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David Sønstebø Informed He Will Repay Victims Of Recent IOTA Hack

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Carlos is an international relations' analyst specializing in cryptocurrencies and blockchain technology. Since 2017, Carlos has written extensively for UseTheBitcoin and other leading cryptocurrency sites; with over 2,000 articles published.

The founder of IOTA David Sønstebø informed that he will take the responsibility and pay the users that were affected by the IOTA hack last month. In this way, he will be giving them 8.52 million MIOTA that were worth close to $2 million. This shows the compromise of some of the crypto leaders in the community. 

IOTA Hack Victims To Get Paid

In a recent conversation with Cointelegraph, David Sønstebø announced that he will be repaying users that were affected by the IOTA Hack in February. Although they were not able to yet launch the network, the main goal is to have it ready for March 10. 

As mentioned before, this is not usual in the cryptocurrency market. In many occasions, users were affected by hacks, and the owners of these affected platforms didn’t take the responsibility on their shoulders. In this case, Sønstebø will be paying from his pocket all the 46 victims of this hack. 

Back in mid-February, IOTA had to shut down the entire network after hackers were able to exploit a massive vulnerability in the official IOTA wallet application. In this way, they were able to steal all the funds. Although law enforcement officials have been involved in the investigation and tracking down the attackers, Mr. Sønstebø decided to take action and repay the victims of this hack. 

After this attack, the price of this virtual currency fell by 26% from $0.27 per coin (MIOTA) to around $0.20 per coin. Since that moment, the digital asset grew by 7.5% to $0.215. At the time of writing this article, IOTA has a market capitalization of around $600 million and it’s the 24th largest virtual currency in the world. 

After the attack, the IOTA team started to work on a new Trinity wallet application to solve the issues that hackers were able to exploit in the current hack. 

Regarding the funds that Sønstebø will be giving, he commented:

“This is definitely a lot of money, but if my primary motive was money I have had ample opportunity over the last 2 years to maximize my profits. I have not. For me, the chief goal is to build this future, based on our vision.”

IOTA is working in order to create a truly decentralized, scalable and fee-less blockchain network that would be able to power the autonomous future and permissionless innovation in different industries. 

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