The Ripple price (XRP/USD) has seen a significant decline following reports that a large Japanese cryptocurrency exchange had lost hundreds of millions worth of the digital currency.
Earlier today, the Tokyo-based exchange Coincheck said that around $400 million worth of NEM tokens had been transferred “illicitly” outside the platform. The company subsequently said that it had suspended all withdrawals, stopped trading in all cryptocoins except Bitcoin, and halted deposits into NEM coins.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.
“Currently, credit card, Pay Easy, and convenience store payments are suspended. We sincerely apologize for these inconveniences and will continue to do our best to be back to normal operations as soon as possible,” Coincheck wrote in its most recent update on the situation.
Some media reports suggest that, in addition to the lost NEM tokens, a one-off sum of 101,265,057 Ripple tokens has been withdrawn from the platform.
The news had a negative impact on the entire cryptocurrency market, but Ripple and NEM suffered the heaviest blows. Ripple, in particular, fell to an intraday low of $1.14 in the morning session, down from a Thursday close of $1.31. Meanwhile, NEM, which is the tenth-largest cryptocurrency on the market saw an even greater decline, falling to a 10-day low of $0.775.
The cryptocurrencies have managed to recover some of its losses in more recent trading, but at the time of writing they are still down over the 24-hour period. As of 16:50 GMT, the Ripple price stood at $1.25, down 4.5% from the same time yesterday. NEM was trading at $0.855, down 8.3%.