Watch FIFA World Cup 2026™

LIVE, FREE and EXCLUSIVE starting June 12 2026

Bitcoin bank Flexcoin shuts after theft

A Canada bitcoin "bank" says it's been hacked with nearly $US600,000 worth of bitcoin stolen, so it is closing down.

T

An alleged theft by hackers has forced another online business serving bitcoin traders and investors to shut down.

Flexcoin, which billed itself as a bank for the virtual, crypto-currency, on Tuesday said someone attacked its systems and stole nearly $US600,000 ($A674,271) worth of bitcoin.

"On March 2nd, 2014, Flexcoin was attacked and robbed of all coins in the hot wallet. The attacker made off with 896 BTC," the company posted on its website.

"As Flexcoin does not have the resources, assets, or otherwise to come back from this loss, we are closing our doors immediately."

The company, which took deposits of bitcoin but was not regulated, insured or guaranteed like regular banks, said it would return bitcoins to verified customers who put them in its "cold storage".

News that makes sense

Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

The company, located in Alberta, Canada, said it "will attempt to work with law enforcement to trace the source of the hack".

The closure came just two weeks after the collapse of the Japan-based Mt Gox, which at one time was the world's largest bitcoin exchange.

Mt Gox said unknown hackers exploited weaknesses in the computer coding and security that underlies bitcoin and stole some $US500 million in worth from it.

Also on Tuesday a small bitcoin exchange, Poloniex, reported a theft, according to statements on an unverified Twitter account and a posting on the widely used Bitcoin Forum.


2 min read

Published

Updated

Source: AAP


Share this with family and friends


Get SBS News straight to your inbox

Sign up now for daily news from Australia and around the world. You can also subscribe to Insight's weekly newsletter for in-depth features and first-person stories.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Follow SBS News

Download our apps

Listen to our podcasts

Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS

SBS World News

Take a global view with Australia's most comprehensive world news service

Stream now

Watch the latest news videos from Australia and across the world