Bitcoin price breaks $11K, crypto traders optimistic about BTC’s action

Bitcoin price breaks $11K, crypto traders optimistic about BTC’s action

The price of Bitcoin (BTC) has seen a recovery during the past week, surging by nearly 6.5% since Oct. 2. The resilience of the dominant cryptocurrency has traders pleasantly surprised, as many analysts anticipated a larger pullback. Following BTC’s rebound above the critical $10,500 support level to just over $11,000, the sentiment is turning optimistic.

In the near term, traders believe $10,500 remains the most critical level for Bitcoin for numerous reasons. Most notably, it represents a historically important support level in both the ongoing cycle and previous price cycles. Throughout 2019, BTC consistently peaked at $10,500 and saw brutal rejection afterwards. Given that the $10,500 level has served as a heavy resistance area in the past, it is considered a strong support level.

Whale clusters or bubbles also show that defending $10,500 is key for Bitcoin to retain its momentum. Whale clusters, tracked by researchers at Whalemap, form when whales buy Bitcoin at a certain level. Recently, whale clusters have emerged in the $10,407 to $10,570 range, which means whales are likely accumulating. Since whales tend to trade with a longer time frame, there is a decent probability that the $10,570 area will remain as a strong support level.

In the medium term, traders foresee $13,000 as the main hurdle before Bitcoin sees a prolonged rally. According to the pseudonymous trader known as “Salsa Tekila,” previous macro price trends indicate $13,000 is the roadblock to an all-time high. If BTC continues to stabilize and consolidate above key support levels, the trader said a rally to a new record-high could occur in the longer term.

Whether Bitcoin can stay above $10,500 and eventually break out at $11,000 to test $13,000 remains the biggest challenge. Between the first five days of October, various negative macro factors slowed the momentum of BTC. Since then, particularly following Square’s high-profile investment into Bitcoin, the top cryptocurrency has recovered. In the fourth quarter, the bullish scenario hinges on BTC’s strength above $10,500 and whether it can surge past $11,000.

In the first week of October, Bitcoin faced several threats that could have evolved into potential black swan events. On Oct. 1, the United States Commodities and Futures Trading Commission and the Department of Justice charged BitMEX and its executives. They alleged that BitMEX violated the Bank Secrecy Act, arresting BitMEX chief technical officer Samuel Reed in Massachusetts. After the DoJ publicly released a statement on the arrest, Bitcoin fell by 5% in the following 48 hours.

Then, on Oct. 2, U.S. President Donald Trump confirmed on Twitter that he had contracted COVID-19. The news quickly rattled financial markets, causing equities to slump and Bitcoin to pull back in tandem. In the span of two days, BTC faced two unexpected macro events that considerably slowed its momentum as it hovered above $10,900. Had the two events not occurred, a retest of the $11,000 resistance level would have been likely.

Now a week later, Bitcoin has recovered above its price level at which the BitMEX and Trump news came to light. The resilience of BTC against two events that could have potentially caused the markets to further plummet is encouraging.

There are several key factors that aided the recovery of Bitcoin from the initial drop below $10,500. First, the U.S. dollar has declined in the past 14 days, indirectly causing BTC and gold to rally. Second, the news around Square’s $50 million Bitcoin purchase lifted the overall sentiment. Third, some analysts state that BTC was bullish before the Square news happened, with a favorable technical structure.

When major decentralized finance tokens plunged, it led to nervousness in the market. According to “Light,” a pseudonymous options and futures trader, the short-term recovery of BTC is positive. In the near term, the trader suggested that an uptrend is more likely than a breakdown. “Bitcoin $BTC was already bullish before the Square news with no supply selling bottom of this trendline even as $YFI tried to kamikaze the whole market. Obvious what comes next.”

Compared to MicroStrategy’s $425 million bulk BTC purchase, the $50 million investment is nowhere large enough to solely cause Bitcoin to soar. While Square is an $81 billion conglomerate and $50 million is a decent-size investment, it is not a major bet, although the implications were deemed substantial. Speaking to Cointelegraph, Denis Vinokourov, head of research at crypto exchange and broker Bequant, said the CFTC’s action against BitMEX is also a positive long-term development for Bitcoin:

“Markets do not like uncertainty and this also applies to digital assets, despite the apparent lack of consistent correlation to traditional assets. Some sort of resolution to the election drama in the US will be welcomed and the cleansing of the digital assets ecosystem, this time by the CFTC on Bitmex, is positive for long-term developments in the space.”

