Dutch victim wins lawsuit: Bitcoin Master has to pay

A user of the Dutch crypto platform Bitcoin Meester was hacked last year. The Dutch crypto investor in question saw that his wallet was empty. Bitcoin Meester is now being forced by the court to largely compensate for the damage. This emerges from a judgment published on September 8th.

Crypto hack at Bitcoin Meester leads to charges

On September 8, the Amsterdam court published the verdict in the case between a consumer user of Bitcoin Meester, on the one hand, and the operator of the crypto platform Coin Meester, on the other.

First, it’s important to share some background information. On May 25, 2022, hackers managed to gain access to the email account of the crypto user in question. They then asked Coin Meester to change the password of the associated crypto account.

In response to Crypto Insiders, the victim’s lawyer, Tim van Riessen, explains the consequences:

“Plaintiff’s account was hacked by unauthorized parties, after which his entire digital wallet – containing Bitcoins and several altcoins – was looted.”

The total value of the stolen cryptocurrency including Bitcoin was 4,218 euros at the time.

The victim then held Coin Meester liable for the resulting damage. According to the affected customer, Coin Meester has not fulfilled its obligation to store the cryptocoins for the customer and only sell them when it receives instructions from the customer itself.

According to the user, Coin Meester also failed to use the possibility of identification via email as a proposed security option

Coin Meester went on the defensive and explained that they had not entered into an assignment agreement, but rather a usage agreement. Additionally, it was argued that they had fulfilled their security obligation by offering two secure login methods.

Verdict: Crypto damage must be compensated

However, Coin Meester’s arguments are not accepted. The court ruled that Coin Meester’s primary mission is to store, exchange and sell cryptocurrencies exclusively on behalf of customers. Since the transaction within this story took place without the customer’s instructions, Coin Meester is liable for the loss.

The bottom line is that Coin Meester is obliged to compensate 90 percent of the damage caused to the customer. This results in a total amount of 3,796.20 euros.

Comment Bitcoin Master

In a response to Crypto Insiders, Bitcoin Meester stated that it is currently reviewing the ruling with its legal advisors and is considering filing an appeal. When asked whether the incident also posed a danger to other users, the company replied:

“This incident has no consequences for other users. (…) An incident occurred with one of our users.”

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