Loanbase Bitcoin Exchanger Suffers Security Breach

Loanbase Bitcoin Exchanger Suffers Security Breach

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Loanbase, an international Bitcoin lending platform known previously as BitLendingClub had its systems breached this Sunday.

The security message sent out the the clients by Loanbase notified that hackers had exploited vulnerability in the WordPress blog of the company and accessed user information. The information database consisted of names, phone numbers and email addresses.

Hackers were able to compromise 4 accounts that had disabled Two-Factor Authentication (2FA). They were able to steal approximately 8 BTC ( $3,000). According to Loanbase, bitcoin wallets have not yet been accessed by the hackers and as much as 20 BTC ($7,500) may have been lost at the most. The company promised all the effected customers that their bitcoins will be refunded.

“We’re going to implement additional security procedures, which will help with an earlier detection of such breaches,” said Loanbase.

The company has been criticized by customers for hosting WordPress based website. WordPress is known for being vulnerable to hacking attacks.

Bitcoin trading exchanges have been a hot target of hackers in recent times. In 2015, the affected bitcoin exchange companies included Bitstamp, Chinese company Bter, and Canadian exchange CAVIRTEX  (now KRAKEN).