Based on the recent trend of BTC, its pullback in October, and subsequent recovery, traders remain neutral and optimistic. The majority are not largely bearish in the short to medium term due to the strength of the $10,500 support level. If the support breaks down, then the sentiment could change, but it has held up well so far.

Michael van de Poppe, a full-time trader at the Amsterdam Stock Exchange and Cointelegraph contributor, said that Bitcoin should first break the $11,000 to $11,200 resistance range, after which “acceleration” could occur. But there is also a possibility that BTC would see a low-volatility range between $10,500 to $11,200 in the foreseeable future.

Van de Poppe also emphasized that Bitcoin is likely in the early phase where smart money and institutions are beginning to enter. Square and MicroStrategy’s bold investments in BTC could lead to an improved perception of BTC as a store of value; at the latest, it’s a bullish sign in the long term for van de Poppe: “The market is in the early stages of Smart Money and Institutional Investors, as MicroStrategy and Square opt-out of the U.S. Dollar and opt-in on $BTC. Very bullish long term.”

Citing the realized volatility of BTC, which recently crashed to 20% for the seventh time in five years, other traders said a volatility spike is expected. Historically, when that has happened, the volatility of BTC spiked to 80% in the several months following. Given the likely upsurge of volatility in the near term, cryptocurrency trader Cantering Clark believes a major price movement is expected: “I think that given this prolonged state of compression that we get a big move before the weekend for $BTC. Either direction, I doubt we get some cookie-cutter retest.”

In the short term, traders expect BTC to successfully retest the $11,000 resistance level and range between $10,500 to $11,000. In the medium term, analysts expect a potential breakout above $11,000, which could establish a broader range between $11,000 and $13,000 in the longer term, with the latter being the major roadblock to an all-time high. The confluence of a favorable technical structure, strong fundamentals as seen in Bitcoin’s hashrate, and growing institutional demand indicates that the general market sentiment remains positive.

Source: www.bit-cointalk.com


Blockchain may solve Twitter and Facebook’s moderation issues says Aragon exec

Blockchain may solve Twitter and Facebook’s moderation issues says Aragon exec

Aragon co-founder Luis Cuende told Cointelegraph that the decentralized technology his company has been developing could find its perfect use case on social media platforms like Facebook and Twitter. 

In recent months, content moderation practices employed by global social media platforms have been criticized by people across the political spectrum. Libertarian-leaning constituencies tend to criticize them for essentially instituting politically correct censorship while the liberals contend that they are not doing enough to filter offensive content. To this point, yesterday, the FBI charged six individuals with a plot to kidnap the governor of Michigan, Gretchen Whitmer. It has since been reported that the accused allegedly coordinated their actions via a private Facebook group.

Jack Dorsey has indicated previously that blockchain technology will be a game-changer for the Internet, with Twitter being no exception. He is also a vocal advocate of decentralized technology in general; yesterday, his other venture, Square, announced the purchase of $50 million worth of Bitcoin (BTC).

Aragon provides a technology stack for decentralized autonomous organizations, or DAOs. Some of the better-known DeFi projects that use Aragon’s technology are AAVE, Curve, and mStable. It also provides a framework for a virtual court, where contestants have to stake some amount of crypto and then submit to the decision of the decentralized jurors.

Just like with a regular court system, the losing party can appeal to the higher court (in Aragon’s case, with more jurors) and eventually take their case to what Cuende dubs the “Supreme Court”, where the entire network gets to vote. It should be noted that Aragon Court is still in beta and participants have only settled a few basic cases thus far.

Cuende believes that the moderation woes experienced by social media platforms present a perfect use case for Aragon’s technology once the tech matures. In his view, the polarization around this phenomenon arises from the fact that one party (Twitter) controls the outcome, which constitutes censorship, whereas if it were left to the community, the results would be more like moderation:

“I think censorship is when the rules are defined by one party, moderation is when there’s a consensus on the rules. So otherwise, I think if Twitter and Facebook were actually governed by its users in some way that feels fair to everyone, then we could collectively decide on the rules. We could collectively decide on what to do and what not, and we could push that forward. And that can be implemented today, the technology is there.”

