South Korean Court Issues Landmark Ruling on Cryptocurrency Exchange Hacking

A South Korean cryptocurrency exchange, Coinone, has been ordered to pay compensation for losses following a customer account’s hacking.
The Seoul Southern District Court on September 27 found Coinone partly responsible for the incident and ordered an award a lot less than the damages the plaintiff had sought.

Per an account of the incident published in IT Chosun, the customer going by the name Mr. A – joined the exchange plaform in April 2017. As of November last year, his holdings were valued at about 58 million won ($48,300). Most of his funds was stolen on December 23, 2018 and the customer was left with holdings valued at just around 5,982 won.

Trades that were associated with the theft were executed through an IP address in the Netherlands. The customer filed a lawsuit for 58 million won in losses, claiming that the exchange should be blocked transactions from abroad and that it should have blocked any transfer request of over 20 million won.

“The exchange…