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Cryptocurrencies Valued $45 Million Stolen From Dreamhost Founder

Jyoti Singh by Jyoti Singh - 04:04 PM Feb 22, 2020
Cryptocurrencies Valued $45 Million Stolen From Dreamhost Founder

A Chinese Investor, who appears to be Dreamhost founder, Josh Jones, has become the victim of SIM hacking, as one of the hackers stole almost $45 million worth of cryptocurrencies from his wallet.

According to a report, the hacker stole a large sum of Bitcoin and Bitcoin Cash from the victim’s account. The report further stated that the culprit transacted the funds from the victim’s address and then split them into the coins so that no one could identify it.

2-Factor Authenticated Messages And E-mails Are Prone To Be Hacked 

As per the report, Jones asked the BCH miners to not validate the transactions through his Reddit Post, which he later deleted.

Later, the founding partner at crypto asset fund Primitive Ventures, Dovey Wan, while criticizing Jones in her series of tweets, mentioned that he should not have kept a large number of cryptocurrencies in his wallet.

Recently, while explaining how the hacker would have stolen the crypto coins, the proponent of BCH, Roger Ver, said, “When they steal your phone number used for 2FA. This is usually done by social engineering the phone company.”  It has been stated that 2-Factor Authentication-based messages or e-mails could easily be hacked with the help of the central server and hardware theft. The report also mentioned that people could use cold storage to prevent their coins and despite, saving the passphrase in any device, the people should memorize it. According to the report, the SIM provider was also equally responsible for hacking, because he was negligent towards SIM security and for this Jones could sue him.

Why The Idea Of Bitcoin Rollback Is Bad?

Back in the year 2019, the CEO of Binance Changpeng Zhao discussed the matter related to the fraud of 7000 bitcoin, valued approximately $40 million. While holding a public discussion online, Zhao asked the people whether his company should make an attempt to convince the network stakeholders to roll back bitcoin’s transaction. Many people did not support it, because, if they had destroyed their coin’s credibility for bitcoin, then they would have faced its negative consequences also.

About The Author
Jyoti Singh

Jyoti SinghGraduated from GGSIPU and did PG Diploma in English Journalism from IIMC. Last worked at Business News and Information Services Ltd. for more than one and a half years as a sub-editor.

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