Cuende said that he has not reached out to Dorsey yet, but will likely do it in the near future:

“I think it’s kind of like maybe too early for that, but I think it’s a matter of time.”

Source: www.bit-cointalk.com


Police and thieves on their screens, Oct 2–9

Police and thieves on their screens, Oct 2–9

Every Friday, Law Decoded delivers analysis on the week’s critical stories in the realms of policy, regulation and law.

Historians typically date the birth of international policing as we know it today to the 1800s, a response to the explosion in nationalist movements and non-governmental political radicalism in Europe. Just as new linking technologies like the telegraph and the steam engine aided and abetted new networks of political deplorables and any number of Sherlock Holmes plots, the explosion of communications tech of the last quarter-century has brought about new forms of crime. 

Which is, y’know, something everyone passively knows. In crypto, association with crime is a familiar reputational issue that is present but certainly not unique. New technology giveth and taketh away. Law enforcement’s interest in controlling new networks also grows. Paranational organizations like drug cartels and terrorist cells come to mind.

This week saw the U.S. Department of Justice press criminal charges against ISIS agents behind American deaths including James Foley’s, a move that expands their power to prosecute foreign agents as criminals under U.S. law. The FBI also busted up a home-grown far-right conspiracy to kidnap the governor of my home state of Michigan. In crypto, several jurisdictions have laid claim to ne3w authority, with the DoJ in particular making a number of moves to expand its jurisdiction.

Source: www.bit-cointalk.com


Bitcoin, Ethereum, and XRP Attempt Come Back, Aiming for New Yearly Highs

Bitcoin, Ethereum, and XRP Attempt Come Back, Aiming for New Yearly Highs

  • Bitcoin is up more than 4% in the past 24 hours, aiming to regain $11,000 as support.
  • Ethereum whales continue accumulating despite a massive resistance wall ahead.
  • XRP continues benefiting from Ripple’s efforts to expand the utility of this token.
  • Bitcoin, Ethereum, and XRP look ready to break out following a month-long stagnation period. But first, these top cryptocurrencies must overcome a few serious hurdles.

    Bitcoin made headlines after Square Inc. announced a $50 million investment into the digital asset. The mobile payment company purchased approximately 4,709 BTC through an over-the-counter platform.

    This represents about 1% of its “assets as of the end of the second quarter of 2020.”

    The announcement was received with much optimism from crypto enthusiasts who rushed to exchanges to get a piece of the pioneer cryptocurrency. The spike in buying pressure allowed prices to rise by nearly 4%.

    Bitcoin went from trading at a low of $10,560 to a high of $10,960 within five hours after the news broke.

    The upswing was significant enough to push BTC to its 50-day moving average, which is currently the only barrier preventing it from advancing further. If buy orders continue to pile up and this resistance level breaks, Bitcoin could rise towards new yearly highs.

    On its way up, the flagship cryptocurrency may find resistance around $11,700 based on IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model.

    This on-chain metric reveals that roughly 1 million addresses had previously purchased nearly 740,000 BTC around this price level. Such a critical area of interest might absorb some of the buying pressure as holders within this range will likely exit their underwater positions.

    It is worth noting that the same model also shows that Bitcoin sits on top of a massive supply wall, which adds credibility to the optimistic outlook.

    Approximately 2.2 million addresses are holding more than 1.5 million BTC between $10,560 and $10,870. As long as this support barrier holds, the odds will favor the bulls.

    The 100-day moving average has been able to keep Ethereum from depreciating further after the so-called “September Effect” wreaked havoc on its market value.

    Each time ETH has dropped to this support level since the beginning of September, it has been rejected, and a significant rebound followed. Now, it seems like history is repeating itself as prices are once again rebounding from this crucial trend-following index.

    While the 50-day moving average appears to be the only barrier ahead of the smart contracts giant, IntoTheBlock’s IOMAP puts more emphasis on the $352-$361 range.

    Here, more than 841,000 addresses bought nearly 4.4 million ETH. This vital area of interest could put a stop to ETH’s uptrend.

    Nonetheless, Santiment’s holder distribution index has recorded a significant spike in the number of Ethereum whales on the network. The behavior analytics firm registered a 3.13% jump over the past three days in the number of addresses holding 100,000 to 1 million ETH.

