How ChangeNOW Helps To Return Money to Where It Belongs
Last week, on 12 November, ChangeNOW returned the missing 600,000 MATIC to Eterbase. The money is a part of the funds lost by Eterbase as a result of a prominent 2020 hack. ChangeNOW.io helped the exchange platform to recover some of its lost cryptocurrency and refunded the Polygon coins that grew 100 times in their value during the year and are now worth about $1M.
This case is only one of the examples when ChangeNOW has helped to return money to their rightful owners and restore justice. I would like to recount other instances where ChangeNOW has proved its responsibility. Let’s briefly review the most interesting of them.
The Return of $500K Worth of Crypto to Bithumb
Back in March of 2019, a major South Korean crypto exchange platform, Bithumb, lost around $13M worth of EOS and $6.2M worth of XRP due to a hack supposedly performed by one of the company’s employees. A large part of the stolen funds was sent to multiple crypto exchange services, including ChangeNOW. Bithumb informed ChangeNOW about the hack, and our risk management system was able to stop suspicious EOS and XRP transactions in time and retain altogether around half a million US dollars worth of crypto. After that, the sum was frozen and stored on one of our cold wallets for some time until we received a necessary request from law enforcement and returned the funds to Bithumb.
ChangeNOW’s Return of Misdistributed $15M Worth of COMP Back to Compound Finance
On 30 September of this year, ChangeNOW’s secure AML system flagged a suspicious transaction that involved 45,505 COMP. On the same day, Compound Finance suffered an upgrade problem that led to around $80M worth of COMP tokens being distributed to the platform’s random users. We found out that our customer was one of the possessors of the wrongfully distributed tokens. We took the initiative to ask the user to return the crypto to Compound. The customer agreed to do so and even refused to keep the 10% white-hat reward that Compound CEO Robert Leshner offered to all who return the tokens. That’s how ChangeNOW contributed to Compound Finance recovering some of their lost funds.
ChangeNOW Contributes to Eterbase’s Recovery by Returning $1M Worth of MATIC Back to the Platform
About a year ago, on 7 September, 2020, a Slovakian crypto exchange service, Eterbase, was hacked for cryptos, worth around $5.4M that time. Six platform’s hot wallets containing different cryptocurrencies were compromised. Some of those funds ended up in various exchange services. On the same day the cyberattack happened, ChangeNOW blocked a MATIC-BTC transaction that involved a reportedly malicious address. It turned out that the 600K MATIC coins that were supposed to be converted to Bitcoin, were a part of the Eterbase’s stolen money. ChangeNOW froze the funds and waited for the owner’s refund request for about a year before initiating cooperation with Eterbase themselves. On 12 November of this year, after close collaboration with Slovakian police, ChangeNOW successfully returned the crypto amount to the Eterbase exchange. It is worth noting that the Polygon coin’s value has increased by almost 100 times during the year, and 600,000 MATIC are now worth about $1M.
Honorable Mention to the Doge Case
Even though this case is not connected to an exchange hack or a maldistribution of coins, I thought it would still apply to the discussed topic and prove ChangeNOW’s loyalty to its customers. So, many of you probably remember the crazy DOGE coin hype following Elon Musk’s tweet in the beginning of this year. In the last days of January 2021, when DOGE hit its new ATH reaching $0.082 per coin, an enormous number of people stormed to exchange their cryptos. Exchange platforms couldn’t handle so many transaction requests and temporarily had to stop their operations. ChangeNOW was one of the exchange services that stood the longest, but in the end, still had to give up. On 29 January, when ChangeNOW could process crypto exchanges again, and the rates had changed dramatically, our team had to make a hard but necessary decision and finish all the DOGE transactions at a fixed rate so that users do not lose their money. This way, ChangeNOW had to suffer significant losses from the incident, but provided their customers fair exchanges and learned some important lessons.
These are just some of the examples of ChangeNOW.io trying to restore justice in the crypto space. We think that for us as a crypto exchange service it is always important to provide our customers with fair and secured transactions and help the crypto find its way to where it rightfully belongs. We believe that in the rapidly changing world of digital money, reputation is the key point to take care of for crypto platforms. Hopefully, by our example of dealing fairly with such delicate situations, we can prove that crypto services can be very trustworthy, and cryptocurrencies are not something that people need to avoid.