Bitcoin prices plunged after one of the digital currency’s largest exchanges said it was hacked and 119,756 bitcoins were stolen, reviving memories of the money lost after Mt Gox, the then-biggest exchange, collapsed two years ago.
Hong Kong-based Bitfinex announced the security breach and froze all customer accounts on Tuesday. Bitfinex is the largest dollar-based bitcoin exchange and third-largest globally behind OKCoin and BTC China, both of which quote in renminbi.
Following the disclosure, bitcoin prices slid 20 per cent from $604 to $482 in the US, marking a two-month low. By late afternoon in Hong Kong yesterday they had recovered to $544.71, according to itBit, another dollar-based exchange.
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