Posted on

Bitcoin Private Team Accuses Crypto Exchange HitBTC of Fraud After Delisting

Bitcoin Private (BTCP) developers have accused cryptocurrency exchange HitBTC of fraud in connection with the recent coinburn.

Bitcoin Private (BTCP) developers have accused cryptocurrency exchange HitBTC of acting in a fraudulent manner in regards to their delisting from the exchange following a planned coinburn.

The accusations are portrayed in a letter written on Feb. 26 to the exchange by the Petros Law Group on behalf of the BTCP community, developers and contributors, and published by the Bitcoin Private Twitter profile on March 9.

According to its authors, the letter — which was published the day BTCP was delisted from HitBTC — alleges that HitBTC attempted to extort BTCP following unresolved complications arising from the coinburn.

According to the document, at the beginning of March last year, BTCP was created in a fork from ZClassic (ZCL) and Bitcoin (BTC) with a notice of a future coinburn in its whitepaper: the scheduled event was meant to delete (or “burn”) all the coins which haven’t been claimed (or moved) since the fork. On March 3, 2018, the day after the launch, HitBTC reportedly charged the BTCP team a listing fee of half a million dollars in Bitcoin.

The document includes screenshots of apparently since-deleted tweets in mid-February from HitBTC, which explained to users that since the exchange’s BTCP addresses were created after the fork took place, users won’t be affected by the coinburn.

On Feb. 15, one day before the coinburn was planned to happen, HitBTC reportedly contacted BTCP requesting assistance to protect its users’ funds in a series of emails, which then escalated into a request for compensation of 58,920 BTCP to be given after the coinburn due to expected losses.

However, as the document underlines that BTCP addresses created after the fork will not be affected, the exchange cannot have been concerned about users’ loss of funds, as that situation did not exist. Instead, the document alleges that HitBTC secretly held 58,920 BTCP in a BTCP Segwit wallet, and the concerns over the coinburn were related to the exchange’s personal funds.

The document further claims that BTCP developers informed the exchange that they didn’t intend to accommodate the compensation demand, but did provide technical assistance — shown with email screenshots — meant to help protect the funds from the coinburn.

On Feb. 17, the coinburn reportedly happened, one day after it was forecasted, and on Feb. 21, HitBTC allegedly threatened to pull BTCP support if the coin’s development team did not compensate 58,920 BTCP.

HitBTC has released a statement on its official blog on March 9 stating that the BTCP team was unable to provide a safe way to move the funds before the burn, but that the exchange has compensated all the custody losses. HitBTC has not responded to Cointelegraph’s request for comment by press time.

As Cointelegraph reported in December last year, during the import of Bitcoin chain data, an additional 2.04 million units of altcoin Bitcoin Private were reportedly secretly coined.

The discovery was later confirmed by the coin’s developers, who stated that the findings were mathematically accurate but “at this time, the source, purpose, and recipient of this exploit is currently unknown.”

Posted on

Team McAfee launches McAfee Market Cap and McAfee Crypto Team Websites

John McAfee has been dubbed the crypto-crusader who will fight for the rights of every single crypto-trader to his last breath. He has thrown jabs at the SEC for their role in trying to stop the expansion of cryptocurrencies and even filed a lawsuit against the HitBTC. With regards to HitBTC, McAfee is gathering information from those affected by the HitBTC services after the exchange ‘made it difficult’ for owners of Docademic (MTC) to withdraw their funds on the exchange.

It is with this background that Team McAfee has launched and

The website presents data aligned with the values and 24 hour trends of all the major coins and tokens in the crypto-markets. The current list on gets to 948 cryptocurrencies and also provides real time data on the total market cap of the crypto-markets, 24 hour volume and the Bitcoin Dominance.

Screenshot Source,

According to the website, was founded due to the following reason:

The McAfee Market Cap was founded at the start of 2018 when a few Team McAfee members had a vision: to create the ultimate one-stop shop knowledge and information database regarding all things blockchain  and cryptocurrency. Today, there are several websites that offer great information and price tracking. The McAfee Market Cap aims to improve on these concepts and bring something unique and valuable to the table.

The site goes on to state that there are plans for additional functions on the website:

Summer 2018 will be a big one for the McAfee Market Cap and the cryptoverse.  We will be implementing additional coins, indexes, and an online social network for traders, investors, and blockchain enthusiasts.

