Incident and Activity Report II

Dear customers, partners and friends of Lykke, 

As promised, I am sending you the second issue of our weekly newsletter in response to the unauthorised access of the Lykke cryptocurrency exchange that took place on June 4. 

First and foremost, I would like to thank you for attending the first Town Hall Meeting last Tuesday. Over 100 people joined the conference call, during which we addressed a wide range of topics, many of which we were able to answer on the spot. You can access a recording of the entire call here. Answers to the questions raised during the call, as well as those submitted to us over the past few weeks, are available here. 

Many of you have inquired about the measures we have taken in response to the attack and our chances of recovering the stolen funds. Let me elaborate on this topic. As reported last week and during the Town Hall Meeting, we have enlisted the expertise of various professionals and secured the services of the blockchain intelligence firm Match Systems to investigate the incident.

Measures were immediately taken to markup the hacker's addresses, trace the movement of stolen funds, and notify key market participants about this incident in order to blacklist the hacker's addresses. 

The hacker exchanged the bulk of the stolen funds for DAI tokens. The stolen funds are currently located on several dozen cryptocurrency addresses belonging to the hacker. 

The IP addresses that were used by the hacker when connecting to the Lykke exchange’s infrastructure and when making transactions on various exchanges have been identified. 

Currently, a series of measures is being implemented in collaboration with the law enforcement agencies to establish the identity of the hacker.

Please understand that, in the interest of the ongoing investigations, we cannot disclose additional details to avoid jeopardizing our efforts. However, we hope to be able to disclose additional information soon.

In parallel, Lykke is working tirelessly day and night to get our systems up and running again, step by step. I appreciate your patience during this time. In our next newsletter, we will share details on the first milestones we have achieved. 

If you have further questions, please send me an email to [email protected]. I will respond promptly. 

With kind regards, 

Richard Olsen 

CEO and founder