Official Press Release:
Unfortunately, there has been a security breach involving NiceHash website. We are currently investigating the nature of the incident and, as a result, we are stopping all operations for the next 24 hours.
Importantly, our payment system was compromised and the contents of the NiceHash Bitcoin wallet have been stolen. We are working to verify the precise number of BTC taken.
Clearly, this is a matter of deep concern and we are working hard to rectify the matter in the coming days. In addition to undertaking our own investigation, the incident has been reported to the relevant authorities and law enforcement and we are co-operating with them as a matter of urgency.
We are fully committed to restoring the NiceHash service with the highest security measures at the earliest opportunity.
We would not exist without our devoted buyers and miners all around the globe. We understand that you will have a lot of questions, and we ask for patience and understanding while we investigate the causes and find the appropriate solutions for the future of the service. We will endeavour to update you at regular intervals.
While the full scope of what happened is not yet known, we recommend, as a precaution, that you change your online passwords.
We are truly sorry for any inconvenience that this may have caused and are committing every resource towards solving this issue as soon as possible.
 
Here is the hacker BTC address https://bitinfocharts.com/bitcoin/address/1EnJHhq8Jq8vDuZA5ahVh6H4t6jh1mB4rq
 
All funds from any internal wallets, which most small time people were using due to the huge fees NiceHash was charging, are gone.  All funds that people had stored for buying orders on internal systems, are gone.  I lost maybe $15.  Some people are out thousands.  The company's total is out $60+ million. 

 
Untraceable currency is hard to find, wonder what kind of electronic signature there is.
 
Where is the story /article from ?
 
 

I took nicehash advice and kept my funds on an external wallet. Nothing lost as I canned mining for the time zone challenge. Hope they stay in business so I can go back later.

i earned property called BTC. that property income is taxed. it was then stolen by these thefts. what you say is i still owe that tax on the property that i no longer own? there most certainly is some way in which i do not owe that income tax anymore.

the irs considers crypto coins as property, not currency, but any coins earned from work done has to be taxed based on its USD value. detailed Q&A here: https://forums.evga.com/I...nd-taxes-m2703855.aspx

I have about $2,000 sitting "in" my Nicehash wallet :( but atleast I switched back to folding last week...
 
The app still shows my entire balance, but I'm guessing it's just outdated after they froze the system. 
 
Time to look into cold storage. 

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The IRS considers mined coins as income at the time of creation (or payout in mining terms). Then it becomes an issue of capital gains or losses. You have to pay taxes on the initial "income" before it can be treated as a security.

ipkha
The IRS considers mined coins as income at the time of creation (or payout in mining terms). Then it becomes an issue of capital gains or losses. You have to pay taxes on the initial "income" before it can be treated as a security.

One of the Posts above say it is property and not income "the irs considers crypto coins as property, not currency"
I would hate to be audited on Fed and or State Taxes for the last 5 Years.
Best to say away altogether.

Internal Revenue Bulletin:  2014-16 

Q–8: Does a taxpayer who “mines” virtual currency (for example, uses computer resources to validate Bitcoin transactions and maintain the public Bitcoin transaction ledger) realize gross income upon receipt of the virtual currency resulting from those activities?

A–8: Yes, when a taxpayer successfully “mines” virtual currency, the fair market value of the virtual currency as of the date of receipt is includible in gross income. See Publication 525, Taxable and Nontaxable Income, for more information on taxable income.

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I too am curious to see what comes of this investigation and what this does for the overall value of crypto currency. 

the thing is the IRS considers your "work" (hashing) as a service that is being paid to you. thus whenever you mined a coin you are being paid for work being done and that is classified as income. weather this income is property or capital is irrelevant other than the % of tax being owed. 
 
you are right on that there is no "capital gains" until you sell BTC or other crypto currency for USD or some other fiat currency. at which point you pay taxes based on long/short term gains/losses. but saying you'll ignore this rulling by the IRS until you get audited is completely asinine. because if that 1 zcash you mined and kept for 3 years is somehow worth $3 million USD and you never accounted for that income 3 years ago you will face fines and late fees and other penalties depending on the severity of the discrepancy.
 
imho i would rather pay a minor tax now than loose a lot more when its worth many many times more than it initially was later.