December 3, 2021

ShapeShift Exchange Accuses Former Employee of Stealing Bitcoins …

ShapeShift Exchange Accuses Former Employee of Stealing $ 900,000 Bitcoin

The ShapeShift cryptocurrency exchange filed a lawsuit against Mukhiddinov Azamat, who was hired as a senior software developer in August 2018. According to the plaintiff, Mukhiddinov installed a malicious program into the corporate system and with its help brought bitcoins to his personal wallet. Thus, from November 2019 to May 2020, he allegedly took possession of 90 BTC.

“Simply put, someone stole $ 900,000 in bitcoin from ShapeShift by wire transfer,” Decrypt is quoted as saying. The exchange claims that it committed “a colossal amount of internal and external resources” in May to find the source of the problem. Suspicion fell on Mukhiddinov.

Subsequently, Mukhiddinov pleaded guilty to theft, but said that he had spent part of the money or withdrawn it into dollars. “Accordingly, Azamat could not pay the entire amount, estimated at approximately $ 900,000, in the form of bitcoins. Part of the amount required payment in traditional currency or in the form of another cryptocurrency, ”writes ShapeShift.

ShapeShift exchange accused former employee of stealing $ 900,000 of bitcoins ShapeShift cryptocurrency exchange ...

A few hours after pleading guilty to the exchange, he handed her a gym bag with $ 31,900 in dollars and transferred 60 bitcoins. The rest of the funds were returned in smaller amounts. “In the end, Azamat returned, in one form or another, all the $ 900,000 he had stolen in bitcoins,” the company adds..

ShapeShift exchange accused former employee of stealing $ 900,000 of bitcoins ShapeShift cryptocurrency exchange ...

Now ShapeShift wants to recover from Mukhiddinov compensation for the costs associated with finding the thief. Because of the incident, the exchange employees had to work overtime and rewrite the code, as well as generally clean the system of possible exploits. In addition, this delayed the release of the mobile application by two months and forced the company to temporarily shut down the computer network and Internet services, which impeded earning opportunities..

ShapeShift exchange accused former employee of stealing $ 900,000 of bitcoins ShapeShift cryptocurrency exchange ...

“The total costs of ShapeShift related to the investigation and elimination of theft amounted to tens of thousands of dollars, if not more,” the exchange says..

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