Bancor is a cryptocurrency whose aim is to solve liquidity issues by making use of smaller market tokens. The protocol allows any user to create a cryptocurrency called “smart token” which can be used to trade with other different cryptocurrencies.

Bancor became well-known crypto after raising over $153 million ETH in three hours during its Initial Coin Offering stage in 2017. Any platform had never raised such an amount at the time.

On July 9th Bancor network suffered a major security breach in which threat actors made away with an estimated $13.5 million tokens through an alleged cyber-attack.

This saw the co-founder of the network admit that the crypto market requires to join hands in the war against hackers, cybercrimes, and thieves. The hacking saw Bancor Network receive a lot of critics from other competitors.

Notably was criticism from Charlie Lee, the creator of Litecoin, who argued that the Bancor Network is not fully decentralized hence giving room for any security breach. Co-founder Galia Benartzi however bashed away the sentiments by Mr. Lee saying that Bancor is a fully decentralized liquidity network and that the breach was just a hack.

There has been an increase in the cases of cybercrimes and hackings in the cryptocurrency industry. This concern has made Co-founder Benartzi call upon each crypto community to join hands to fight the menace. She argued that when the community joins hands, they will form a bigger and stronger community. The bigger community will find it easier to battle against the hackers and thieves who are advancing with technology every day.

Benartzi further agrees that the experiences learnt from that hack should be able to bring the parties together where they can form a hotline from which they will be sharing information more transparently. This will make it easier for them to track any hacker and freeze the tokens.

RT host Max Keiser argued that there is a huge fear when the cryptocurrency comes together. This is because the organization of this caliber is viewed as bad as the industry is dominated by individualism. Benartzi still viewed togetherness as the only way of fighting the criminals.

The critics by Mr. Lee, who claimed that Bancor has a “false sense of decentralization” is still a concern to Benartzi, who argues that decentralization can be looked at from different parameters and that a centralized mechanism does not guarantee a centralized network.

Users of Bancor network own their wallets and therefore have full custody of their funds all the time, an aspect which is possible to only decentralized platforms of exchange. After the attack, users of Bancor were able to access their funds an indicator that the system was indeed decentralized as opposed to the views of Mr. Lee.

The co-founder of the Israeli based network added that a wallet on its network had been compromised by unknown hackers leading to the theft of $12.5 million Ethereum and a further $1 million Pundi X tokens.

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