Coincheck heist fallout continues, as Japanese regulators step in

Japanese regulators have entered the premises of digital currency exchange Coincheck…

Japan’s Financial Services Agency (FSA) is continuing its investigations into the theft of around $500m in cryptocurrency from the Coincheck exchange last week. The theft made headlines around the world, not surprising given that it’s the largest theft of cryptocurrency to date, and the sheer amount of money involved. Now, as the investigation escalates, it’s now been revealed that inspectors from the agency have raided the offices of Coincheck, entering its offices earlier today.

The Agency had already suggested that a raid may be forthcoming, and it wanted access to Coincheck’s premises to get some kind of handle on how the exchange responded, in real time, to the theft. Furthermore, Coincheck has been given a deadline of February 13th to come back to the FSA with its own account of what happened, and what it intends to do to assist customers, and tighten its security policies.

Those policies are inevitably under the microscope, given that the funds stolen were being held in an online ‘hot wallet’, as opposed to being stashed offline.

Coincheck has remained closed to trading for the last week, since the digital heist took place. For its part, it’s already promised that it’ll look to reimburse customers for their losses, but has not yet done so. The investigation continues.

Financial Times