Bitcoin price plunges after cryptocurrency exchange is hacked

Coinrail, which is among the world's top 100 crypto exchanges by trading volume, said in a statement that some of the lesser-known cryptocurrencies, such as NPXS, belonging to its users were stolen by hackers. That's a drop of more than 60 percent since bitcoin's all-time high of almost $20,000, which it reached last December. South Korea has been the third largest market for Bitcoin trading in the world after Japan and the U.S. and has also suffered several major exchange hacks resulting in both fear driven activity on the trading side and calls for more stringent regulation from the government. Again that date might not seem very long ago, but in the wildly fluctuating world of cryptocurrency values, it's significant.

However, by April 2018, the data show the amount held by investors - about 6m bitcoin - was much closer to the amount held by short-term speculators, with 5.1m bitcoin. NY time on Friday and was trading at US$6,782.42 as of 10:30 a.m.in London on Monday, bringing its decline since December 29 to 53 per cent.

"The markets are so thinly traded, primarily by retail accounts, that these guys can get really scared out of positions", he said.

Japan in February carried out raids on a number of exchanges following the Coinbase hack, which exceeded the US$480 million in virtually currency stolen in 2014 from another Japanese exchange, MtGox.

"For now, the big money will most likely remain on the sidelines and wait for emerging markets to build momentum, as they did in late 2016", he concluded.

Coinrail said the balance 70% of virtual coins are now secure in its "cold wallet", which operates on platforms not directly connected to the internet. The nation's cleanup of initial coin offerings and Bitcoin exchanges has nearly been completed, the newspaper said, citing Sun Hui, an official at the Shanghai branch of the central bank.

  • Anthony Vega