Bitcoin Bank Flexcoin Shuts Down After Robbery

Just a week after one of bitcoin’s major exchanges, Mt.Gox, went offline—and then filed for bankruptcy—a bitcoin bank was forced to close after hackers stole 896 bitcoins, worth over $600,000.

The bitcoin bank Flexcoin posted a note on its site stating: “On March 2, 2014 Flexcoin was attacked and robbed of all coins in the hot wallet. … As Flexcoin does not have the resources, assets, or otherwise to come back from this loss, we are closing our doors immediately.”

The term “hot wallet” refers to bitcoins stored in an online wallet connected to the Internet.

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This article originally appeared on Recode.net.

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