FUD is everywhere in cryptocurrency.
From the anarchists and libertarians frightened at the government taking control of cryptos, with hacks' popping up nearly every few days, it seems it won't stop.
But, we have today what might be a dramatic hack pushing the price of Bitcoin down substantially.
Binance Account Hack Leading To Account Funds Being Sold For VIA
Binance is one of, if not, the world's largest cryptocurrency exchanges.
They have hundreds of coins with some of the quickest transactions in the market and are only getting faster.
But today we have some shaky news...
In a post on Reddit/r/binance, it seems that users accounts were being drained and subsequently pushed into a relatively unknown coin called VIA driving its price up over 1000% at one point.
Binance sold all my Alt coins at market rate from r/BinanceExchange<script async src="//embed.redditmedia.com/widgets/platform.js" charset="UTF-8"></script>
Currently, they have not released a statement, although it seems that they are working on it based on what the forums have said.
Funds for withdrawal have been suspended on most accounts as they address this problem.
This "hack" is a very weird one.
First off, the selling of coins into another coin to drive its price up doesn't make sense when the hacker could just sell the coins for a privacy coin and then get them off the server.
As well, this is during the period at which it seemed BTC was forming a great cup and handle.
Binance in the Reddit forum said that this was mostly affected users with API keys who were using bots (likely a faulty and hacked bot) to trade. Thus we will keep you updated as they release a statement.
Thanks for reading and remember always to keep your funds safe and off of an exchange, that's why we recommend the ledger nano S. Pick one up below:
The GCA Team
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Posted from my blog with SteemPress : https://globalcryptoacademy.com/possible-binance-hack-leads-to-massive-dip-in-bitcoin-price/
"First off, the selling of coins into another coin to drive its price up doesn't make sense when the hacker could just sell the coins for a privacy coin and then get them off the server."
It does make sense when you consider that API keys allow for different settings, usually when you create an API key for a bot you don't tick the "allow withdrawals" box thus withdrawing with the hacked keys was actually impossible. So they went for the next best option, to pump a coin they bought.
This is why one should never keep their coins one exchanges. You should always save the coins in some kind of desktop wallet.
All coins stolen/used were actively being traded though, as all accounts that got hacked were using some form of trading bot
There is a high chance that the developer of VIA coins themselves were doing this to pump this coin.