    If the buying spree by large investors continues, Ethereum might be able to slice through the $352-$361 hurdle and aim for new yearly highs since the IOMAP cohorts show no significant resistance ahead.

    Given the unpredictability of the cryptocurrency market, investors must pay close attention to the 100-day moving average.

    An increase in sell orders that turns this critical support level into resistance may ignite a sell-off. Under such circumstances, Ethereum would likely drop to the 200-day moving average that sits around $270.

    Ripple is doing everything in its power to expand the utility of its native altcoin, XRP. Following the backlash that the company faced after resuming the quarterly sale of its token, it vowed to become the Amazon of crypto.

    To reach this goal, the company is allegedly working on building a new cryptocurrency exchange on top of the XRP Ledger.

    The recent news generated buzz within the crypto community. Data from LunarCRUSH reveals that 70% of more than 10 million social interactions have been bullish about the cross-border remittances token. More importantly, prices have risen over 8% in the past four days as speculation mounts around Ripple’s new platform.

    Despite the recent gains posted, XRP sits underneath a critical resistance barrier that may reject its upward price action.

    This hurdle is represented by the upper boundary of a descending parallel channel forming since the beginning of August. Failing to break above might result in a steep correction towards the channel’s middle or lower boundary.

    But if demand for the international settlement token rises around the current price levels, it may have the strength to break out of this consolidation pattern.

    If this were to happen, XRP would likely climb to the next resistance area around $0.30.

    October kicked off a new wave of fear, uncertainty, and doubt, shaking the broader crypto market.

    First, the CFTC charged one of the largest crypto derivatives exchanges in the industry, BitMEX, for violating multiple regulations, including operating an unregulated trading platform. And then, President Donald Trump announced that he and the First Lady had tested positive for COVID-19.

    Despite these concerns, Square’s recent announcement has brought hope back to investors.

    According to Peter Brandt, more than six public companies are now said to be holding Bitcoin on their balance sheets, which is a positive long-term signal. The trading veteran argues that global corporations are moving some of their assets to crypto could be the catalyst that ignites the next bullish cycle.

    Given the increasing buying pressure behind these Bitcoin, Ethereum, and XRP, it could be just a matter of time before resistance gives up, and a new uptrend begins.

    The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

    You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

    See full terms and conditions.

    Source: cryptobriefing.com

    Author: by
    Ali Martinez


    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    During the last decade, cryptocurrency enthusiasts have discussed the true identity of Bitcoin’s creator Satoshi Nakamoto. To this day, the Satoshi Nakamoto mystery continues to prevail, and throughout the years there’s been a great number of suspects and self-proclaimed crypto inventors.

    Halloween is approaching and twelve years ago on October 31, 2008, Bitcoin’s inventor published the cryptocurrency’s introductory white paper. Satoshi Nakamoto is the name used by the pseudonymous person or persons that wrote the white paper and developed the original Bitcoin codebase. By developing the first blockchain distributed ledger, Nakamoto essentially solved the infamous computational issue called the “Byzantine generals’ problem” or the “Byzantine Fault.”

    Nakamoto left the Bitcoin project and public eye in December 2010 and during the last decade, people have been hunting relentlessly for the mysterious creator. News.Bitcoin.com has written a number of articles about the possibility of certain individuals that could be Satoshi in a series called “The Many Facts.” The series has been one of our most popular chain of Satoshi Nakamoto articles, and the following post is a list of seven suspects we’ve covered so far.

    The first article in our series was called “The Many Facts Pointing to Hal Finney Being Satoshi Nakamoto,” which discusses the possibility of Finney being Bitcoin’s creator. Finney is probably one of the most popular Satoshi candidates and the editorial gives a comprehensive look at why.

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    For instance, Finney was an experienced developer and one of the first individuals to run the Bitcoin codebase. Harold Thomas Finney II definitely had the expertise to invent Bitcoin, as he was a prominent developer for the PGP Corporation.

    The editorial’s facts pointing to this possibility include his Libertarian leanings, his location in California, and his simultaneous retirement timeframe from the PGP Corporation. Finney was also the network’s first transaction recipient. Despite the many clues, Finney passed away in August 2014 and to this day, no one can truly confirm if the California-based cypherpunk was Satoshi.

