Last month, we saw a very enthusiastic individual attempt to steal 20 trillion dollars, worth of digital currency. This wasn’t the first time a crime against the cryptocurrency market was done and this one you about read about will most definitely not be the last.
Minor glitches bugs in blockchains and systems that are used to run the cryptocurrency market are allowing nefarious entities to increase their account balances without setting off any alarms.
This latest vulnerability was found within the Coinbase platform which permitted anyone to have money that isn’t theirs.
“The issue was fixed by changing the contract handling logic — Analysis of the issue indicated the only accidental loss for Coinbase and no exploitation attempts.”
The Dutch company that is Vicompany found this bug for which it was rewarded $10,000.
According to the company, anyone could easily utilize what is called smart contract to share ether among different virtual wallets. If one of the internal transactions falls short, every single transaction before that will be reversed.
“On Coinbase these transactions will not be reversed, meaning someone could add as much ether to their balance as they want.”
Coinbase is not the only exchange that has been a victim to opportunists sniffing out errors, glitches, and mistakes.