HodlHodl Forced Liquidations Compromised – Bitcoin Magazine: Bitcoin News, Articles, Charts, and Guides

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On August 1st, peer-to-peer bitcoin trading and lending platform Hodl Hodl tweeted that the company was upgrading its security measures and contacting users individually through email. A few hours later, the firm shared it was force-liquidating some contracts in its lending platform, without further explanations. But today, Hodl Hodl released a PGP signed statement explaining the events and apologizing for the lack of proper communication.

“[We] have started migration/liquidation of user contracts to prevent the potential loss of funds,” the statement read. “Unfortunately, our recent internal and external audit identified that some user payment passwords might have been compromised. This affected a limited number of contracts, but we are taking proactive measures to ensure that everyone is safe.”




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