Despite Legal Turmoil, BitMEX Research Shows Us How Not To Use Brain Wallets
This article originally appeared in our Down The Rabbit Hole newsletter. If you want our news and analysis straight to your inbox, make sure you subscribe now! BitMEX has been dominating the cryptocurrency news cycle lately, for reasons that it would rather avoid. On October 1, the U.S. Commodity Futures Trading Commission (CFTC) charged the exchange with facilitating unregistered trading, and the District of New York filed criminal actions against its founders, Arthur Hayes, Ben Delo and Samuel Reed. Reed, BitMEX’s CTO, was arrested and subsequently released on a $5 million bond. The....
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The so-called “brain wallets” have always been a topic of heavy debate in the Bitcoin world, as this solution to store funds is far from secure. Memorizing passwords is hard enough for people, but there are bigger worries with brain wallets than most people anticipate, according to a new study. Despite the idea of a brain wallet using cryptography to add....
Data from Arcane Research shows that open interest on Bitmex’s bitcoin derivatives market touched a new low of 45,122 BTC on October 1. The figure represents a 16% drop since the CFTC announced charges against Bitmex and its executives for allegedly operating an unregistered trading platform. According to Arcane Research’s post on Twitter, “the former yearly low was painted on the 30th of April when the open interest bottomed at 61,975 BTC.” The post adds that in the wake of the act CFTC, traders are “definitely closing their positions on Bitmex.” Open....
From times immemorial, the Bitcoin and Ethereum camps argue about nodes and their respective blockchains’ characteristics. This mind-bending report by BitMEX Research will put the debate to rest. Surprisingly, they determine that the Bitcoin blockchain is still bigger than the Ethereum one. This will soon change, though. BitMEX Research also concludes that size is not […]
BitMEX Research has identified what it believes to be a double-spent Bitcoin transaction... worth $21. BitMEX Research has identified a suspected double-spend transaction valued at 0.00062063 BTC or roughly $21 — and it doesn’t appear to be an instance of that popular replace-by-fee wallet hack. On Jan. 20, BitMEX’s ForkMonitor noted that “multiple blocks were produced at height 666833.” BitMEX Research tweeted:[1/2] There was a stale Bitcoin block today, at height 666,833. SlushPool has beaten F2Pool in a race. It appears as if a small double spend of around 0.00062063 BTC ($21) was....
To some who have just skimmed the headlines around the BitMEX exchange, the legal activity and allegations around the firm seem a bit overblown. It seems like just yesterday, people were happily trading on the platform. Then all of a sudden, some of the top players, Arthur Hayes and Benjamin Delo et. al., are in handcuffs. What happened? An indictment filed by prosecutors in the Southern District of New York against BitMEX CEO Arthur Hayes […]