Home » The U.S. made a big move and the Bitcoin ransom was recovered! The logic is broken?Cryptocurrency plummeted in response

The U.S. made a big move and the Bitcoin ransom was recovered! The logic is broken?Cryptocurrency plummeted in response

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Original title: What’s the situation? The U.S. made a big move and the Bitcoin ransom was recovered! The logic is broken? Cryptocurrency plummeted!Trump: This is a scam

The Bitcoin ransom paid to hackers was even recovered by the US Department of Justice. This news shocked investors in the currency circle and dumped their cryptocurrencies.

On June 8th, digital currencies plunged again. In the past 24 hours, Bitcoin plummeted by nearly 10%, while Ethereum, Binance Coin, Dogecoin, Cardano, and Ripple all fell more than 10%.

The plunge has caused many people to liquidate their positions. Bitcoin Homes data shows that in the past 24 hours, more than 160,000 people have liquidated their positions in the cryptocurrency market, and the amount of liquidated positions has exceeded 7 billion yuan. The total market value of cryptocurrencies has evaporated by nearly 1 trillion yuan.

U.S. recovers part of Bitcoin ransom paid to hackers

According to local time on June 7, the U.S. Department of Justice stated that it has recovered the Bitcoin ransom equivalent of approximately US$2.3 million paid by the Colonel Pipeline Transport Company to the hacker organization last month.

According to the Associated Press, US Deputy Attorney General Lisa Monaco stated that investigators recovered 63.7 bitcoins paid by Colonel Pipeline Transportation Company, accounting for about 85% of the total payment. Monaco said at a press conference, “We will continue to use all resources to increase research on defense against ransomware attacks.”

However, due to the price drop, the current 63.7 bitcoins are worth about 2.3 million U.S. dollars (about 14.71 million yuan). Compared with the cost of 58,700 US dollars per coin when the ransom was paid, the price of these bitcoins had fallen to approximately 36,100 US dollars per coin at the time of recovery, a 38.5% reduction.

On May 7 this year, the Colonial Pipeline Transportation Company, the largest fuel pipeline operator in the United States, suffered a hacker attack and was forced to close the entire pipeline system. A few hours after being attacked by the hacker, the company paid 75 Bitcoins (worth US$4.4 million at the time, or approximately RMB 28.14 million) to the hacker organization.

After receiving the payment, the hacker provided a decryption tool to help restore his computer network. However, due to the slow running speed of the decryption tool, Colonier Pipeline Transportation Company finally used its own backup data to restore the system. During this period, due to pipeline closures, fuel shortages and panic purchases occurred in many parts of the United States, leading to soaring fuel prices.

On May 9, local time, the United States declared a state of emergency because the largest local fuel pipeline operator was offline due to a cyber attack. On May 10, US President Biden said that attacking oil pipelines was “a crime.” It was not until the afternoon of May 13th local time that Colonial Pipeline Transportation Company announced that it had restarted the company’s entire fuel transportation system and resumed operations in an all-round way.

Cryptocurrency was bloodbathed again, and another 160,000 people broke their positions

According to foreign media reports, hackers used a Bitcoin wallet to receive extortion funds. The FBI obtained a private key, unlocked the Bitcoin wallet, and retrieved the funds. As for how the FBI obtained the key, it is not yet known.

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The Associated Press pointed out that this action by the US Department of Justice marks the first time that a newly established special working group has hacked into the Bitcoin accounts of hacker organizations to recover ransoms. It is a rare victory that the United States has achieved in the fight against hackers and extortion.

The above news caused panic in the currency circle, and the price of Bitcoin plunged to $2,000 within a few minutes. In the past 24 hours, Bitcoin has fallen by more than $3,300, a drop of nearly 10%. Other cryptocurrencies were also sold off. Ethereum, Binance Coin, Dogecoin, Cardano, and Ripple all fell more than 10%. The total market value of cryptocurrencies has evaporated by nearly 1 trillion yuan.

