Karnataka Bitcoin Scam Here Is Everything You Need To Know!

Karnataka Bitcoin Scam Here Is Everything You Need To Know!

Bitcoin is one of the most popular cryptocurrencies ever to be existing, and there is no doubt that the market cap of bitcoin, in contrast to other currencies, is much gigantic. The creator of bitcoin is Satoshi Nakamoto, whose identity is still unknown. However, you must be familiar that all these currencies are merely digital and have no physical existence. Due to virtuality and decentralization, bitcoin has both advantages and disadvantages.

Bitcoin is legal and illegal in some countries; however, it is neither legal nor illegal in India as there are no cryptocurrency regulations regarding bitcoin or any possible cryptocurrency. Due to such facts, recently, the media came across the most significant bitcoin scam ever to exist. Bitcoin is not just a digital currency nowadays, as people are making a considerable amount of money by trading and investing in it.

Undeniably you can send money to any individual without the involvement of any government authorities as bitcoin is based on a peer to peer network, but there are some cons of decentralization. If you want to get some in-depth information about bitcoin, check bitcoin up. Here is everything you should know about the biggest bitcoin scam.  

What is this Scam all about?

Randeep Surjewala questioned multiple queries from the prime minister and the chief minister of Karnataka. According to him, this scam is not merely a money-laundering crime but also an international crime. An individual from Karnataka hacked multiple cryptocurrency exchanges recently, and bitifnex was one of his prominent choices as he hacked bit flex twice.

 The fact might amaze you that this group nearly hacked a 700 million dollar deal around 5000 Crore INR. Yes, you read it right. He exploited some bugs in the data centre of the exchanges he hacked and then extracted essential data to make the hack possible. Randeep alleged prime minister and the chief minister of Karnataka for such irresponsibility. Rahul Gandhi also tweeted that the bitcoin scam is significant, but the cover-up of the bitcoin scam is much more significant.

Can Anyone Hack Bitcoin Exchange?

Bitcoin Exchange is not that easy to hack; an individual can only hack an exchange if you find a margin of error by any chance. Undeniably professional hackers can hack both decentralized and centralized cryptocurrency exchanges, but decentralized exchanges are a bit easy to hack in contrast to the centralized exchange. However, nowadays, both types are increasing their security features by an exceeding extent and cannot possibly breach their security.

Is decentralization of Bitcoin an Issue?

Technically this heist was possible only because of the decentralization of bitcoin, but no decentralization is not at all issue. The individual who hacked these exchanges was able to succeed only because of bugs and errors in these exchanges. Undeniably due to decentralization, money laundering was possible as the government did not have the record of transactions that were taking place. Still, blockchain, the public distributed ledger of bitcoin, is open for all, and we can check the transactions occurring anytime we want.

Will Bitcoin Be Banned In India After this Scam?

Bitcoin is a golden opportunity for everyone to make considerable money. India recently drafted a bill to ban bitcoin and other cryptocurrencies in India, including crypto mining. However, RBI did not table the bill in parliament due to robust reasons. Recently, higher authorities involved in the decision making of cryptocurrency regulation did perform a meeting to discuss the future of bitcoin in India. In a nutshell, there are no clear regulations regarding bitcoin in India, but these higher authorities will possibly make some cryptocurrency regulations very soon.

What is Bitcoin mining?

Bitcoin mining is an excellent source of income if you have some to invest in bitcoin mining equipment. Bitcoin mining refers to confirming bitcoin transactions and adding them to a public distributed ledger by solving a math puzzle.

 As a reward of the bitcoin mining action, bitcoin miners can win a block reward of up to 6.25 bitcoin units with the transaction cost; yes, you read it right. However, bitcoin mining is merely profitable if you have robust bitcoin mining rigs or ASIC miners.

The portion mentioned above is everything you should know about the bitcoin scam. 

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