BITCOIN PRICE LITTLE MOVED AFTER A NEW EXCHANGE HACK
Having been the biggest crypto exchange in the world handling around 70% of all Bitcoin-related transactions at its peak, Mt. Gox closed in February 2014 following a hack. In total, more than 850,000 Bitcoins were stolen which were valued at over $450 million. Following today’s exchange rates, the Bitcoins wiped from the exchange would have been worth more than $5 billion.
Since then, the crypto industry has seen many changes with crypto exchanges increasing in number. At the same time, hacking attempts have also increased. A recent approximation showed that cryptocurrencies worth more than $750 million have been stolen this year.
The latest occurred over the weekend. A small crypto exchange from Canada announced through social media that all of its Bitcoins had been stolen. It made the announcement and then deleted its social media platforms and its website, leaving customers in the dark. However, a close investigation of MapleChange reveal that this was the company’s exit strategy. Firstly, if it was a real hack, the company would not have deleted its social media accounts. Secondly, a closer look at the company’s domain registration shows that the owners were likely fraudulent. Security issues are why large institutional investors fear investing in digital assets.
The BTC/USD pair remained unchanged in the Asian session. In fact, the price has not seen any major changes since October 15. This consolidation is an indicator that the pair will likely see a breakout in the near future.