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$72 million Bitcoin theft causes cryptocurrency price plunge

The theft of 119,756 Bitcoin from the Bitfinex exchange has seen the price of the cryptocurrency plummet by 23 per cent. In what has been described as the second biggest Bitcoin theft after MtGox, $72 million worth of Bitcoins vanished from user's accounts.

It seems that Bitfinex suffered a massive security breach when it was hit by hackers who started to filter money out of segregated wallets. Despite the hack, the exchange says that this incident doesn’t "expose any weaknesses in the security of a blockchain".

The attack on Bitfinex is particularly significant, as it is the largest dollar exchange in operation and has a large user base. Following the discovery of the breach, Bitfinex suspended trading, and by this morning Bitcoin's price had crept up again by one per cent.

A post on the exchange's website explained a little about what had happened and what is being done:

"Today we discovered a security breach that requires us to halt all trading on Bitfinex, as well as halt all digital token deposits to and withdrawals from Bitfinex.

As yet, it is unclear exactly what has happened or quite what the fallout will be. More details will emerge over the coming days and weeks.

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