Hacked NZ Exchange Cryptopia Allowed to Reopen

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Digital asset exchange Cryptopia has been given the green light to open again after New Zealand police announced they have almost completed their investigation at its offices. The crypto trading platform suffered a security breach last month when, according to one estimate, as much as $16 million worth of cryptocurrency was stolen.

Also read: Brazilian Crypto Exchange Wins Legal Battle Over Closed Bank Account

Management Granted Access to Their Offices

According to law enforcement officials, Cryptopia can now reopen at any time. “We have finished the main part of the work required by the High Tech Crime Group at Cryptopia’s business premises, although HTCG staff remain there finishing up aspects of their work,” detective inspector Greg Murton said, quoted by The New Zealand Herald.

Hacked NZ Exchange Cryptopia Allowed to Reopen

Murton further noted that Cryptopia management have been granted full access to their facilities and business premises. He also stressed that the “investigation is not preventing their business from getting up and running again.” The inspector declined to indicate whether or when authorities might lay any charges in the case.

The exact amount of cryptocurrency presumably stolen in the heist remains unknown and Greg Murton refused to comment on the matter. Experts from data company Elementus believe the digital coins, comprising ethereum and ERC20 tokens, are worth up to $23 million NZ dollars (almost $16 million), which is much more than initial estimates following the news of the hack in mid-January.

Cryptopia Cooperates With the Investigation, Police Say

A report from the end of last month suggested that the attack continued even after investigators arrived at the offices of the Christchurch-based exchange. However, Murton refused to comment on these claims or discuss the suggestion that a portion of the stolen funds have been identified and frozen.

Hacked NZ Exchange Cryptopia Allowed to Reopen

Police officials noted that staff members are cooperating with law enforcement and other government agencies, including the High Tech Crimes Unit. Cryptopia director Pete Dawson was quoted as stating that the information about cryptocurrency transfers has been misinterpreted but he did not say how much digital cash was missing.

Questioned by the local newspaper, Cryptopia founders Adam Clark and Rob Dawson did not provide a timeframe for the resumption of the exchange’s activities. Its website still displays the original announcement regarding the security breach resulting in “significant losses” as well as a link to the press release issued by the New Zealand police.

What are your expectations about the future of Cryptopia? Share your thoughts on the case in the comments section below.


Images courtesy of Shutterstock.


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Tags in this story
Attack, Coins, Cryptocurrencies, cryptopia, Exchange, Hack, heist, Investigation, Law Enforcement, N-Featured, New Zealand, Police, security breach
Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Bulgaria, which sometimes finds itself at the forefront of advances it cannot easily afford. Quoting Hitchens, he says: ”Being a writer is what I am, rather than what I do.“ International politics and economics are two other sources of inspiration.