Hackers might find it difficult to turn stolen XEM coins to real money, according to the NEM Foundation.
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The hackers took out around 500 million XEM on January 26, 2018, 3:00 am Japan time. Initial reports suggested that these coins are now on the move. However, in a statement released by the NEM Foundation, it confirmed that the XEM coins are not yet moving or being transferred to exchanges.
“None of the stolen funds have been sent to any exchanges. As long as those funds are off public exchanges they will be very difficult to liquidate, especially in large amounts,” – NEM Foundation
This is in contrary to a previous Reuter’s report that the hackers were trying to move the stolen coins into six different exchanges to sell them. According to NEM Europe promoter Paul Rieger, this information was not entirely accurate.
“There were eleven 100 XEM transactions from one of the hacker accounts to “random” accounts. Nothing was sold. There were also no attempted transactions to exchanges.” – Paul Rieger, NEM Foundation subsidiary member
NEM is tagging accounts with stolen coins. He also shared that the team developed a system that can automatically alert exchanges should ever these coins arrive at their platforms.
Early Reports of XEM Coins Being Moved
The Japan News reported that the stolen XEM tokens were transferred to 20 accounts in the five days it’s been illegally pulled from Coincheck. Currently, the Metropolitan Police is investigating if these transfers are a possible attempt to slow down the investigation.
NEM at its peak
When the hacking occurred, Coincheck did not immediately address the situation, causing the price of XEM to shoot down. However, when Coincheck mentioned that they will be paying affected users with fiat money, the swift action may be related to why the value of XEM shoot up around that time ($1.22 per token).
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