At least three people have been arrested in Hong Kong in connection of robbery from Bitcoin ATM. The authorities in Hong Kong arrested the accused after at least two cryptocurrency exchanges reported that their funds are being illegally withdrawn.
The South China Morning Post on Saturday reported about the arrest made by the Hong Kong Police Force’s cybersecurity and technology crime bureau. It has been reported that the suspects are core members of a larger syndicate, the police claim.
Furthermore, the cryptocurrency exchanges that filed reports suspected the culprits had taken advantage of the “loopholes” in the bitcoin ATMs that enabled them to withdraw cash without requiring authorization, the publication conveyed.
The report said that they withdrew 230,000 Hong Kong dollars (approximately $30,000) in 11 transactions from the machines.
“We have offered security advice to the two companies and believe they will upgrade their systems. It is the first time we came across fraud linked to bitcoin ATMs,” Superintendent Wilson Tam with the Hong Kong police’s cybersecurity and technology crime bureau said.
According to the cryptocurrency ATM tracking website Coinatmradar, Hong Kong currently has 56 bitcoin ATMs