Europe's biggest bitcoin exchange hacked

Bitstamp, Europe's leading bitcoin exchange, has suspended operations following an apparent breach.

Bitstamp, Europe’s leading bitcoin exchange, has suspended operations following an apparent breach which led to a loss of millions of dollars of the virtual currency.

Based in Slovenia and the UK, Bitstamp has halted withdrawals and advised customers to not make any deposits.
The exchange said that fewer than 19,000 bitcoins (approximately $5m) had been lost after its ‘operation wallets’ were compromised.

The company added that the vast majority of its reserves remained untouched in ‘cold storage’ or held on computers not connected to the internet and away from the reach of cyber attackers.

This follows a previous attack the firm faced in February 2014 which also led to withdrawals being ceased although no bitcoins were believed to have been stolen in that incident.