GateHub Public Statement

As you might already know, on the 1st of June the cryptocurrency wallet service GateHub had been compromised, resulting in the loss of more than 23 million XRP off 100 hacked Ledger wallets. The stolen funds had been transferred to a number of wallets; full writeup of the funds’ travel is provided by the Twitter account XRP Forensics.

As some are aware, 80+ XRP accounts connected to @gatehub have been emptied in thefts the past week, and it appears to be ongoing. Here is our overview of the case. Consider keeping your funds safe by moving your long term holdings to new accounts.https://t.co/FKZxPPduxE

— XRP Forensics (@xrpforensics) June 5, 2019

GateHub also released a statement where they describe the situation in detail.

During that time, we received the information about the hack and took part in the investigation. After establishing the malicious addresses, we took precautions and blacklisted all of the addresses that were connected with the hack. Unfortunately, some of the ill-disposed exchanges were already completed.

On the 9th of June, thanks to our team’s fast and coordinated actions, we have managed to stop a solid number of XRP exchanges that the hackers tried to make through us. The total amount of Ripple that was attempted to be transferred through us is 2,5 million. We managed to retain more than 500,000 XRP. Even though it is an impressive number, we think there could be more to be done on our part.

For the future, our ultimate goal is to stop at least 90% of all stolen funds that are being exchanged through our service. To do so, we are working on improving our risk management system, on building closer connections with the community and crypto investigating officials to react faster and sharper should the situation repeat.

Here’s what’s going on right now:

All stolen exchange deposits retained during the hack have been frozen and are stored on a secure cold wallet. We will be sure to return the funds to GateHub.

We are actively cooperating with GateHub representatives and trying to find the best solution to manage the situation. As always, we are ready to do whatever it takes to make the crypto space a safer space for everyone in it.