South Korea is one of the biggest markets for trading in digital currencies but the boom in their popularity has forced the government to tighten regulations, following similar moves in other countries. NY time on Friday and was trading at US$6,782.42 as of 10:30 a.m.in London on Monday, bringing its decline since December 29 to 53 per cent.
Executives announced that roughly 30 percent of the tokens the exchange was housing have been taken, which amounted to almost $20 million worth of NPXS (Pundi X) tokens, $14 million of Aston X, $6 million in tokens for Dent and over $1 million TRON.
It's not uncommon for cryptocurrency exchanges to get hacked and the losses often run into tens of millions of dollars.
Global policy makers have warned investors to be cautious in trading the digital currency given the lack of broad regulatory oversight. Exchanges in South Korea have a history of being hit by cyberattacks.
The remaining coins within Coinrail seem to have been secured by Coinrail through the migration of assets onto cold storage wallets.
Matthew Newton, analyst at eToro, said: "The hack in South Korea may have fired the starting gun on yesterday's price drop".
The statement also said the exchange is fully cooperating with a police investigation into the hacking, and that trading has been suspended for now.
Coinrail confirmed on Saturday that it had been the victim of a hack and as a result coins were lifted from its systems. "The company wasn't immediately available for further comments".