How Legitimate is Bitcoin since the Hack

On Wednesday,15th of July, what can be regarded as “The Bitcoin Hack” or “The Bitcoin Heist” occurred. Actions were taking off the accounts of prominent users/ companies on the social Media app, Twitter. The breach promoted a Bitcoin heist or hack that earned the perpetrators over a hundred thousand dollars. Accounts “hacked” during the heist include: President Barack Obama, Joe Biden, Elon Musk, Bill Gates, Kanye West, Michael Bloomberg, and Apple.

As a result of this, twitter has resorted to “locking” these accounts and more so as to find out how the breach happened and proffer a solution and more candid security. Twitter says it won’t restore access to their owners “until we are certain we can do so securely.” As of Thursday, the company is still working to restore access to locked accounts, although it has confirmed that no password information was stolen by the hackers in control of the affected accounts, seemingly all of which were verified accounts belonging to high-profile companies and individuals.

On the day of the breach, the company revealed that its own internal employee tools were compromised and used in the hack, which may explain why even accounts that claimed to have two-factor authentication were still attempting to fool followers with the bitcoin scam.

In Nigeria, “Scam” is not a completely new phase for us as experiences like “MMM” is remembered. We honestly have had our fair share. MMM was a Ponzi scheme launched in 2011 by Sergei Mavrodi, with subsidiaries in up to 110 countries, it became widely popular in various African countries like South Africa, Nigeria, Zimbabwe, Kenya and Ghana with some attributing this popularity to poverty and poor government regulation or law enforcement. Because of the authenticity of MMM at that point, many people invested because individuals actually “cashed out” at some point or another.

Eventually, it was a scam as all of a sudden, individuals could not “cash out” their incredibly large amount of money. It requires people to put in a certain amount of money and getting a larger amount.

Bitcoin on the other hand, is a crypto currency. Bitcoin is a digital asset designed to work in peer-to-peer transactions as a currency. Bitcoins have three qualities useful in a currency: they are “hard to earn, limited in supply and easy to verify.” Per some researchers, as of 2015, bitcoin functions more as a payment system than as a currency. Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. In other words, it is as legit as living.

Having witnessed this “Bitcoin heist” it is without a doubt that a few of us would think Bitcoin is not legit. And as such, the effects of this “recent activity” can only be negative. Apart from people now bothered about the security of twitter, other effects are:

  • It makes people doubt the legitness of the “vendors” of Bitcoin by questioning the level of trust they can have for the intermediary.
  • The validity of crypto currencies like ethereum, lion’s share will be questioned.

While it’s okay to be wary about “unlegit” platforms and scam, seeing beautiful opportunities and deciding to not take them should be regarded as you actually scamming yourself. Bitcoin is indeed a legit way of earning money and it is advisable to invest in it while it is still running.

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