    The second installment of the “The Many Facts” series involves the computer scientist Nick Szabo. On November 27, 2019, news.Bitcoin.com contributor Graham Smith discussed how Szabo could be Bitcoin’s creator. Smith details how Szabo created a project called bit gold, which was released before Bitcoin.

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    Szabo also coined the term and the concept “smarts contracts” and has written extensively about cryptography and contract law. Some interesting factoids include how the Bit Gold blog post publishing date was altered and how Wei Dai reportedly told Satoshi about Bit Gold creation in an email conversation.

    In addition to the second part of the series, news.Bitcoin.com also published an opinion editorial called “Why Nick Szabo Probably Isn’t Satoshi.” In the article, author Deryk Makgill explains why he believes Szabo isn’t really a cypherpunk, he doesn’t share the same vision for Bitcoin, and Szabo’s altered blog post date is sketchy.

    “If Nick Szabo is Satoshi, he has done a remarkable job of leaving bread crumbs that point the opposite way,” Makgill concludes.

    In December 2019, news.Bitcoin.com published the third installment dubbed “The Many Facts Pointing to Shinichi Mochizuki Being Satoshi.” Shinichi Mochizuki is an obscure character and not widely known, but his long history of mathematical innovation makes him a Satoshi suspect.

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    Besides being a mathematics prodigy, Mochizuki has an American background and British English writing style just like Bitcoin’s creator. The computer scientist and inventor of Hypertext, Ted Nelson, said he believes Mochizuki is Satoshi in a video. Despite being able to create the blockchain codebase, Mochizuki has fallen off the map when it comes to Satoshi suspects.

    The fourth part of the Satoshi Nakamoto series involves the financial cryptographer and inventor of Ricardian contracts Ian Grigg. In this article, it discussed the many facts that show Grigg could possibly be Satoshi and how he has the technical expertise. For instance, the article mentions how Grigg wrote his 2005 paper called “Triple-Entry Accounting.”

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    The paper discussed the concept of blockchain technology and solving the “Byzantine generals’ problem” three years before Bitcoin was introduced. Grigg is also associated with the self-proclaimed Bitcoin inventor Craig Wright. His associations with Wright have made people believe Grigg was part of a team that called themselves “Satoshi Nakamoto.” Additionally, data scientist Michael Chon said Satoshi’s emails matched Grigg’s writing style in a stylometry test.

    The California-native and Japanese American engineer Dorian Nakamoto was accused of being Satoshi back in March 2014. This was when Newsweek columnist Leah McGrath Goodman published a story called “The Face Behind Bitcoin.” Again, McGrath-Goodman’s editorial was based on speculation that Dorian was at least capable of producing the blockchain codebase.

    She quoted him as saying “I am no longer involved in that and I cannot discuss it” and she also noted that Dorian’s birth name is actually Satoshi Nakamoto. Dorian’s story was covered in the fifth installment of news.Bitcoin.com’s popular series.

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    However, when Dorian said he was “no longer involved in that” he wasn’t referring to Bitcoin, and he was actually talking about classified engineering projects he worked on for the government. McGrath-Goodman’s questions were taken out of context and she wrote an awful hit piece about the California resident. Dorian had immediately denied being Satoshi when he spoke with a reporter from the Associated Press (AP) about the incident with the Newsweek journalist who doxxed him.

    In the sixth installment of “The Many Facts” Satoshi articles news.Bitcoin.com discussed the creator of b-money Wei Dai. All of the evidence that points to Dai being Satoshi is purely circumstantial, and again based on the fact that he is capable of the creation.

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    Moreover, Dai is referenced in the Bitcoin white paper, as the technology’s creator cited the b-money white paper. Further, there are entropy similarities between Wei Dai and Satoshi Nakamoto’s written text. However, it seems Dai and Nakamoto wrote to each other via email correspondence and Dai would have to have been playing ‘double agent’ roles.

    The Blockstream CEO, Adam Back, is mentioned in the seventh installment of news.Bitcoin.com’s “The Many Facts” series. The reason Back made the list is because of a video published on May 11, 2020, by the Youtube channel “Barely Social.” The video called “Unmasking Satoshi Nakamoto,” claims that Back could possibly be the creator of Bitcoin.