Team McAfee has also launched The McAfee Crypto Team website that offers support for ICOs at all stages of development. Their experts work with ICOs in the following ways:

  • Strategic analysis – at all stages of the ICO process
  • Whitepaper support – polishing whitepapers to better communicate the project’s vision
  • Web Optimization – website usability and aesthetics
  • Crypto-connection audit – audits all partners on key elements such as trust, viability and experience
  • Network Resources – access to team McAfee’s industry connections
  • Audience Reach – social media and other multimedia services

These two websites and services by the McAfee team are a welcome addition to the crypto-community resources. Three cheers to the team!


Posted on

Crypto Pundit John McAfee Filling Legal Charges Against HitBTC

Cryptocurrency big daddy, John McAfee has declared his readiness to file legal charges against HITBTC, after the exchange allegedly refused to yield to his complains.

On different occasions, McAfee has been the voice of the cryptocurrency community, condemning “inhumane” actions of some governments who put a ban on cryptocurrency and the Security and Exchange Commission (SEC) that earlier categorized some coins as security while playing double standard with many others.

“HITBTC has not responded to our requests. We are preparing a legal complaint against HITBTCs service provider and against HITBTC. If you have an issue with HITBTC, then please send details to: [email protected]

While the time that McAfee plans to fire his charges cannot be ascertained, the crypto enthusiast is gathering information from those affected by HitBTC services, which he said it is anti-people after it closed access to free health care available through Docademic.

The respected programmer whose Antivirus software known as McAfee was revered in the technology world earlier dished series of condemnations against HitBTC, but remained unsatisfied because the exchange has not replied him

The reason, as first stated by McAfee was that crypto exchanges are connected to banks and governments. He added that to take down the whole system (despotic government policies), exchanges must first be taken down. He said he singled out HitBTC because they are the worst.

In the same line, McAfee said he had sent eleven letters to HitBTC, however, he has not been replied.

“I have sent eleven empassioned letters to @hitbtc and received only one response. Is it our fault? CEO of Docademic, Mr. Charles Nader warned the CEO of Hitbtc three months prior to these unnecessary deaths. You tell me sir, who is responsible?”

Responding to McAfee, HitBTC sent a get well message to the crypto lord, then the exchange published a reply it sent to John McAfee, thanking him for been the voice of the cryptocurrency community.

Recently, McAfee released his “unhackable wallet”, Bitfi. The earlier batch of the wallet, according to him, sold out in less than a minute.

In the same line, the crypto lord had promised to unveil McAfee coin late last month. Observers have, however, opined that he is looking for a method to dodge the SEC unbendable policy before releasing the coin.


Posted on

John McAfee Continues To Throw Jabs At HitBTC

John McAfee has asked his twitter followers, and the crypto-verse at large, to boycott the exchange known as HitBTC. According to McAfee, the exchange has embodied the corrupt powers that decentralization had set out to eliminate.

He would state the following via twitter:

The crypto exchanges have become the thing that we have originally fought against. Their power is immense. Hitbtc, for example, has increased suffering for millions of poor people who cannot afford the minimum buy-in since it is greater than their monthly income. Boycott them.

In reply to his tweet, many of his followers expressed their frustrations with the exchange as can be seen below:

One of McAfee’s twitter followers would recommend that decentralized exchanges were the only way to get rid of the power hungry centralized exchanges such as HitBTC. Others elaborated their experiences of how the exchange ‘held’ hostage their coins for weeks without an explanation. This was after one of McAfee’s associates offered to offer his help in solving all issues related to the exchange. Evidence of this can be seen in the tweet below:

McAfee has vowed to continue fighting the exchange until it realigns its priorities to mirror those of the crypto community and those who cannot afford the high fees on the exchange. John would issue this warning via twitter when he said:

HitBTC I will be your worst enemy until you prove that you are aligned with our community and are truly interested in helping the poor. You have not done shit to help access the only free healthcare in the world.

One of McAfee’s chief goals is to take down the entire system of power hungry governments, banks and exchanges. This is why he has expressed his intentions to run for President in 2020. Although he admits his chances of winning the elections are slim, he is confident that it will provide him a global platform to air his views to a listening audience. He plans on showcasing the almost-free healthcare solution of Docademic, as a solution to the healthcare debacle in the United States.


Posted on

John McAfee Goes After Exchanges, Says HitBTC Suffers Millions Of Poor People

Crypto pundit, John McAfee, is speaking tough on HitBTC and other exchanges for not standing in defense of the poor whose funds are being carted away by hackers.

