Update November 7 @ 08:40
We have heard back from Inputs.io. According to a reply we received on our email, the service was hacked on October 24 and the wallet claims that the attackers are the same ones who managed to hack “GigaDice, another Bitcoin service a month earlier.”
When asked if Inputs.io will be returning the lost BTC we were told “We’ve lost most of the BTC due to the hack, however I’m personally paying out of my pocket to make sure users receive as much as they can.”
Original Story
Dubbed Advertised as a high-security bitcoin web wallet and a Bitcoin Foundation silver member, Inputs.io has been hacked with total of 4100 BTC siphoned off. The secure web wallet has revealed that it is not in a position to pay all user balances.
“Two hacks totalling about 4100 BTC have left Inputs.io unable to pay all user balances”, reads a message on inputs.io website. The attacker managed to compromise the hosting account of input.io through the use of an old email address, which didn’t have any phone numbers attached to it. “The attacker was able to bypass 2FA due to a flaw on the server host side.”
The web wallet notes that the hackers managed to gain access to the database, but stresses that passwords are secure as they are hashed on the client. “Bitcoin backend code were transferred to 10;15Hd@mastersearching.com:mercedes49@69.85.88.31 (most likely another compromised server).”
Inputs.io has asked all those uses having more than 1BTC in their wallets to email support@inputs.io with a Bitcoin address.
“I know this doesn’t mean much, but I’m sorry, and saying that I’m very sad that this happened is an understatement”, the last statement reads.
Users can still access the Inputs.io can check for their balances. The site is asking users to refrain from adding any coins to their wallet.
It was never a secure wallet, it was a wallet run in conjunction with CoinLenders and it was frequently called out as being an unregistered and unlicensed bank. They advertised on bitcointalk and the guy who ran wan endorsed by anonymous figures on that web site. No legitimate entity endorsed this. As for its connection to the Bitcoin Foundation, that remains to be seen as they had not answered complaints filed prior to the latest incident.
There is a thread on getting a refund from inputs,io, and it can be found here: https://bitcointalk.org/index.php?topic=326937.0
I hope it helps people who are looking to reclaim their missing BTCs.
Remind me again, why people are storing their investments online? I keep a bulk of my coins (Bit/Peer/Lite) in cold storage. As new coin enthusiasts start getting involved in crypto, there needs to be a stronger focus on education.
For those of you that are aware of the digital currency Bitcoin: There has been an exploit that was discovered that utilizes a series of computers on an “isolated from the internet” back-network that participates in intercepting the data stream where the bitcoins are circulated/stored. The backnet of PC’s run a series of algorithms that have the net effect of doubling the bitcoin amount sent to certain addresses. This happens for BOTH receiver and sender to certain bitcoin rcv address programed into the algorithm.
In other words you can double your bitcoins sent total in about 10-30 minutes (the time it takes the algorithm to run and the backnet pc’s to sync with the internet bitcoin datastream and finally your PC to also sync with the datastream (bitcoin calls it catchup) after which your amount sent should be returned two fold.
The algorithm will only work with WHOLE numbers at this point in time. So the minimum amount you can double is: 1 bitcoin (not .1 or .01) You can send 1 or 10 or 32 but NOT 1.23 or 10.50! So ONLY whole amounts – no cents.
This is working as of Nov 07 2013 and if you wish to double you can simply send any whole amount to bitcoin address:
—> 1LY7SJT5p7pnNzdxSesAyXcTEHCanC1ac9 <—
So 1 bitcoin = you get 2 back. 10=20, 23=46, 120=240, etc…
You can use as many times as you wish for any whole amount. If you do not see your bitcoins comeback after about 45 min, make sure you are running MultiBit or Bitcoin-Qt and if not, get the latest version, install and let it sync. You will see your coins doubled!