$356 million in cryptocurrency stolen in first three months of 2019 – The Next Web

Cryptocurrency thieves earned at least $356 million in the first quarter of 2019, which could see the industry face a billion-dollar money laundering problem by year’s end.

Payments from US-based exchanges to offshore cryptocurrency wallets also increased 46 percent over the last two years, analytics firm CipherTrace reports with new research.

“Once these payments reach exchanges and wallets in other parts of the globe, they fall off the radar of US authorities,” said CiperTrace. “This highlights a major regulatory blind spot for the US.”

Five cryptocurrency exchanges hacked

Thieves stole $16 million from long-serving digital asset exchange Cryptopia in January. Singapore-based exchanges CoinBene and DragonEx lost a combined $46 million dollars worth of Ethereum-based tokens through attacks disclosed in March.

CoinBene is a particularly curious case. Following original reports, CoinBene’s parent company claimed user funds were 100-percent secure – and promised any potential victims would be compensated should that change.

CipherTrace investigated by checking CoinBene’s ‘hot wallets.’ It discovered $105 million in cryptocurrency had been sent to other platforms during the period of the alleged hack (March 25 to 28), mostly to embattled exchange EtherDelta.