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Bitcoin Unfazed Even after Bithumb’s attackers made away with $30 mln in Crypto

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All over mainstream media, the safety issue of crypto funds has been the talk of town especially after the recent attack on Bithumb. Bithumb, the South Korean crypto exchange, was hacked in a series of events that saw the exchange platform, ranked in the top ten crypto exchanges in terms of trading volume, lose over $30 million in cryptocurrencies.

Previous attacks and how the market reacted

However, despite the attack, the market only responded mildly with no flash crash as experienced with previous attacks on exchanges. For instance, Coincheck was hacked earlier on in 2018 in what was the biggest coin heist ever such that Bitcoin’s price dropped by 10 percent almost immediately in response to the hack.

When Coinrail was hacker a few weeks ago, the market also experienced a flash crash where prices dropped by over 12.25 percent even as some believe that the crash was unrelated to the attack on the small exchange (Coinrail).

In contrast, when the news about Bitthumb broke out, Bitcoin remained pretty much unfazed only dipping by 2 percent after which its price recovered by 3.14 percent. In response to the hack, Bithumb managed to move quickly and halted deposits and withdrawals while moving all funds to offline cold storage. Furthermore, the company has also promised to refund users who lost their money in the process.

Has the market become inured to attacks?

Well, what stands out form all this is the fact that this time, the market has managed to stay afloat in light of the series of bad news that has been circulating. To most crypto experts, this could actually be a sign f a bull run that is just around the corner.

According to Brian Kelly, a trader with CNBC’s Fast money, the fact that Bitcoin’s price has remained unfazed by the Bithumb hack is a sign of a bull market on the rise.  He said that “things are different for Bitcoin this time around” while explaining that Bithumb’s fast reaction to secure funds, reimburse loses and the fact that the market is exhausted are reasons for the somewhat stable price movement.

In light of Kelly’s analysis of Bitcoin’s price movement after the attack, it seems convincing to conclude that the market has become inured to news about attacks on Bitcoin exchanges. After all, an attack on the wallets of an exchange is not necessarily an attack on Bitcoin.

As Charlie Lee, the founder of Litecoin puts it,

It’s like if a bank gets broken [into] and gold gets stolen, does that affect the price of gold? It shouldn’t. So same with Bitcoin. If the exchange doesn’t protect their coins well enough and it gets hacked, it doesn’t really change the fundamentals of the coin they’re protecting.”

What does Lee think about Bitcoin’s Current bear run?

The fact that the market has not reacted rapidly to the attack on Bithumb as compared to previous attacks could also mean that retail traders who previously would panic with news of an exchange being attacked are more educated with the understanding that it is always a bad idea to leave your funds on an exchange.

Additionally, Lee also pointed out that crypto enthusiasts, traders, and investors should take the responsibility to protect their own funds. In regards to whether Bitcoin will ever recover from the bear rally, Lee believes that Bitcoin’s price in the market is actually disjointed from the level of development on the Bitcoin network. According to him, the platform is progressing “really well” and a bull rally could be anytime soon.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

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Bitcoin

Blockchain technology outshines Bitcoin and Gold during global pandemic

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As the popularity of cryptocurrencies such as Bitcoin begins to level up with investments made in metals such as Gold, together they have both made significant advantages for investors who have taken a leap to invest in them.

However, thanks to the pandemic and the dynamic shift in investing and the economy, many investors have seen fluctuating losses and gains thanks to the uncertainty of the current business world. 

Many investors that backed companies who have exposure to blockchain technology have seen an approximate amount of 54% return on investments over the past year. This is even after considering how hard the global tech market and companies have been hit since the beginning of the pandemic.

What is blockchain technology?

Blockchain technology was first introduced as a supportive technology for Bitcoin. A blockchain is a simple, unchangeable and un-hackable digital ledger that holds transactions in little blocks attached to a chain. The transaction is duplicated and distributed across the entire network of systems on the blockchain, making it available for everyone on the network to see. 

Each block in the chain contains various transactions which are recorded on the participant ledger every time a transaction takes place. The database is decentralised and is managed by multiple participants known as Distributed Ledger Technology (DLT).

Although blockchain technology was birthed from Bitcoin and was widely adopted for the use of cryptocurrencies, the way it works and its security has made…

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Bitcoin

Bitcoin Surges After Tesla Bought $1.5 Billion Worth of BTC

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Cryptocurrency

The sudden rise of Bitcoin has been connected to the decision taken by the Tesla electric car company to buy $1.5 billion worth of Bitcoin.

The company explained in a filing with the Securities and Exchange Commission (SEC) that it bought Bitcoin to diversify its cash returns and more flexibility.

Musk’s Tweets also impacted Dogecoin’s price

Tesla also added that it will start accepting Bitcoin payments for all its products, although this will be based on a limited basis and applicable laws. If the company concludes and starts accepting cryptocurrency, it will make it the first major car manufacturer to accept Bitcoin payments. The company’s founder and Chief Executive Officer Elon Musk has developed an interest in Bitcoin and cryptocurrencies.

He has been tweeting severally about the viability of the Dogecoin (DOGE), which doesn’t have an important market value attached to it.

Few hours after endorsing Dogecoin, the cryptocurrency rose by an impressive 50%. But regulatory authorities are still concerned about the risks in cryptocurrency investments, with several regulatory bodies warning traders and investors they could lose all their money from crypto investments.

But for Tesla, the company decides to diversify its funds and increased its cash returns. However, Tesla also warned investors about the volatility of Bitcoin’s price in its SEC filing. According to the SEC…

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Altcoins

XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange

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Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //

Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.

Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.

The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.

NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more.

NFTs are already being actively traded in markets globally. For…

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