Bitcoin at 2-month low after cryptocurrency exchange hack in South Korea

A South Korean cryptocurrency exchange has said hackers have stolen about one-third of the coins traded on its market, an announcement that sent bitcoin prices tumbling to a two-month low.

Coinrail yesterday said hackers stole cryptocurrencies over the weekend including Pundi X, Aston and NPER.

It did not give a value but Yonhap News agency cited unnamed industry sources saying coins worth about 40 billion won (USD 37 million) were lost.

If true, that would make it the biggest cryptocurrency theft reported to date in South Korea.

Bitcoin was trading at USD 6,780 yesterday, down from more than USD 7,500 before the weekend, according to Coindesk, which monitors prices.

Coinrail said it was cooperating with police and suspended trading. News reports said Coinrail, launched in September, was the seventh-largest exchange in South Korea by trading volume.

South Korea has seen a craze over bitcoin and other cryptocurrencies, prompting authorities to try to rein in speculative investment this year by tightening regulations.

Cryptocurrencies still are popular, especially with young investors.