On Thursday Bitcoin hit its lowest level in nearly three weeks, as the popular cryptocurrency was struck twice what has shaken faith in its user base.
Janet Yellen, USA Treasury Secretary nominee, suggested limiting bitcoin due to its suggested use in illegal activities. Then, an unconfirmed report from BitMEX research suggested a critical flaw called “double-spend” occurred in the bitcoin blockchain.
When double-spend occurs? It happens when a bitcoin owner is able to spend the same bitcoin twice. It is a frightening situation for bitcoin as the blockchain was thought to have resolved the issue in 2009.
BitMEX Research found that a small double spend of around 0.00062063 BTC ($21) was detected.
ForkMonitor confirmed that it was not an RBF transaction. This transaction emerges when an unconfirmed bitcoin transaction is replaced with a new transfer paying a higher fee.
The fatal double spend of $21 is a blow to the popular cryptocurrency and could crush confidence in the asset.
However, some institutional investors continue to gain exposure to bitcoin like BlackRock has enabled two of its mutual funds to invest in the cryptocurrency.