According to data from Bitcoin Homes, in the past 24 hours, the number of people who have liquidated their positions in the cryptocurrency market has exceeded 160,000 and the amount of liquidated positions has exceeded 7 billion yuan.

Some netizens said bluntly, “I don’t know what the US Department of Justice relied on. If technical means are equivalent to saying that the underlying logic of Bitcoin has been cracked, it is really worthless.”

Another netizen pointed out that many people are now speculating about how the U.S. Department of Justice confiscated the ransom of the hacker organization “DarkSide”. There are various theories. Some said that the exchange cooperated to implement the freeze, and some said that the server of DarkSide was compromised. of. In short, this incident has once again challenged the censorship resistance of Bitcoin, or the reason for this decline.

Trump calls Bitcoin a scam

A sentence said by former US President Trump is also considered to be one of the reasons for Bitcoin’s crash.

According to a Global Times comprehensive foreign media report on the 7th, Trump said on Monday that Bitcoin may be a “scam” and complained that Bitcoin is competing with the U.S. dollar and that he wants the U.S. dollar to become the “world currency.” Trump has repeatedly criticized cryptocurrencies in recent years, accusing them of facilitating “illegal behavior including drug dealing and other illegal activities.”

In an interview with Fox Business News, the host of the show, Stewart Varney, asked Trump about his views on this popular cryptocurrency and whether he would invest in it. Trump replied, “Bitcoin, it’s like a scam. I don’t like it because it is another currency that competes with the U.S. dollar. I want the U.S. dollar to become the world currency. I always say that.”

On June 8th, the topic #Trump said Bitcoin is a scam# once appeared on Weibo’s hot search. Some netizens commented that this is the risk of playing virtual currency, which can be zeroed at any time. Every country has its own currency. It doesn’t matter when the market value is small, but it is running against the currencies of other countries when the market value is small. Some netizens bluntly said: “Bitcoin is a Ponzi scheme, and it is worthless.”

Today’s Russian TV station pointed out that Trump has repeatedly criticized cryptocurrencies in recent years, accusing them of facilitating “illegal behavior including drug dealing and other illegal activities.”

According to the US Forbes website, although many wealthy Americans are passionate about Bitcoin, Trump is by no means the only billionaire who has expressed doubts about cryptocurrency or expressed total opposition. Warren Buffett has been criticizing Bitcoin for a long time. Recently, Berkshire Hathaway Vice Chairman Charlie Munger also expressed the same view. He said in a panel discussion in May, “I don’t Welcome currency that is so useful to kidnappers and blackmailers. I think the whole damn development (of cryptocurrency) is disgusting and goes against the interests of civilization.”

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On May 21st, Paul Krugman, the Nobel laureate in economics, tweeted a commentary on Bitcoin published in the “New York Times”, with an accompanying text stating that “predicted A lot of hate mail”. In his review article, Krugman stated that cryptocurrency assets such as Bitcoin are a Ponzi scheme. He believes that in the past 12 years, Bitcoin has hardly played a role in normal economic activities.

Biden will speak on the role of cryptocurrency in ransomware attacks

On June 8, according to foreign media reports, US President Joe Biden’s national security adviser Jake Sullivan said that Biden will directly discuss cryptocurrency and its role in the Colonial Pipeline hacking incident and other ransomware attacks. give a speech.

Sullivan said that during Biden’s attendance at the G7 summit this weekend, US officials including Biden would like to see an action plan against ransomware attacks and how to share information with other democracies. Responding to the challenges of cryptocurrency” and other issues.

Sullivan talked about the Group of Seven’s response to such ransomware attacks and said: “In the future, this must become a priority.” He described this issue as “a different level of security threat, and the alliance must use a brand new approach. Pay attention to this issue.”

Biden has rarely issued public statements on cryptocurrencies and blockchains, but according to reports, Biden administration officials are reviewing current crypto regulations and determining whether new restrictions are needed to protect investors after market volatility.

