That widens Bitcoin's losses for the year to 53 per cent.
In a blog post on Monday, Coinrail confirmed it had suspended its services following a "cyber intrusion" in its systems earlier on Sunday morning. The exchange has not yet given an estimate of the loss, but local news outlet Yonhap News reports stolen funds amount to approximately $37.2 million.
The news sent cryptocurrencies tumbling, with bitcoin losing about 13 per cent, ethereum down 12 per cent and ripple nearly 20 per cent lower as traders fret over the safety of their investments. The latest to fall victim is the South Korean cryptocurrency exchange, Coinrail. The venue added that 70 percent of the cryptocurrencies it holds are being kept safely in a cold wallet, which isn't connected to the Internet and is less vulnerable to theft.More news: Migrants remain at sea as Italy-Malta standoff intensifies
A cryptocurrency exchange hack in South Korea jolted holders of digital assets, fueling a $46 billion selloff and extending this year's Bitcoin slump to more than 50 percent.
The hack brought an abrupt end to two weeks of calm for the biggest virtual currency and reignited concerns about the security of lightly regulated crypto exchanges.
On the Luxembourg-based Bitstamp, bitcoin was last trading at $6,763.96, down a sharp 11.2 per cent from Friday, having fallen roughly 65 per cent from its all-time peak hit around mid-December 2017.More news: Left-Wing Mayors Defy Populist Government, Inviting Banned Migrant Delivery Ships to Dock
Pundi X stated on its blog that the decentralized cryptocurrency exchange IDEX (where the stolen funds had been moved) agreed to urgently freeze the trading of NPXS coins on its platform, and all the stolen coins remain traceable for now.
In a statement, a representative from the Korea Blockchain Industry Association, a self-regulatory group, revealed the exchange wasn't a member of the working group. It wasn't immediately clear whether the lost coins were stored in the more insecure 'hot wallet'. "For the rest, we are looking into it with an investigative agency, related exchanges and coin developers".More news: Australia head to Russia 'buzzing' after Hungary win