Coincheck Exchange visited by investigators

www.news18.com has just reported that Japans crypto Exchange was visited by Japanese Regulators for investigating and asking them to fix the flows in it. The checks conducted was a surprised check on the exchange. Investigations are going on to pin down the to find out how the biggest cyber heist was pulled off.
It is reported by the website that “Coincheck has said the virtual coins were stored in a "hot wallet" instead of the more secure "cold wallet," which operates on platforms not directly connected to the internet. The exchange was also not using an extra layer of security known as a multi-signature system. The regulator's knowledge of flaws in Coincheck's systems before the theft will likely draw further focus on Japan's approach to regulating cryptocurrency exchanges.”
A report from the coincheck has been asked by the authorities about the measures takenup for preventing such incidences. Coincheck has already said on Sunday that it would repay about 46.3 billion yen ($425 million) of the virtual money.
Investigations by authorities are still in progress.
(from www.news18.com)
In my opinion this incident was an eye opener as to how vulnerable the system of exchanges is. This would prompt other exchanges to tighten their security system so that such incidences are not repeated.

Please spread the news by resteeming so that everyone knows that even authorities are working on the issue.