21 October 2014

Technical glitch sparks bitcoin sell-off

12 March 2013  |  5923 views  |  0 Stock market graph on screen

Having seen its value soar in recent weeks, digital currency bitcoin plummeted today after a technical glitch sparked a sell off and exchange MT. Gox suspended deposits.

According to an MT. Gox statement, a new bitcoin block too big for version 0.7 of the software was mined by miners using version 0.8, "creating a fork in the blockchain".

Miners quickly moved to downgrade to the older software until the problem is fixed and MT. Gox briefly suspended transactions.

The problem caused some temporary panic, with the currency briefly losing nearly a third of it value, dropping from more than $48 to less than $37. However, within hours it recovered to around $44.

Back in 2011 a hack at MT. Gox saw bitcoin's value crash to pennies but the currency gradually clawed back its value and has recently seen a surge as hopes rise that it could hit the mainstream.

Comments: (0)

Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

06 March, 2013
28 February, 2013
07 December, 2012
05 November, 2012
28 September, 2012
05 September, 2012
13 August, 2012
07 March, 2012
20 February, 2012
05 July, 2011
20 June, 2011

Who is commenting?

Featured job

Competitive
Brussels, Paris or Frankfurt

Find your next job