Cryptopia is a cryptocurrency exchange that was established in 2014 and is based in New Zealand. It was known for listing a wide range of cryptocurrencies and for its user-friendly interface. However, in early 2019, Cryptopia suffered a hack that resulted in significant financial losses for the exchange and its users. In this review, we’ll examine whether Cryptopia is safe to use or a potential scam.
Security
After the 2019 hack, Cryptopia underwent an investigation by the New Zealand police, and the exchange ultimately went into liquidation. The hack resulted in significant financial losses for the exchange and its users, with some reports suggesting that up to $16 million worth of cryptocurrency was stolen. This event demonstrates that Cryptopia was not able to provide adequate security measures to protect user funds.
Since then, the exchange has been acquired by a new owner and is no longer operational. Given the exchange’s history of being hacked, it’s not recommended to use Cryptopia for any cryptocurrency trading or storage.
User Experience
Before the hack, Cryptopia was known for its user-friendly interface and wide range of cryptocurrency listings. However, after the hack and liquidation, the exchange is no longer operational. Therefore, users cannot access their accounts, and the exchange cannot be used for cryptocurrency trading or storage.
Customer Support
After the hack, Cryptopia’s customer support was unable to assist users in retrieving lost funds or accessing their accounts. Furthermore, the exchange’s closure means that users are unable to contact customer support for any other issues or inquiries.
Regulation
Cryptopia was registered with the New Zealand Companies Office as a private limited company. However, the exchange was not regulated by the Financial Markets Authority (FMA) of New Zealand, which means that users had no legal protection in the event of a hack or other security breach.
While Cryptopia may have been a popular exchange in the past, its history of being hacked and subsequent liquidation means that it’s not a safe or reliable option for cryptocurrency trading or storage. It’s crucial to prioritize the security and safety of your funds, which can be achieved by using a regulated and trusted cryptocurrency exchange.
When choosing an exchange, it’s important to consider factors such as security measures, user experience, customer support, and regulation. By doing your research and carefully evaluating your options, you can find a reputable exchange that meets your needs and offers a safe and secure platform for cryptocurrency trading and storage.
Some examples of reputable exchanges include Binance, Coinbase, Kraken, and Gemini. These exchanges are known for their robust security measures, user-friendly interfaces, reliable customer support, and regulatory compliance. By using a reputable exchange, you can trade cryptocurrencies with confidence and peace of mind, knowing that your funds are safe and protected.
Conclusion
Cryptopia is no longer operational and has undergone liquidation after a significant hack in early 2019 that resulted in significant financial losses for the exchange and its users. Therefore, it’s not recommended to use Cryptopia for any cryptocurrency trading or storage. Additionally, the exchange’s lack of regulation by the FMA meant that users had no legal protection in the event of a security breach. As a result, it’s important to use a regulated and trusted cryptocurrency exchange to ensure the safety and security of your funds.