Korea's Exchange Hacks: What the Country's Crypto Scene Is Saying

The past two weeks have seen two South Korean exchanges get attacked and robbed, sparking commentary and critique among the country's local cryptocurrency community.

At the time, the popular South Korean cryptocurrency exchange tentatively announced a "Cyber intrusion" that saw the loss of $40 million worth of cryptocurrencies.

One user emphasized the possibility Bithumb may be creating a cover-up by claiming it had been robbed through a hack.

As it stands, the government of South Korea is doing some of the heavy liftings there: the Korea Internet and Security Agency and the Ministry of Science, Information, and Communication Technology are currently in the process of investigating both hacks, but have yet to make any public disclosures on their findings.

South Koreans are no strangers to the riskiness of crypto markets, as just last year, another notable cryptocurrency exchange, Youbit, was hacked for a reported $73 million worth of bitcoin, and subsequently, filed for bankruptcy last December.

Nor are South Koreans quick to accept these incidents as merely cyber-related heists by criminals out for the money.

As reported by the Wall Street Journal, speculation arose around the possibility of the true culprit behind the Youbit hack being none other than their adversarial counterpart, North Korea.

It has been reported from other sources that this is by no means the first time the South Korean National Intelligence Service has suspected North Korea to be behind cryptocurrency hacks as a method to evade financial sanctions.

Still, the avid support of cryptocurrencies in South Korea remains strong, and while the fallout of past weeks events is still taking shape, eyes are not only looking to South Korea, but to the world.

"The price impact that the Bithumb hacking will have is determined by the West's reaction to the incident amplifying Asia's reaction, which then impacts Asia's reaction, impacting the West's reaction, and back and forth."