South Korean exchange Youbit is going to declare bankruptcy as a result of a hacker attack

South Korean exchange Youbit is going to declare bankruptcy as a result of a hacker attack

South Korean bitcoin exchange is going to declare bankruptcy after it was hacked.

In a statement on the official website Youbit says that approximately 4:34 a.m. local-time break-in resulted in the loss of “about 17% of total assets.”

This is the second cyber-attack, which had experienced Youbit, formerly known as Yapizon. The perfect attack in April, according to South Korean officials, was supported by neighboring North Korea. The intelligence services in South Korea suspect that North Korea is behind a number of attacks on South Korean cryptocurrency exchanges, including the attack on the market leader – Bithumb.

In the Wake of today’s attack, Youbit said that they had suspended the process of withdrawal.

Representatives Youbit said that those funds, which still features the exchanger will be used for payments to affected users, although I admit that this may not be enough to compensate everyone in full.

In connection with the bankruptcy, the payment of cash and cryptocurrencies will be implemented in accordance with the bankruptcy procedures. However, to minimize the damage caused to our users, we will open the opportunity for removing approximately 75% of the funds available on the balance at 4:00 a.m. on December 19. The remainder will be paid after completion of final calculation.

Representatives also stated that they will do everything possible to return the embezzled funds in full, including working with insurance companies and the sale of the shares of the exchange.

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