In crypto world, the hacker is God

economictimes.indiatimes.com:

cyber villain invades to cripple a system, it is a calamity as unstoppable as an earthquake or pandemic. Traders whose coins and funds are frozen at WazirX — the Indian crypto exchange that was recently hit by a massive cyber heist — are now discovering this from the fine print of the terms and conditions they had hitherto ignored.

What is coming to the fore in the wake of the WazirX fiasco is that unlike banks or stock exchanges most local crypto platforms categorise ‘cyber breach’ as a ‘force majeure’ event (or, an ‘Act of God’) in their ‘terms of use’ that investors signing in to open accounts rarely read. But for traders a ‘force majeure’ clause may legally shut the doors for claiming lost assets after such a disaster.

When is it a Force Majeure event?

Amid countless cyberattacks, the incident has also raised a bigger question: can, and when, a malware attack be classified as a ‘force majeure’ event? And, can a service provider escape liability?

Did you Know?

The world of cryptocurrencies is very dynamic. Prices can go up or down in a matter of seconds. Thus, having reliable answers to such questions is crucial for investors.

According to Supreme Court senior advocate N. S. Nappinai, “In the opaque world of