BitGrail, the Italian Cryptocurrency Exchange hacked back in February, re-opens trading activities but gets shut down immediately after. The virtual currency exchange wanted to offer its trading service once again to its customers. Due to a court order the exchange had to close just three hours after the opening.
BitGrail Shut Down
In February 2018, the Italian exchange BitGrail got hacked. They lost $195 million dollars after losing 17 million XRB (NANO). The exchanged communicated its users about the hack in the following way:
“BitGrail S.r.l informs its users that internal checks revealed unauthorized transactions which led to a 17 million Nano shortfall, an amount forming part of the wallet managed by BitGrail S.r.l Today a charge about those fraudulent activities has been submitted to the competent authorities and now is under police investigation.”
Now, on May the 1st, the exchange started to offer trading services again, but not for long time. Three hours later, an order from the court of Florence notified them of a deed requesting to close the exchange.
BitGrail wrote in a statement on its website:
“This morning, following the re-opening, we were notified of a deed by the court of Florecne requesting the immediate closure of BitGrail and this situation will persist until a decision is made by the courts, about the precautionary suspension request made by the Bonelli law office on behalf of a client.”
BitGrail claims that the hack was caused by unauthorized transactions affecting the exchange. Apparently, BitGrail claims that the situation happened due to a problem on the Nano protocol – something that the team behind Nano denies.
BitGrail Refunds Investors
For all of those who lost their tokens at the exchange, there has no been a clear solution as of today. Indeed, the exchange wanted to refund users with a self issued token. On their website, BitGrail team wrote:
“BitGrail Srl intends to stress having been subject to theft, a crime made possible by taking advantage of faults in the team NANO’s software (rai_node and the official block explorer) and therefore, for these reasons and in accordance with the law, it is not in any way responsible for the situation.”
Moreover, they explained that they want to help users on a voluntary basis by establishing a cash fund and creating a token. It would be dedicated to the users damaged by the theft and would be able to recover their stolen funds over time.
“BitGrail Srl intends, on a voluntary basis, to establish a cash fund (by crating a token) dedicated to the users damaged by the theft. Doing so, they’ll be enabled to recover their stolen funds over time.”
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