Crypto Firm Hacked for $1.4M Admits It Will Struggle to Reimburse Users

Madrid-based payment app and card issuer 2gether said it can only reimburse investors with its native tokens following Friday’s hack.

AccessTimeIconAug 3, 2020 at 11:44 a.m. UTC
Updated Sep 14, 2021 at 9:39 a.m. UTC

A Spanish cryptocurrency payments app and card issuer has admitted it won't be able to immediately repay users affected by Friday's $1.4 million hack and has offered a compromise instead.

  • Madrid-based 2gether said Sunday it hadn't been able to find the funds to reimburse all users the €1.2 million stolen by hackers – 26.79% of the firm's total funds – on Friday evening.
  • "We can assure you, with a great deal of chagrin, that if we could face this theft with our own funds, we would," the announcement reads.
  • Talks with an unnamed investment group reportedly fell through on Sunday.
  • Rather than delay any longer, 2gether has offered to reimburse investors in native 2GT tokens – an ERC-20 token that confers incentives and premium access to holders.
  • 2gether said users will receive the amount stolen in 2GT at the issuance price of just under $0.06.
  • The company said it will then try to scrape the funds together to repay users in the crypto assets they'd lost – it didn't provide a timeframe for when this could happen.

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