Coinbase saved some Bitcoin - A good thing ?

By Lodhfiaz | Lodhfiaz - Cryptocurrencies | 24 Jul 2020

As everybody knows, last week there was a massive Twitter Hack that resulted in the theft of just over $ 100,000 in bitcoin. Some see it as a big hack and some people don't. Here are some of my thoughts I want to share with you guys.

A big hack ?

I am one of those who think that the amount that has been stolen is far from what could have been achieved for such a hack. I think that is the opinion of most of the people who are involved in the world of cryptocurrencies, blockchain technology or IT and security in general.

A few weeks ago, I was warning about the flourishing number of fake videos that Youtube was promoting and which similarly promised to double the Bitcoin you would send to a specific address. Here is the article if you are interested in it. I have to admit that, while writing this article, I told myself that this scam was soooooo obvious and that no one could be fooled. But, well, it looks like people are more gullible than I could have thought.

Hopefully, it appears that Coinbase limited the breakage by saving as much as $ 300,000 worth of Bitcoin. Having been alerted to the scam, the platform would then have blocked the transfer of several of its customers.

Coinbase acting like a bank

But here is the thing. In my opinion, it is important to ask questions about Coinbase's move. It is important to remember that Bitcoin is supposed to be a completely decentralized currency that allows people to carry out transactions without the presence of a third party (i.e. a bank !). Here is my question and I am sure you see it coming.

After this, can we say that Coinbase is different from a bank ?

Because to me, it looks like my banker blocking my transfers because it's "too risky".

Today it is certain that many people see cryptocurrencies as a resource that can be easily traded and has the potential to pay them big. Remember that you can win big but you can also lose so much.

Why did it work ?

What I mean, and this is the feeling I have, is that people who invest in cryptos today are no longer interested in the way out that crypto offers them. Or by the impressive and ever more innovative new blockchain technology.

A lot of people have probably entered this world on the advice of friends who just told them hey look how much I made you should buy bitcoin.

For me, a person who has been at least interested in cryptocurrency cannot fall into such a trap and send his money to nothing.

I think these people can thank Coinbase for getting their hands on their Bitcoin, which is supposed to be a decentralized currency I remind you. I hope that, even if they didn't lose their money, they still learned the lesson.

This article is a little different from what I used to write because I've been thinking about this subject a lot lately. And I had less time to write because I have just started my Ph.D.

However, I wanted to thank all the people who have followed me for some time and who are always kind in the comments.

Thanks for reading, have a nice day, be safe !