Mr. McAfee, a respected programmer known for condemning fiat currency while maintaining that crypto (BTC, LTC, XRP, XMR, TRX) is the next big thing, is calling for total boycott of HitBTC and other exchanges which crypto lovers say are behind market manipulations and having exorbitant buy-in that is greater than the poor’s monthly income.

McAfee tweeted: “The crypto exchanges have become the thing that we have originally fought against. Their power is immense. HitBTC, for example, has increased suffering for millions of poor people who cannot afford the minimum buy-in since it is greater than their monthly income. Boycott them.”

He later maintained that he’s going to be HitBTC’s worst enemy until they go in line with the cryptocurrency community while helping the poor at the same time.

“I will be your worst enemy until you prove that you are aligned with our community and are truly interested in helping the poor. You have not done shit to help access the only free healthcare in the world.”

While the cryptocurrency community is wondering what might have gone wrong between McAfee and HitBTC, it is no news that so many exchanges are being manipulated to fence out the poor who believe there is future in HODLing crypto.

Recently, John McAfee launched his coin, McAfee coin, saying in a tweet on the 29th of May, that the crypto will come live in 26 days time.

“No hoax. The “McAfee Redemption Unit” is real and coming in 26 days. The graphic is low res – don’t want to give much away yet. Printed on currency paper, holographs on both sides, serialized, linked to the blockchain, redeemable, convertible, collectible”

Though, there is no sign McAfee coin would be unveiled soon, owing to his silence on the coin, but there is a new development. The crypto dad has unveiled his McAfee wallet on the 22nd June, and when it was made public for sale on 28th, the first batch of the wallet was sold out within 2 minutes.

“Today I am announcing my ultra secure wallet, built by Bitfi. It will forever change the landscape of crypto storage. Would have told you earlier, but, if you read my prior tweets, I was unconscious. Anyway, you must check it out”.


Posted on

HitBTC: Japan Users Banned ‘Temporarily’ As Solution Planned For Q3 2018

Cryptocurrency exchange HitBTC said it wants to relaunch trading for Japanese residents via a “regulated subsidiary,” Cointelegraph Japan reported June 4.

In a blog post, the world’s eighth-largest exchange by volume – according to Coinmarketcap data – outlined its plan of action after users received letters warning them that the exchange would freeze Japan-linked accounts over “compliance” issues.

“The company has been in consultation with the regulator and decided to suspend its operations for Japanese residents to comply with current regulation,” the post reads.

“The measure has been taken in response to recent regulatory changes by the Japanese Financial Services Agency (FSA), and will apply only to those living in the country.”

While not stating which exact “changes” had led to the move, the exchange appears to have planned a shake-up of its Japanese availability for some time.

“Previously this year, HitBTC team started working with a worldwide-recognized Japanese law firm, the cooperation aimed to get HitBTC through the local subsidiary setup and licensing procedure to resume its services for Japan residents,” the post continues, adding it was also in touch with unnamed “authorities and regulatory bodies from different regions worldwide” over the issue.

Japan has sought to formalize its cryptocurrency exchange market in recent months following the $530 mln hack of Coincheck in January.

Following various closures, remedial measures and a buyout of stricken Coincheck, other operators continue to eye the country as a potential success story.

Japanese financial services giant SBI Group launched its first exchange this week, while the list of competitors includes Yahoo! and the largest US exchange Coinbase.

HitBTC meanwhile plans to launch its subsidiary operations in Q3 this year.

Posted on

Bytecoin (BCN) Team Reschedules Hard Fork, Clarifies BCN is Not A Pump and Dump

Unbeknownst to many Crypto traders, the team at Bytecoin (BCN) had an AMA (Ask Me Anything) on Reddit that concluded on the 16th of May. This is the project’s third such event and was geared towards answering some lingering questions about the project’s road-map, its progress and to address the rumors that their was a pump and dump orchestrated when the coin was listed on Binance on the 8th of May.

With respect to the Binance listing, the coin managed to surge by 30% in less than one hour from $0.007 to $0.009. What initially happened is that the coin peaked to levels of $0.018 exactly after listing on Binance. Moments later, Binance users were experiencing delays with deposits and withdrawals, indicating a clogging of the BCN network. The issue was resolved but also occurred in two other exchanges: Poloniex and HitBTC.

