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Bitcoin Exchanges Are Under Attack - Will This Be What Scares Off Investors?

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Bitcoin Exchanges Are Under Attack - Will This Be What Scares Off Investors?

According to CoinDesk (via Business Insider), Bitcoin exchanges are currently experiencing a "massive and concerted attack."

Blockchain.info's chief security officer, Andreas Antonopoulos, told CoinDesk that a DDoS attack is "taking Bitcoin's transaction malleability problem and applying it to many transactions in the network, simultaneously."

In the process, hackers have been able to create malformed/parallel transactions that are inducing a "fog of confusion over the entire network."

Antonopoulos does not believe that Blockchain.info's implementation was affected, but he said some exchanges have been affected and that their "internal accounting systems are gradually going out of sync with the network."

Related: What Companies Accept Bitcoin?

On the upside, this isn't affecting withdrawals, but Antonopoulos suspects that some exchanges will suspend withdrawals anyway until the problem has been solved.

Antonopoulos insisted that, thus far, no funds have been lost.

Nonetheless, this is not good news for digital currencies, which have already been criticized by investors who argue that they are unsafe, unstable and untrustworthy.

Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.

Posted-In: Andreas Antonopoulos Bitcoin Blockchain.info Blockchain.info'sNews Rumors Commodities Tech Best of Benzinga

 

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