Quote from: benchi10 on April 17, 2018, 02:58:42 AM

Huobi User Protection Fund was introduced by Huobi pro to protect users interest and compensate for their losses in cases of emergency.

Throughout bitcoin and cryptocurrencies history, we have witnessed horrible atrocities of hacking and stealing of private keys. Most exchanges are vulnerable to security breach due to low focus on their security systems. They store their funds within one private key, and when hackers have access to that private key, they have access to all the funds. Some exchanges are starting to store their funds in a cold wallet while others introduced an insurance to payback affected users after a security breach such as the Huobi User Protection Fund.

Here are the five biggest cryptocurrency hackings in history:

#5 Parity Wallet (July 2017)

In July 2017, hackers found a flaw on the Ethereum backed wallet, Parity. The theft involved resulted in 150,000 Ethers being stolen from the wallet (approx $75 Million). An unknown user was able to access the funds to perform the second biggest Ether hack after the DAO.

#4 The DAO (June 2016)

Check out the rest of the article here: https://medium.com/@benchi10/5-biggest-cryptocurrency-hackings-db5a8d46ff90

user protection fund is the right thing to do. It's same with banks, there are national reserves funds in case some bank gets robbed to pay for the losses cause to its customers...