Tether, the company behind a cryptocurrency that’s pegged to the U.S. dollar, disclosed in a now-deleted announcement that hackers transferred almost $31 million worth of tokens from its treasury to an unauthorized bitcoin wallet on Sunday. Tether claims it has updated its software to prevent the tokens from leaving the wallet and is ultimately seeking to recover them. The stolen cryptocurrency will not be redeemable for U.S. dollars.
Of course, when there’s money to be made, thieves will inevitably come to exploit the system. In 2011, an anonymous netizen with the screenname allinvain claimed that someone had stolen around 25,000 of his or her bitcoins, which would have constituted an approximately $500,000 loss at the time. Three years later, a high-profile robbery hit a bitcoin exchange platform based in Japan called Mt. Gox. A hacker with a Hong Kong IP address broke into a user account that held a significant amount of the currency and managed to abscond with $8.75 million in Bitcoin.
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