Technology 3 min read

Either CoinDash was Hacked or They Scammed Their Contributors



Yesterday, just 3 minutes after launching its Initial Coin Offering (ICO), the cryptocurrency trading platform CoinDash was hacked.

$7 Million USD worth of Ethereum was reportedly stolen from CoinDash by an unknown hacker who took over the trading platform’s website–on the same day the company launched its ICO.

ICO is famous in the cryptocurrency environment, and it works almost just the same as IPO. With ICO, startups who wanted to expand would offer coins–instead of shares like in IPO–to participants in exchange for their investments.

coindash token sale
CoinDash Token Sale

Simply put, ICO is a fancy way of raising funds through digital currencies. However, in the case of CoinDash, the experience turned into a total nightmare.

#CoinDash hacked. Investors believe they got scammed by the company!Click To Tweet

How CoinDash was Hacked

According to Motherboard, a few minutes after the Initial Coin Offering began, CoinDash announced to its investors that the website has been hacked and that their funds were stolen.

Apparently, the attackers seized control of the website and changed the Crowdsale address of where the investors should send their funds. To make matters worst, the action was irreversible, making it impossible to retrieve the stolen funds.

“All we know now is that an outside attacker changed the address right after the sale started,” Ram Avissar, marketing director of CoinDash, told Motherboard. Avissar further added that the company has stopped the Token Sale and is now looking for best ways to compensate the affected individuals.

Following the said hacking incident, the company published an official statement on Slack and Reddit. Part of the statement read:

“CoinDash is responsible to all of its contributors and will send CDTs reflective of each contribution. Contributors that sent ETH to the fraudulent Ethereum address, which was maliciously placed on our website, and sent ETH to the official address will receive their CDT tokens accordingly. Transactions sent to any fraudulent address after our website was shut down will not be compensated.”

Screengrab from CoinDash Slack Channel
Screengrab from CoinDash Slack Channel

People online believe that that hacking incident was due to a series of bad decisions made by the creators of CoinDash. The classic dork strikes again.

It appears that instead of sharing their wallet code and letting people know what time it would start accepting Ether, CoinDash opted to post the URL to their website that has a standard code to deposit Ethereum. This move from the crew of the company exposed them from all possibilities of hacking.

CoinDash Hacking Just a Hoax?

Right now, information is circulating in different digital currency forums that the hacking incident is just an elaborate attempt at scamming people.

A peek at the popular Bitcoin Talk forum site clearly shows the disdain of people towards CoinDash.

Screengrab from
Screengrab from

The hacking incident is also a major topic in Reddit. A certain @coinpops posted the following:

Screengrab from Reddit
Screengrab from Reddit

The developers of CoinDash are still trying to calm investors. One of the company’s developers said through Slack:

“All CoinDash investors will get their tokens. We are working to solve the situation.”

Upon checking with, the wallet address of the hacker now holds over 43,400 Ether, amounting to more than $9 million USD.

Do you believe that CoinDash was hacked? Let us know in the comment section below!

First AI Web Content Optimization Platform Just for Writers

Found this article interesting?

Let Chelle Fuertes know how much you appreciate this article by clicking the heart icon and by sharing this article on social media.

Profile Image

Chelle Fuertes

Chelle is the Product Management Lead at INK. She's an experienced SEO professional as well as UX researcher and designer. She enjoys traveling and spending time anywhere near the sea with her family and friends.

Comment (1)
Most Recent most recent
  1. Profile Image
    Michael Calce May 02 at 8:47 pm GMT

    RECOVERYBUREAUC @ GMAIL COM offers the best elite and legitimate cryptocurrency and digital assets recovery service. Just 2 weeks ago I lost all my cryptocurrency about £105,000 in my CoinGate account to a fraudulent investment website and a Ponzi scheme project. This got me depressed and I started looking for a way out of my bad situation fortunately for me I was able to hire the recovery prowess of RecoveryBureauC @ gmail c0m after several search on the web for a reliable service. I wrote this firm immediately and they gave me their recovery procedure which was topnotch. To my greatest surprise within 4 hours I contacted them they were able to recover all my lost and stuck funds on these platform through their high level recovery technique and this was marvelous in my sight. That is why I need to share this amazing service to everyone out there looking for a genuine fund recovery assistance should contact and file a report with RECOVERYBUREAUC Recovery Service now for instant spot on solution.

    WhatsApp: ‪+44 7586 868096‬

share Scroll to top

Link Copied Successfully

Sign in

Sign in to access your personalized homepage, follow authors and topics you love, and clap for stories that matter to you.

Sign in with Google Sign in with Facebook

By using our site you agree to our privacy policy.