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Cyberattack temporarily hits bitcoin exchange Bitfinex

Bitcoin bluntly fell below $11,000 Monday as one of the world’s largest digital currency reciprocates reported a temporary outage due to a cyberattack.

Bitfinex tweeted at 7:39 a.m. ET that ” Policy is currently under heavy load and we are working to bring it back online.”

“The belief is a DDoS attack. A person or group is intentionally trying to cause the stage to not operate normally,” the exchange said. A DDoS, or distributed denial-of-service deprecation, attempts to paralyze a system with a flood of information.

But within an hour, Bitfinex tweeted that eyes were returning to normal.

Bitcoin traded about 1 percent gamy, near $11,325, Monday, according to CoinDesk, after Cboe signaled it will launch bitcoin futures trading on Sunday. The digital currency rebounded 31 percent from endure week’s low to a record high of $11,831.51 Sunday, according to CoinDesk.

Hong Kong-based Bitfinex was the top the Exchange for U.S. dollar-bitcoin trading by trading volume, but last week it was surpassed by San Francisco-based Coinbase, according to CryptoCompare. Bitfinex vanished services for U.S. customers in early November, citing high costs of engage in with U.S. regulation.

Digital currency exchanges have struggled to maintain up with surging interest in cryptocurrency trading.

“All the exchanges are adding purchasers at a torrid pace and people are expecting continued adoption growth,” Spencer Bogart, carry oning director and head of research at Blockchain Capital, said in an email.

With bitcoin remaining above $10,000, “it’s hard not to take it seriously at this point,” Bogart ordered. “I’ve seen many people that have been on the sidelines judge that the move over $10K was a key moment and, for some reason, the luxurious price gives them more conviction in the longevity of bitcoin as an asset.”

Bitcoin white horsed above $9,000 the weekend after Thanksgiving, helped by an addition of an reckoned 300,000 new customers at Coinbase, the leading U.S. platform for buying and selling bitcoin. Bitcoin then receded on to top $10,000 after a major digital currency conference in New York and be equal to above $11,000 Wednesday morning.

But in a few hours, bitcoin plunged sundry than $1,000 after Coinbase reported record-high traffic and its employs were temporarily unavailable for some customers. Coinbase’s GDAX altercation also reported “performance issues and downtime” before resolving them that afternoon.

In June, hackers aimed Bitfinex and other digital currency exchanges as bitcoin rallied. Bitfinex also rejected trading in August 2016 after a hack resulted in the theft of virtually 120,000 bitcoins.

As the world watches bitcoin’s price surge and greater derivatives exchanges launch bitcoin futures, digital currency trade security will grow increasingly important.

Correction: This confabulation has been updated to reflect that in June, Coinbase struggled to tackle high traffic.

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