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Bitcoin Drops 7% After US Seizes Most Colonial Pipeline Ransom

The price of Bitcoin fell again on Tuesday. The reason for the move is unclear, however, it may be related to concerns about the security of cryptocurrencies. After US officials It can recover most of the ransom paid to hackers targeting the Colonial Pipeline.

Court documents said investigators had access to the password of the hacker’s bitcoin wallet. The money was recovered by a recently launched Washington-based task force created as part of the government’s response to growing cyberattacks.

The world’s largest cryptocurrency fell more than 7 percent as of 5 a.m. ET to $32,952, according to Coin Metrics. Ether fell 7 percent to $2,524 and XRP fell about 6 percent.

In April of this year, it was looking for banners for digital assets, with bitcoin reaching $60,000 for the first time. But the recent crypto price plunge has shaken sentiment in the Bitcoin market, dropping to nearly $30,000 last month. and is currently down nearly 50% from all-time highs.

Cryptocurrency is now up just 1

4 percent since the start of the year. Although it is still more than three times higher than last year.

on monday US law enforcement officers It said they had seized $2.3 million in Bitcoin paid to DarkSide, the cybercriminal gang behind the Internet attack on the Colonial Pipeline.

according to court documents The Federal Bureau of Investigation is accessible. Bitcoin “private keys” or passwords for hackers’ bitcoin wallets are often the currency of choice for hackers looking to pay a ransom to decrypt data locked by malware known as “ransomware.”

Crypto Media Decrypt reports that there are groundless rumors that the attacker’s bitcoin wallet has been “hacked”, an unlikely scenario.

DarkSide Reportedly Received $90 Million Bitcoin Ransom Before Shutting Down It operates a business model known as “ransomware as a service” where hackers develop and market ransomware tools and sell them to attacking affiliates.

According to blockchain analytics firm Elliptic, the seized funds represent the ransom share of DarkSide paid by Colonial.

John Hultquist, vice president of analytics at Mandiant Threat Intelligence, called the move an “extremely powerful” move. “Welcome Development”

“It is clear that We need a number of tools to stem the tide of this serious problem. And even law enforcement agencies need to broaden their approach beyond creating cases against criminals that may be beyond the understanding of the law,” Hultquist said.

“In addition to the immediate benefits of this approach, A greater focus on interruption can make this behavior unmotivated. which is growing in a vicious circle,” he added.

A number of issues are weighing on cryptocurrencies. including fears of a regulatory shutdown and a tweet from Tesla CEO Elon Musk.

Last month, Chinese authorities called for a crackdown on crypto mining and trading, once a major market player. China has moved away from speculative investment in cryptocurrencies By banning the so-called fundraising methods, initial coin offerings and the closure of local exchanges.

Meanwhile, Elon Musk has transformed from bitcoin advocates to seemingly in love with it in a matter of months. Musk’s electric car company stopped accepting bitcoin as a payment method last month. due to concerns about the environmental impact

Last week, thousands of bitcoin investors came to Miami for the biggest bitcoin-billed event in history.

The meeting had a couple of bizarre highlights. including El Salvador President Nayib Bukele who announced plans for the country to legally accept bitcoin as money.

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