NEM rallies despite Coincheck hack and Updates

Japanese cryptocurrency exchange Coincheck confirmed one of the biggest hacks in financial history, with an estimated loss of 260,000 NEM tokens amounting to approximately $500 million. All trade deposits and withdrawals have been temporarily disabled until all vulnerabilities getfixed.

Coincheck will be using their own cash reserves to refund customers affected by the hack. According to coincheck corporate, NEM holders will be refunded in Fiat at a rate of 88.549 yen multiplied by NEM in possession. Updates on exact timelines would be announced shortly.

In an interview with Medium, Jeff McDonald, Vice President of the NEM foundation stated that they are taking measures to catch the perpetrators of this hack. All stolen assets will soon have a tagging system that will follow the stolen NEM tokens. Thus the foundation would be alerted whenever these tokens exchanges hands.

But most surprisingly, despite eclipsing Mt. Gox by $50 million in monetary value, the impact on the crypto markets was relatively unsubstantial. With most coins value dropping by 5%. NEM itself rallied back to $1 within 24 hours of the hack. Indicative of the bullish long term sentiment on NEM.

P.S: This incident is yet another reminder to never hld your crypto-assets on exchanges. Always transfer to a cold wallet. Ledger Nano S is considered one of the safest and cost effective solution in the market.

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