NiceHash reimburses 4,640 Bitcoins to victims

NiceHash reimburses 4,640 Bitcoins to victims of 2017 piracy

  • NiceHash has finished reimbursing the victims of its December 2017 security breach.
  • An apparent spearfishing attack saw more than 4,640 BTCs drain from the company’s portfolio.
  • NiceHash operated with the minimum resources necessary to survive while reimbursing users.

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NiceHash finally finished reimbursing users affected by a security breach in December 2017. The cloud mining company reimbursed a total of 4,640 bitcoins.

The company has been gradually diverting its profits to its users for nearly three years. It launched the repayment process in February 2018.

NiceHash ends 2020 by reimbursing its users

Cloud mining company NiceHash had two reasons to rejoice on Wednesday. Bitcoin’s price finally surpassed its former historical high, which coincided with the completion of refunds to users almost three years later.

NiceHash was reportedly the victim of a “spear phishing” attack on 6 December 2017. The Slovenian company lost 4,640 BTC (about $64 million at the time) of its users’ funds when an employee’s computer was apparently compromised.

According to a press release issued on Wednesday, NiceHash completed its repayment programme on 16 December. Its CEO, Martin Škorjanc, thanked users who continued to trust the company throughout.

In a letter addressed to NiceHash users, mining enthusiasts and the wider cryptography community, Škorjanc described how “consultants and experts” had predicted the mining company’s disappearance into the cloud following the hacking widely reported by the media.

He went on to detail how the company had managed to repay over $100 million at current Bitcoin prices. The company would have operated at the bare minimum necessary for its survival while forgoing profits and transferring the excess funds to the affected users.

Expressing pride in the team’s efforts, Škorjanc wrote:

… This heralds the beginning of a new era of growth and development for us. We no longer owe anything to anyone. We have fully settled all tax obligations and 4,640 Bitcoins are back in our users’ accounts.

“We are immensely grateful to all of you who have not lost confidence in us when it would be the easiest thing to do. You trusted our promise to give you back everything that was lost. Above all, in our ability to keep our promise. “