Bitgrail Plans To Refund Hacked Users With Self-Issued Token, But Not Allowed To Sue

Bitgrail Plans To Refund Hacked Users With Self-Issued Token, But Not Allowed To Sue
Italy-based exchange Bitgrail claims it will refund stolen Nano if users dont pursue legal action.

Italy-based cryptocurrency exchange Bitgrail announced that it promises to refund Nano (XRB) tokens stolen in a February hack amounting to $195 mln, so long as users sign an agreement to forgo any legal action, Bitgrail announced March 14.

In a press release on its website, Bitgrail said that, the use of the platform for the victims of the theft will be bound by the signature of a settlement agreement. The latter will be characterised by an expressed renouncement from the users to every type of legal action, and will have to be formalized through the compilation of a form.

Bitgrail will not take responsibility for the security breach, stating that instead the fault lies in Nanos software. The press release continues, stating that there is an ongoing investigation to establish that Bitgrail is not at fault and is the victim of a theft:

BitGrail S.r.l intends to stress having been subject to theft, a crime made possible by taking advantage of faults in the team NANO's softwares and therefore, for these reasons and in accordance with the law, it is not in any way responsible for the situation.

Bitgrail intends to pay back its users by creating a token, Bitgrail Shares (BGS). The users who were affected by the theft were refunded 20 percent of their lost amont in XRB, with the remaining 80 percent to be covered by BGS.

Following the Feb. 8 hack, neither Bitgrail not Nano wanted to claim responsibility for the hack. Founder and operator of Bitgrail, Francesco Firano, stated that the issue originated from the timestamp technology of Nano and that the block explorer of the cryptocurrency was not reliable. Firano claimed the unreliability of the Nano block explorer made it impossible for the company to discover what happened.

Troy Retzer of Nano, explained to Cointelegraph that the Nano Blockchain network conducted a resynchronization of its nodes on January 19, providing every block before the the date of the theft with a timestamp.

Firano also alleged that Nano made disparaging remarks about Bitgrail, accusing the exchange of insolvency and negligence.

Retzer answered thеse allegations saying, It is difficult for us to help solve the situation due to a lack of information on the alleged hack. Retzer claims that Bitgrail failed to clarify basic details including the actual amount of stolen XRB tokens.

According to the public Blockchain explorer for Nano, Bitgrail used a hot wallet to store XRB, which is vulnerable to hacks and cyberattacks.

16.03.2018 / 16:00 109
Bitgrail to Refund Hack Victims with Newly Created BGS Tokens Bitgrail to Refund Hack Victims with
Bitgrail has denied responsibility for the recent hack that saw the theft of 17 million XRB, or Nano, in comments made in a Telegram group for
Coincheck Completes $430 Million Customer Refund Coincheck Completes $430 Million
Coincheck reported today that all 260,000 customers affected by the late January hack have been compensated and that the exchange has resumed some of
Japanese Exchange Coincheck Begins JPY Refunds for NEM Hack Victims Japanese Exchange Coincheck Begins JPY
As of today, Tokyo-based Coincheck has begun distributing reparations to users impacted by the infamous late January theft of some $530 million in
Nano Price Holding Key Support at $10.00 Nano Price Holding Key Support at $10.00
Moreover, there is a key bearish trend line forming with resistance at $12.00 on the 1-month chart of the NANO/USD pair. Therefore, a break and close
Binance CEO: All Irregular Trades Reversed, Hackers Lost Coins Binance CEO: All Irregular Trades
Binance CEOChangpeng Zhao has claimed all fraudulent trades that occurred on Wednesday have been reversed. Suspicions were high earlier this week
Coincheck Exchange to Compensate Hack Victims From Next Week Coincheck Exchange to Compensate Hack
Japanese cryptocurrency exchange Coincheck has announced it will start compensating customers that suffered losses in its January hack starting from
Comments (0)
Add a comment
Comment on