June 22, 2015 - Around 24 hours ago, I (Marcelo Santos AKA Admin) was finishing our server upgrade, We've been doing the switch step by step for the past two weeks. The last part was the accounts database and the trade engine. I put a notice up here around the time I was finishing the switch, users that were online at the time probably noticed. After I completed, I ran a upgrade on the new server and left on a personal trip with my family in which I was unreachable until now.
Around 14 hours ago our database was breached, the hacker credited himself BTC and KHS and withdrew BTC until our withdraw wallet was empty. He then proceeded to make suspicious orders in the market in which the market automatically turned itself off. This sent a alert to myself and other support staff, one of them seeing what was happening but not being able to do much as he does not have back-end access, he enabled our "Panic" mode in which put the whole site on lock down. But the hackers still managed to gain access and steal the coins from the hot wallet and the backup withdraw wallet.
Bad news: We had a large amount of BTC stolen, most of which were ours.
Good news: Our server runs hourly database backups and a backup was made minutes before their first attack and right before the lock down. So all user information is safe.
The site will stay online while we investigate further and plan out our next steps.
Balances will show 0 for the time being as we work on the database.
According to the blockchain some users are still depositing into their accounts, DO NOT MAKE ANY MORE DEPOSITS since the hackers still have access to the hotwallets.
Please have patience and I'll keep everyone updated as we execute our next steps.
June 22, 2015 (Update) - Aside from the stolen coins, there's no other damage done. We have found the entry point and we're ready to move on. We're in the progress of installing a new server and should be back in the game within a few days. It was a big blow, but we'll come out stronger then ever. We appreciate the patience and all of the kind words we have recieved. I'll update as we make progress.
June 24, 2015 - Today the hackers came back in and cleaned our databases taking our chat room with it.
This doesn't effect us at all since we have many images of the database before the attack. We'll be up and running on a clean and safe server by tomorrow. Once we're on the new server, we'll rollback everyone's KHS/BTC balances prior to the attack and you will be able to login once again.
Our ETA stands at June 30th if everything runs smoothly, once we "relaunch" all user balances will be available for withdraw.
Current mining rewards are being used to recover some of the losses.
We will update once we're on the new server, Take care!
June 26, 2015 - Today we finished the move to our new server. It took longer then expected due to some difficulties we encountered.
We're now running audits on all of the accounts. Once the account's been audited and verified, that account will be able to login.
Once all of the accounts have been audited and verified we'll enable trading and withdraws.
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