly Stops Accepting Bitcoin in Windows Store

Microsoft Quietly Stops Accepting Bitcoin in Windows Store

March 14, 2016Wang Wei
Microsoft reckoned Bitcoin was the future of payment system and added it as a payment option for Windows store at the end of 2014, but the company has silently pulled support for Bitcoin in the Windows 10 Store. In November 2014, Microsoft struck a deal with third-party bitcoin payment processor ' Bitpay ' that allowed people to use Bitcoin to purchase Microsoft's products and services from Windows Stores. However, Microsoft quietly updated the Windows Store FAQ that popped up " Microsoft Store doesn't accept Bitcoin. " The end of support for Bitcoin payments only applies to Windows 10 and Windows 10 Mobile stores.  "Microsoft Store doesn't accept Bitcoin. You can no longer redeem Bitcoin into your Microsoft account," the update reads. "Existing balances in your account will still be available for purchases from Microsoft Store, but can't be refunded." In short, you can make use of an existing balance in your accou
CTB-Locker Ransomware Spreading Rapidly, Infects Thousands of Web Servers

CTB-Locker Ransomware Spreading Rapidly, Infects Thousands of Web Servers

February 27, 2016Unknown
In last few years, we saw an innumerable rise in ransomware threats ranging from Cryptowall to Locky ransomware discovered last week. Now, another genre of ransomware had been branched out from the family of CTB-Locker Ransomware with an update to infect Websites. The newly transformed ransomware dubbed " CTB-Locker for Websites " exclusively hijacks the websites by locking out its data, which would only be decrypted after making a payment of 0.4 BTC. This seems to be the very first time when any ransomware has actually defaced a website in an attempt to convince its administrator to comply with the ransom demand. However, the infected website admins can unlock any 2 files by the random generator for free as a proof of decryption key works. Here's How CTB-Locker for Websites Ransomware Works Lawrence explained that CTB-Locker ransomware replaces the index page ( the original index.php or index.html ) of the servers hosting websites with the
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