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NiceHash CEO Resigns in Aftermath of $65 Million Hack

Last Updated March 4, 2021 5:03 PM
Francisco Memoria
Last Updated March 4, 2021 5:03 PM

Last month, as CCN.com reported, Slovenia-based cryptocurrency mining marketplace NiceHash was successfully breached, resulting in the theft of roughly 4,700 bitcoins, worth about $65 million. At the time users noticed the marketplace’s website had gone offline for an abnormally large period of time before the company revealed what had happened.

Later on, the company’s website came back, and in a letter sent to users the company revealed it would be giving users their money back. According to NiceHash, it will only be possible to restore the funds thanks to a “group of international investors.”

Shortly after the attack was public, the company’s CEO Marko Kobal, along with co-founder Sasa Coh, addressed user concerns through a Facebook livestream. In it they stated the company’s success made it a target, and added that someone “really wanted” to bring them down.

Notably, through LinkedIn , CEO Marko Kobal recently announced his resignation. He wrote:

“As you are aware, since the recent security breach we at NiceHash have been working round the clock to rebuild our internal systems as well as management structure. I shall now stand aside and allow new management to lead the organization through its next, exciting period of growth – therefore I decided to resign as CEO of NiceHash.”

Kobal showed confidence in the company’s ability to further develop its services, so much so he said he expected to see the company prosper in the future. At the end of his announcement, he thanked his colleagues and the cryptocurrency community for the support he’s been shown since the beginning of NiceHash. He continued, adding:

“I wish you all the very best for the future – a future which shall see NiceHash continue in its progressive trajectory so that it becomes and remains the mining marketplace of choice for millions of users.

Following the security breach and CCN.com’s report, NiceHash has since revealed  a few more details on how user balances will be restored. Per the company, the exact date of reimbursement will be announced by January 31, 2018, as an interim period is required to ensure legal paperwork is properly processed.

Moreover, the company revealed balances lower than 0. 0001 BTC will be written off, and that funds deposited after the breach “should be safe,” and will automatically be sent back. Users using NiceHash Miner were also asked to immediately update their wallet addresses.

Regarding the ongoing investigation, the company noted that police and a cyber forensic team are working on the case. It added that, while wanting to be as transparent as possible, it can’t disclose every detail “for obvious reasons.”

Featured image from Shutterstock.