Yes you read it right, what is believed to be the biggest cryptocurrency marketplace hack ever has just occurred in Japan, where digital thieves made off with over half a billion dollars worth of NEM (XEM) tokens, CoinDesk reports.
It’s difficult to pin an exact dollar figure on the theft, since the value fluctuates. What we know is hackers stole 500 million NEM tokens from Coincheck’s digital wallets. The exchange’s president Wakata Yoshihiro and chief operating officer Yusuke Otsuka estimated the loss at 58 billion yen, or around $533 million. Other estimates peg the loss a bit lower at around $420 million, and some have it as high as $600 million.
“The ‘investors’ that did not do due diligence and take time to understand what they’re trading in, both venue and subject matter, face unhedgable risks. If they continue to ‘trade’ the same way knowing the murky nature of this market, they’re gambling.”
The record-setting hack underscores one of the major risks associated with cryptocurrency. While this is the biggest theft in cryptocurrency history, it’s certainly not the first and will not likely be the last.