    The Search for Satoshi Nakamoto: A Look at 7 Suspected Bitcoin Creators

    Barely Social cites a few reasons including the Blockstream CEO describing the technology as early as 1998. Back also dipped out of the public eye, while Satoshi Nakamoto was with the community, and returned almost as soon as Satoshi left in 2010. The video also compares Satoshi’s writing style with Back’s written penmanship, as they both double space and spell their words in a British fashion.

    Barely Social did highlight during the video that Adam Back could always leverage plausible deniability for this accusation. Back did deny the accusation and also debated the subject on social media with Barely Social’s official Twitter account. Since mid-May 2020, Barely Social’s video has seen 478,928 views so far.

    Of course, the list represented in “The Many Facts” series is still incomplete, as there are many other suspects that have not yet appeared in news.Bitcoin.com’s sequence of Satoshi articles.

    There are many more self-styled Nakamotos and suspects and one could write a book about the slew of unique individuals. For instance, there’s Craig Wright, a friend of the Escobar family, the criminal mastermind Paul Le Roux, Duality, former Bitcoin lead maintainer Gavin Andresen, Bittorrent creator Bram Cohen, Craig Wright’s former business partner Dave Kleiman, the Hawaiian patent holder Ronald Keala Kua Maria, Fabio impersonator Jörg Molt, the Pakastani press release candidate Bilal Khalid, and the Belgium native Debo Jurgen Etienne Guido.

    What do you think about news.Bitcoin.com’s “The Many Facts” series concerning the mysterious Satoshi Nakamoto? Let us know what you think about this subject in the comments section below.

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    Adam Back, Bilal Khalid, Craig Wright, dave kleiman, Debo, dorian nakamoto, Duality, Escobar family, Hal Finney, Ian Grigg, Jorg Molt, Many Facts Series, Nakamoto Mystery, Nick Szabo, paul le roux, Ronald Keala Kua Maria, Satoshi, Satoshi Nakamoto, Satoshi Team, Shinichi Mochizuki, Theories, Wei Dai

    Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

    Source: news.bitcoin.com

    Author: News by Jamie Redman


    Second Vulnerability in Bitcoin's Lightning Network Discovered

    Second Vulnerability in Bitcoin’s Lightning Network Discovered

  • Lightning developers have discovered a vulnerability in the project’s node software.
  • The vulnerability does not seem to have been exploited yet.
  • More details will be revealed by developers in the coming weeks.
  • Developers have found a new vulnerability in the Bitcoin Lightning Network’s node software, according to a recently published disclosure notice.

    Lightning developer Conner Fromknecht disclosed the issue on Oct. 9 on the project’s mailing lists. The disclosure advises node operators to upgrade their software as soon as possible.

    It is not clear how serious the vulnerability is. The disclosure does not reveal how the potential exploit works, though it does suggest that the vulnerability has not been exploited “in the wild. Furthermore, the bug has already been fixed: version 0.11 of the Lightning Network software solves the problem and was released in late August, which means that many Lightning node operators have already installed the fix.

    However, the team notes that the vulnerability was discovered in such a way that the disclosure process has been shortened. Full details about the bug will be released on Oct. 20.

    Lightning Labs also says that it will begin a “comprehensive bug bounty program” in the near future, meaning that there will be monetary rewards for those who discover future bugs.

    The Lightning Network is a still-developing layer-2 payment protocol that operates on top of Bitcoin, enabling faster and cheaper transactions on the network.

    This is the second time a vulnerability has been discovered in Lightning’s node software. Last year, Bitcoin developer Rusty Russell found a separate vulnerability that allowed attackers to steal funds by sending invalid transactions. Though Lightning Labs never announced how many users fell victim to the exploit, the team confirmed that the vulnerability was indeed exploited “in the wild.”

    Both of these bugs concern short-lived programming oversights, not security issues that are fundamental to the design of Lightning itself. Many see Lightning Network as the most promising way to speed up Bitcoin transactions and reduce transaction fees. Major crypto companies like Bitfinex and CoinGate have adopted the Lightning Network without any apparent issues.

    On the other hand, Lightning Labs itself has stated that the project is in its “early stages” and has advised users not to “put more money on Lightning than [they are] willing to lose.” As such, it is not clear whether the Lightning Network is truly ready for prime time.

    The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

    You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

    See full terms and conditions.

    Source: cryptobriefing.com

    Author: by
    Mike Dalton


    Bitcoin price breaks $11K, crypto traders optimistic about BTC’s action


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