Russian cryptocurrency exchange Livecoin has announced a complete shutdown following an alleged hack in December 2020
According to Livecoin’s homepage, the exchange is unable to continue operations due to financial and technical damage caused by an alleged cyber attack that targeted its servers in late 2020. Livecoin announced the closure on Jan. 16 on Twitter, sharing its new domain „Livecoin.news.“ At the time of writing, Livecoin’s previous domain (Livecoin.net) is unavailable.
Livecoin assured that it has plans to „distribute the remaining funds“ to its customers, asking users to contact the exchange via email to complete verification. To initiate the process, Livecoin users must send their username and date of registration to the platform.
The exchange promised to provide detailed instructions in a comment, stating that refund requests will be accepted until March 17, 2021. „After this date, no new requests will be accepted,“ Livecoin explained. The exchange did not specify when this refund will occur.
In addition, Livecoin warned users about unofficial chats that may spread false information and try to scam users. „By participating in these groups you run a high risk, as we have no group,“ Livecoin wrote, clarifying that its website is the only source of official information. The company added that an investigation into the incident is ongoing.
Livecoin halted operations on December 24, saying that the exchange had suffered a „carefully planned attack“ and had lost control of all its servers as a result.
During the incident, hackers managed to take over Livecoin’s infrastructure and change the prices on the exchange to extremely high values. Because of this, the price of Bitcoin (BTC) on Livecoin had exceeded $300,000 when in fact at the time its market value was $24,000. Subsequently, some users suggested that the „hack“ to Livecoin’s detriment might actually be an exit scam.
While Livecoin urges people to stay away from media channels, its customers are trying hard to recover their funds in the exchange’s unofficial Telegram group. Some have speculated that Livecoin’s latest ad may have been released by hackers, while others have filed complaints with local authorities.
Certain users have refused to send their personal information to Livecoin due to privacy concerns. One alleged customer of the exchange provided a list of data required in Livecoin’s refund process, including passport scans, residency information, high-resolution selfie, data on the first transaction made on the exchange, devices used to access the platform, and a video of the withdrawal of the first incoming transaction.