Bitcoin Exchange Offers $250,000 Reward for Information Regarding hackers

A bitcoin exchange has offered a reward amounting to $250,000 (£180,000) for information that will lead to the arrest of the hackers who attacked its platform last week.

Yesterday, Binance, a cryptocurrency exchange platform, announced the reward following the hacking attack attempt on the 7th March which it dubbed as a “large-scale, organised effort”.

Binance said that in addition to the $250,000 reward, which would be paid in the form of cryptocurrencies, it has also has established a cryptocurrency reserve fund amounting to $10m to pay rewards in case of hacking attempts in the future.

Binance said that the reward would be given to “anyone who supplies information that leads to the legal arrest of the hackers involved in the attempted hacking incident on Binance.”

The exchange said that the hackers were able to obtain user logins and passwords via so-called phishing attacks and then tried to transfer bitcoin from the affected accounts to their own accounts.

However, the platform stated that its automatic risk management system was prompted by the unusual trading activity and the hackers were not able to make any withdrawals from their accounts.

Binance stated that it had established the said reward as part of a proactive effort to defeat the hackers.

In a post on its website, it said: “To ensure a safe crypto community, we can’t simply play defence. We need to actively prevent any instances of hacking before they occur, as well as follow through after-the-fact.”

Last January a Japanese cryptocurrency exchange, Coincheck, was hacked with $534m worth of currency stolen.

Over a quarter of a million users were affected by the said hack, with the hackers stealing the cryptocurrency NEM during the raid.

The company said that the company would reimburse the victims out of its own coffers.