Second Bitcoin Exchange Halts Customer Withdrawals

syswizard

syswizard

What a bunch of bozos....they didn't subscribe to CloudFlare or other anti-hacking service ? Even I have it for my blogsite !! Are they being cheap or stupid ?

Slovenia-based Bitstamp Cites Denial-of-Service Attack

Bitstamp's move to suspend withdrawals of bitcoin follows similar action Friday by Mt. Gox. Reuters
A second bitcoin exchange halted customer withdrawals on Tuesday as concerns about a software problem affecting the virtual currency's infrastructure spread through the nascent industry.

Slovenia-based Bitstamp said on its website that a denial-of-service attack had triggered "inconsistent results" in its virtual wallet that holds bitcoin for its customers.

"As such, bitcoin withdrawal processing will be suspended temporarily until a software fix is issued," the exchange said in its statement. It also noted that no funds have been lost and none are at risk.

The price of a bitcoin on the CoinDesk price index was down 3.59% at $655.31 in afternoon trading.

Bitstamp said that the problems "have simple solutions that are being implemented as we speak, and we're confident everything will be back to normal shortly."

The move followed a similar action by Tokyo-based Mt. Gox, which on Friday also suspended withdrawals. The exchange on Monday blamed a software glitch for the problems, saying that the bug could potentially give hackers a way to falsify transactions.

Bitcoin supporters have dismissed the idea that the bug threatens the global computer network.
More...
 
The best explanation of what is REALLY going on (from Andreas Antonopoulos):



It’s like a retail customer showing up at a customer service desk with a photoshopped receipt and trying to get a refund. Mt. Gox was fooled because they didn’t check the receipts against the blockchain.


Others are not fooled, but today they saw a flood of such attempts, as if retail shoppers showing up with shoeboxes of falsified receipts hoping to cash in on this problem. These other exchanges are now dealing with a flood of these which is delaying legitimate withdrawals and some suspended withdrawals in order to check their implementations


In about a week I expect all the exchanges will have robust and correct implementations, as the network has now been stress-tested. Some will resume quickly, Gox might take a bit longer to resume. In the end, the entire industry will be more resilient.

http://www.coinspectator.com/andreas-m-antonopoulos-gives-insight-into-the-current-bitcoin-chaos/


So not a DDOS which can be solved by CloudFlare (which Bitstamp has implemented as well)
 
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