The cryptocurrency market is still very much the wild wild west…

Nano, Bitgrail, why do we care?

Bitgrail, the Italian cryptocurrency exchange, got hacked last week. Or at least that’s when they decided to announce the news, but Reddit and the online crypto community are at large with accusations. Reportedly, $195 Million worth of customer’s cryptocurrency was stolen (full disclosure: I am one of those customers). $195 Million. There was a time when that would have absolutely tanked the cryptocurrency market but today it stands as but a footnote in the crypto space. Afterall, it is only a month ago that Coincheck was hacked and customer’s lost approximately $500 Million. People all too easily forget that this is still very much the wild wild west and that anything can happen. Talk about high risk, high reward…

So why did people put their trust in an obscure Italian cryptocurrency exchange when there are so many larger and more reputable exchanges out there? Well until recently Bitgrail was one of the main trading portals for Nano, a trustless, low latency, cryptocurrency that had grown very popular in the last couple of months. What Nano itself is not the focus of this post, but it does bring attention to the risky trading system that currently exists in the cryptocurrency sphere. People are very much on the lookout for less heard of tokens with, ostensibly, high potential for growth and want to invest in them before it hits more popular cryptocurrency exchanges. This leads to people (like me) investing in less reputable and less-heard-of crypto exchanges like Bitgrail and assume the risk of losing everything (like me).

This should be a humbling reminder for everyone (like it is for me). Yes, cryptocurrency valuations have risen to unprecedented levels. Yes, there is incredible potential in this space, but in an unregulated market anything goes.  The cryptocurrency market is still very much the wild wild west…

P.S. Here are some tips for better protecting your crypto assets