Japanese Crypto Exchange Zaif will resume its Operations Seven Months After Hack

Apr 22 2019

Last one year has become very much crucial for the Crypto Market. Various Crypto Exchanges have closed their operations. While various countries have accepted blockchain and implemented in different sectors of society.

Japanese Crypto Exchange Zaif declared that the transfer of the business from Tech Bureau to Fisco Digital Asset Group (FDAG) will become effective on April 22 and all the standard activities will resume on the next day. The news has been published by CoinTelegraph Japan on April 20. 

Before seven months, i.e. in September 2018, hackers broke into the Zaif Exchange Crypto deposits present in the hot wallets connected to the Internet. They have stolen Bitcoin(BTC), Bitcoin Cash(BCH) and Monacoin(MONA) from the exchange worth 6.7 billion yen (around $60 million) and then sell off the coins on other exchanges. 

After the hack, Zaif declared that it was purchased by "investment support services firm" FISCO from Tech Bureau and it was going to repay users whose coins were lost in the hack.

During the acquisition, Zaif said,

“On 10 October, the Company concluded the business of our virtual currency exchange Zaif with the Fiscal Virtual Currency Exchange Co., Ltd…By concluding a formal contract, the business that manages our virtual currency exchange will be transferred and will be succeeded to the FISCO virtual currency exchange corporation…”

With the latest acquisition, FDAG offered financial support of 5 billion yen (around $44.6 million) to Zaif Exchange and acquired majority of shares of the company. 

According to the terms of the acquisition, Zaif Exchange said, "the agreement between us and the customer will be transferred from our company to the FISCO Virtual Currency Exchange Co, Ltd. by business transfer…and all preexisting terms will be honored, including a provision regarding ‘right to request return of Japanese yen or various currencies deposited."

According to the reports, sale of exchange is mainly a part of the plan to compensate the users who lost Monacoin in the hack after the sale of the business. All these users will be repaid 40% in the Fiat Currency and 60% in Crypto.

Comments