Zaif Ready to Bounce Back from Catastrophic Cyber Attack

Zaif is resuming operations under new management after it was hacked for over $60 million last year.

The Japanese cryptocurrency exchange announced on Friday that operations will resume immediately on April 23, the day after paperwork signing over its business to Japanese investment firm Fisco is finalized.

All Zaif services suspended in the wake of the cyber attack will be available at that time.

Seven billion yen in crypto stolen

Zaif lost around seven billion yen ($62.5 million) due to a large-scale hack in September 2018, with losses in the cryptocurrencies Bitcoin (BTC), MonaCoin (MONA), and Bitcoin Cash (BCH).

The cryptocurrency exchange responded by suspending new member registration and putting MONA trading, deposits, and withdrawals on hold. These services will become available once the exchange resumes regular operations.

Zaif has also moved forward with its pledge to refund users who lost assets due to the attack. BTC and BCH holders were refunded with BTC and BCH assets, respectively.

Liquidity issues with the MONA token, however, meant that MONA holders received only 60% of their assets in MONA. The rest of the refund was made in yen at a rate of 144.548 yen per MONA.

Authorities track MONA outflow

The five billion yen ($44.675 million) deal between Fisco and former Zaif owner Tech Bureau was first reported in October of last year, a month after the hacking incident.

IT firm Japan Digital Design, working in conjunction with several other cybersecurity firms, claimed in November 2018 that tracking the flow of MONA from the exchange had helped them identify a possible source of the attack.

The team declined to disclose their findings to the public but stated that all information had already been shared with the proper authorities.