Bitcoin Payment Processor EgoPay Suffers Blow to its Ego: Confirms Hacking
Apparently EgoPay has had a nasty blow to its... ego. After freezing funds and bringing its operations to a temporary halt last week, the company has confirmed that it has been the victim of a massive hack, and ultimately, an insider is suspected. Back in December, Lithuania-based exchange GOLDUX.com made the claim that the company had indeed been the victim of a hacking, but EgoPay refused to support such a claim... Until now... The company verified the hack in a recent blog post, and later went on to discuss the event further by saying: "False values were made available in the merchants....
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Payment solutions company Payeer has shown CoinDesk evidence that it has $185,503.32 and €5,460.75 in a frozen wallet with EgoPay. Electronic payment processor and gateway EgoPay has frozen accounts belonging to a number of its clients, including cryptocurrency exchanges such as BTC-e and Bitmarket.pl. BTC-e told CoinDesk that EgoPay is denying it access to $80,000 of its funds having placed this sum in a "frozen wallet". Slovakian cryptocurrency exchange GOLDUX.com confirmed $7,183 of its funds are also being withheld by EgoPay, which is based in Lithuania and registered in Malta. The....
EgoPay, a Bitcoin payment processor, has ceased all trading, with unconfirmed reports that founders of the company have stolen millions from customers. Merchants began to report problems in Late December when they started to have problems with the company's API, which was returning faulty transaction notifications. When early January hit, users reported funds were frozen in their accounts with a typical response from EgoPay:
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