Recent Multi-million Dollar Hack Fails to Keep Bitcoins Down

Shrugging off loses following the theft of cryptocurrency peer worth US$31 million, Bitcoin reported a record spike. This however has renewed concerns regarding the safety of digital coins. The theft was reported on Tuesday by a company behind tether, a cryptocurrency used during bitcoing exchanges to ensure hindrance-free trade with fiat currency. In a statement released by the company it said that tokens from Tether Treasury was removed by a ‘malicious’ attacker on November 19. Furthermore, the statement revealed the possibility of these tokens being sent to an unauthorized bitcoin address. Currently, the company is making every effort possibly to prevent the use of the stolen coins.

Latest Theft Incidents Dent Confidence on Cryptocurrencies’ Safety

As per the recent reports, in New York trading Bitcoin has escalated to US$8,339. Also, reports suggest that the largest cryptocurrency has relegated by nearly 5.4% following the disclosure of the tether hack. This incident is marked as the latest in the long list of hacks that have damaged confidence of cryptocurrencies safety. Meanwhile, the situation could trigger debate on Wall Street if digital coins are secure enough to foray in the mainstream finance. Experts don’t see a long term effect of the current situation on bitcoins, which exceeded the value of US$133 bn by McDonald’s Corp. over the weekend, erasing the loss reported on Tuesday.

As per data released by Coinmarketcap.com, Tether is the 20th most valuable digital currency in the world with a capitalization of US$675 mn. Users of these tokens can use them, store them, and transfer them globally without any hassle. The website says that the virtual tokens fiat currencies. Also the company behind tether has vouched that the tokens are cent percent backed by authorized currencies.