Bitcoin hacker Canadian: $83,000 in Digital Coins Stolen from Foreign Networks

Hackers Purloin $83,000 in Digital Coins from Foreign Networks

Las Vegas, Nevada – Cyber hackers were successful at picking the pockets of bitcoin mining networks. The hackers were able to conduct their operation from February through May of this year piggybacking on a Canadian ISP for their stealth activity. The theft allowed them to steal $83,000 in digital bitcoins. The activity stopped once the ISP was notified of the intrusion and put an end to it. Among the bitcoin hosting networks that were hacked were those was the telephony & VOIP company called OVH based in Roubaix, France. Amazon had bitcoin hosted servers hacked as well.

It is believed that the origin of the hackers has been traced as per a spokesperson with the Canadian ISP. The statement was made during a security conference members of the ISP were attending. The ISP is reasonably confident the operation was the result of a lone hacker based in Canada and may have been the work of a disgruntled former employee of the company. However, another security researcher holds out the possibility the hacker(s) may have operated from another nation. That possibility is backed up by the reality that a cyber-attack can be conducted from any location globally as long as the hackers have secure access to the site they are exploiting.

The hacker was successful at gaining access to a total of 19 ISP networks which were used to stage successful hacks into 51 networks. Along with the bitcoin haul, the thief scored some currency in dogecoin. Oddly enough, the operation was working in stealth until March when Joe Stewart, Malware Director at data security group SecureWorks, realized that someone was stealing his own personal mining.

Pat Litke, a security researcher at SecureWorks, said the firm is “fairly confident” the attacks came from Canada, but the hacker may be based elsewhere.

“To execute the cyberattack, you literally can be anywhere in the world, as long as you have privileged access,” he said.

Anthony Di Iorio, executive director of the Bitcoin Alliance of Canada, told City News, those affected will likely never recover their bitcoins from the hacker.

“He’s pretty good at covering his tracks,” Di Iorio said. “The chance of prosecution is very low.”

He added that the incident indicates an issue with cyber crime in general, though not necessarily Bitcoin itself.

“This was a security flaw with third-party services,” he said.

“People use cash every day and lose cash. There’s nothing you’re going to be able to do to get it back.”

The hacker is said to be very good at concealing his activity. As far as the cash the thief made out with, it’s not likely anyone will be able to get it back.

Hackers Purloin $83,000 in Digital Coins from Foreign Networks

Hackers Purloin $83,000 in Digital Coins from Foreign Networks

Reference:

http://www.calgaryherald.com/business/Hacker+used+Canadian+Internet+provider+steal+Bitcoins/10109036/story.html



Jason is a native of Calgary but now spends his days on the East Coast in Port aux Basques, Newfoundland.

Jason has been working part-time for eCanadaNow since 2010.Jason mostly covers sci/tech stories as well as entertainment news.

Prior to his work writing and editing for eCanadaNow, he worked in sales and marketing. You can email Jason at {Jason at ecanadanow.com]

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