Vertpig closes after wallet hack, funds still missing

Vertpig, a third party cryptocurrency exchange, allowed users to do easily exchange their cryptocurrencies at market rate for just the trading fee. Now, if you visit https://www.vertpig.com/, you will be greeted with following message.

vertpig

What happened? Why was Vertpig taken offline?

According to the official statement regarding closure, the team became aware of bunch of uncompleted swaps that failed to pay out. The attacker used vulnerability in their system to steal funds from Vertpig’s platform.

One user on reddit still has not received his 6000 VTC and while two have ~500 VTC missing.

I requested a withdrawal of over 6000 VTC from Vertpig, which was “Pending” the entire day. Monday i still hadn’t received the funds and see they announce the exchange is shutting down.

So, I’m guessing my 500 Vtc is just gone?

I think so. I lost about the same amount.

A patch was applied later on and exchange was kept online. Vertpig team approached banks to cover lost funds.

Previous to us becoming aware of this attack, we had been seeking cryptocurrency investment to expand our Swap service. The finance from our bank to cover the lost funds was going to be issued on the basis we found this investment we were already looking for as they felt without this expansion we would not be able to afford the repayments going forward.

However, they were unable to find the investment and on Monday, 22nd October 2018, Vertpig closed down.


Screenshot of Vertpig before closure

TLDR – due to huge amount of withdrawals after the attack + low remaining funds, the Vertpig had to be closed down.