The Financial Committee of the State Council shot!Crack down on Bitcoin mining and trading

Since the beginning of this year, the prices of Bitcoin and other virtual currencies have soared and plummeted. Many people rushed in with the mentality of getting rich overnight, but ended up empty-handed.

According to Xinhua News Agency, my country’s regulatory authorities have long been aware of the risks posed by virtual currency trading hype, promptly warned them, and issued several measures to rectify them. In 2013, the People’s Bank of China and other five departments jointly issued the “Notice on Preventing Bitcoin Risks”, requiring all financial institutions and payment institutions not to carry out Bitcoin-related businesses. In 2017, seven departments including the Central Bank stopped all kinds of token issuance and financing, and carried out special rectification. Subsequently, my country’s virtual currency trading platforms and ICO trading platforms basically achieved risk-free exits, and the global share of bitcoin transactions in RMB fell to less than 1%.

Despite this, some people are still waiting and watching to maintain “mine” operations; some virtual currency trading platforms can still bypass the risk control of domestic financial institutions and perform operations such as recharge, withdrawal, and purchase.

Since the beginning of this year, the virtual currency trading hype has rebounded. Starting from May 18th, my country has intensively released its regulatory policies on cryptocurrencies:

On May 18, the Inner Mongolia Development and Reform Commission established a virtual currency “mining” corporate reporting platform; on the same day, China Internet Finance Association, China Banking Association, and China Payment and Clearing Association issued the “Announcement on Preventing the Risk of Virtual Currency Trading Hype.”

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On May 21, the Financial Committee of the State Council requested that Bitcoin mining and trading be cracked down to prevent individual risks from being transmitted to the social field. It is worth noting that this is the first time that the Financial Commission has proposed cracking down on Bitcoin mining and trading.

On May 26, the Inner Mongolia Development and Reform Commission issued eight measures for resolutely cracking down on virtual currency “mining” for comments.

Bitcoin’s annual growth rate has begun to lag behind mainstream assets

In 2020, the price of Bitcoin has repeatedly hit new highs, with an annual increase of up to 300%. The price has soared from 3,800 US dollars at the beginning of the year to 28,900 US dollars at the end of the year, with a market value of up to 530 billion US dollars. In 2021, Bitcoin will stage a roller coaster market, with an increase of more than 100% in the first three months.

Since hitting an all-time high of $64,854 in mid-April, the price of Bitcoin has fallen all the way, with a cumulative decline of 49.56%, and the latest price is $32711.4.

Since the beginning of this year, the cumulative increase of Bitcoin has fallen to 14%, which is not as good as commodities, and also lower than some stock indexes in Europe and Asia. The CAC40 index in France has increased by more than 18%, and the DAX index in Germany has also increased by more than 14%. Prices rose by 28%, and New York crude oil futures prices rose by 41%.

Yu Jianing, the rotating chairman of the Blockchain Committee of the China Communications Industry Association and the principal of Huobi Education, pointed out that virtual assets are a type of investment with higher risks, and the rise and fall of asset prices and speeds are significantly different from those of traditional assets. The equity mechanism and technical support are significantly different from traditional investment assets. In the future, the regulatory rules for virtual assets in various countries will become more clear and stricter. In this process, some of the problematic funds may sell encrypted assets in a concentrated manner regardless of the cost. Investors need to be wary of the occurrence of situations such as trampling by traders, concentrated selling, and serial liquidation.

“The next step should be to take targeted measures to carry out centralized rectification of virtual currency mining and trading activities.” Dong Ximiao, chief researcher of China Merchants Union Finance, suggested that on the one hand, local governments should stop attracting investment by companies suspected of mining and cut off the increase. Comprehensive use of electricity prices, land, taxation, environmental protection and other measures to promote the orderly exit of existing mining companies. On the other hand, institutions and platforms that illegally participate in virtual currency transactions, hype, or provide support services should be dealt with in a timely manner in conjunction with judicial departments to increase the cost of violations of laws and regulations, and increase the deterrence of rectification.

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