Bitcoin 'bank' loses $1.3 million after mysterious hacking attack

[InfoSec News <alerts () infosecnews org>]

http://news.techworld.com/security/3481490/bitcoin-bank-loses-13-million-after-mysterious-hacking-attack/

By John E Dunn
Techworld
08 November 2013

The teen owner of an Australian ‘bank’ that reported the theft of 4,100 
Bitcoins (BTC) now worth $1.4 million Australian dollars (£820,000 or $1.3 
million USD) has denied accusations that their loss was some kind of inside 
job.

Using the nickname ‘Tradefortress’ to protect his identity, the unnamed 18-year 
old told ABC News that hackers had broken into his site inputs.io on 23 and 26 
October and stolen the currency from his digital wallet in two chunks.

The site was no longer able to pay the balances to the BTC owners, a message on 
the site said although separate reports in the Australian media claim that 
input.io’s owner had originally planned to reimburse owners using his own 
Bitcoin holding.

“The attacker compromised the hosting account through compromising email 
accounts (some very old, and without phone numbers attached, so it was easy to 
reset). The attacker was able to bypass 2FA [two-factor authentication] due to 
a flaw on the server host side,” the message continued.

[...]

--
Find the best InfoSec talent without breaking your
recruiting budget! Post a Job, $99 for 31 days.
Hot InfoSec Jobs - http://www.hotinfosecjobs.com/