8 votes

Bitinstant Was Hacked

A Bitcoin transaction services company says that hackers broke into one of its brokerage accounts last week, nabbing more than $12,000 worth of the digital currency.

That attack knocked Bitinstant offline over the weekend. The company says that while it lost Bitcoins, no customers were affected by the hack.

The criminals were able to take control of Bitinstant’s internet domains by convincing its domain registrar, Site5, to hand over control of the company’s Domain Name Service, or DNS. “Armed with knowledge of my place of birth and mother’s maiden name alone (both facts easy to locate on the public record) they convinced Site5 staff to add their email address to the account and make it the primary login,” the company said Monday in a blog post detailing the incident.


Sorry about the previous title, totally due to ignorance.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.

Where's Byotch-coin, alternative currency for da Hood?

Oh, forget about Bitcoin! Where's Byotch-coin, alternative currency for da Hood?

Byotch-coin is backed by cars, bling, and ho's.

[According to Chris Dorner cars, bling, and ho's are the chief stables of wealth in the Hood.]

THE MAN's got no involvement in Byotch-coin.

Best of all, nobody's gonna hack Byotch-coin and risk getting smoked.

"Cowards & idiots can come along for the ride but they gotta sit in the back seat!"

Thanks for the Correction!

This will only lead to more security while magnifying the increasing demand.

Thanks for the post.

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees


If you lay it on that thick, you're only hurting your own position.


I mean not to sound mean. I bet your an Awesome person.

Please learn about bit coins. I don't think you know enough.

Good luck!

Go Rand!

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees


At least you stopped laying it on. Ha.

BITCOIN was not hacked

You even state it in your post, it was a Bitcoin transaction company. Meaning someone like you or me with a bitcoin wallet acting as a corporation who sells them for real world money (AKA monoply money).

It was someones bitcoin wallet that was 'hacked' simply by someone getting the login details. No bitcoins were actually created or destroyed in this incident.

bad title


Not Bit Coin just a new company.

The title is either misleading to catch attention or do to ignorance.

Yeah man it was hacked over the weekend 12k frn's worth (the price of a car).

This was bitinstant's fault. They should of double encrypted their service. they will learn from their mistake.

I for one do not like bitinstant, mtgox.. or anything that asks me for my identity.

Purchase them in person from an individual or any way that does not ask for your identity.

This is actually good! This means that there is Demand and that the hackers sought it worth while to hack.

This is actually great news!!! Thanks for the post!!!

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees

That's not a "hack". It's

That's not a "hack". It's social engineering. The most secure code in the world can't stop some clueless tech support person from giving away the keys to the store.

The verification was place of

The verification was place of birth and mother's maiden name, both easily accessible public information.

And it's irresponsible for

And it's irresponsible for the registrar to use those pieces of info for authentication purposes. You could make a case the registrar was "hacked" (still not the correct term, but whatever...) but bitcoin wasn't.

I thought everyone said it

I thought everyone said it was hack-proof?


Again it is not bitcoin. Bitcoin is an open source encryption that is decentralized. in order to "hack" bitcoin they would have to first trace 50% of all of the wallets in the world - IMPOSSIBLE.

Y'all need to go do your home work and learn about bit coins... your missing the boat.

What was hacked was one of the many sites that offers a service. They will learn from their mistake.

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees


You'd think that'd be obvious to everyone. The fact that the parent comment was upvoted so much makes the forum seem silly.

Check out http://ronpaulforums.com for activism and news.



"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees

Yeah, I'm just not sold.

It feels like Amway, minus the soap.

This is the article that got my posting privileges revoked:


Thank you very much. Great stuff.