The events described above, prompted many in the crypto community, to assume that the Coin is a pump and dump scheme. Many traders were quick to judge that the BCN team had intentionally orchestrated the delay so they can cash out efficiently, and with huge profits. However, the BCN team has refuted these claims and explained themselves on reddit.

The BCN team clearly stated that they only have control of the BCN software that governs the coin and were not aware what time Binance was going to make the announcement of the listing. The team reiterated that they have nothing but good intentions for the project and community. They said that the crypto market is what dictates the prices of the coins and tokens in general.

With respect to the scheduled Hard-fork of the coin to simplify the software, the BCN team has decided to reschedule the event due to the issues during the Binance listing. The main purpose of the hardfork as earlier stated, is to simplify the code, improve P2P protocol, and introduce dynamic fees.

More on the AMA (Ask Me Anything) discussion can be found on reddit.

Other questions that were answered were with regards to updating the roadmap and BCN debit cards. The BCN team pledged on updating on any developments on both issues with time. They also mentioned announcements of partnerships and more exchange listings of the coin to come as we progress down the year.

BCN is currently trading at $0.008644 and down 7.22% at the moment of writing this. This is because the entire market is also in the red, with the total crypto market capitalization dropping $3 – $5 Billion from levels witnessed only yesterday.

Posted on

Crypto Exchanges Pause Services Over Contract Bugs

As many as a dozen or more ethereum-based ERC-20 smart contracts have been found to contain bugs that let attackers create as many tokens as they want.

While the bugs – first identified on April 22 and April 24, respectively, in a pair of posts published by a group called Coinmonks – aren’t tied to the ERC-20 standard itself, the issues prompted a number of exchanges to suspend ERC-20 tokens as they investigate. Those exchanges included OKEx, PoloniexChangelly, Quoine and HitBTC.

Huobi.Pro separately announced on April 25 that it had suspended all coins, but has since limited that to ERC-20-based tokens. As of press time, Poloniex has moved to reinstate services for ERC-20 tokens.

In one example, an attacker transferred 57,896,044,618,658,100,000,000,000,000,000,000,000,000,000,000,000,000,000,000.792003956564819968 BeautyChain Tokens – as shown by transaction data on Etherscan – on April 22, a development that prompted the initial investigation into the issue.

“Our study shows that such transfer comes from an “in-the-wild” attack that exploits a previously unknown vulnerability in the contract. For elaboration, we call this particular vulnerability batchOverflow,” Coinmonks’ post on the 22nd explained. “We point out that batchOverflow is essentially a classic integer overflow issue.”

Countless coins

The batchOverflow post outlines how the batchTransfer function in a contract has a maximum number of tokens that can be sent in a transaction, adding that the value of the tokens being transferred must be less than the total number of tokens that were generated. However, the “_value” parameter – one of the two that determine the total number of tokens – can be manipulated, which would then change another variable, resulting in an attacker being able to create as many tokens as they’d like.

Further, the attacker can bypass the barriers in the contract which would normally ensure that a reasonable number of tokens are being transferred.

“With amount zeroed, an attacker can then pass the sanity checks in lines 258-259 and make the subtraction in line 261 irrelevant,” the post explained, noting:

“Finally, here comes the interesting part: as shown in lines 262-265, the balance of the two receivers would be added by the extremely large _value without costing a dime in the the attacker’s pocket!”

While initial reports indicated all ERC-20 tokens may be impacted, the “batchTransfer” function is not part of the token standard.

The Medium post did not list the vulnerable projects, though it did note that the BeautyChain was the first project they discovered. In a sign of the seriousness of that bug, OKEx said on April 24 that it was rolling back trades on the BeautyChain Token.

The exchange also announced around that time that in light of the bugs, it was suspending desposits and withdrawals a project called SmartMesh trading due to “abnormal trading activities.” Coinmonks and author Ranimes noted that this was possibly due to the proxyOverflow bug, which, like batchOverflow, is a classic integer overflow problem. Certain variables can be manipulated to spontaneously generate large amounts of tokens.

One Twitter user noted that an attacker created $5 octodecillion in SmartMesh tokens.

As one of the posts noted, the danger exists that someone can use a vulnerable cryptocurrency to manipulate prices in their favor by trading with bitcoin, ether or another trading pair.

Representatives for the BeautyChain and SmartMesh projects did not immediately respond to requests for comment. However, a statement on BeautyChain’s website acknowledges the bug and states that trading will resume at an undetermined point in the future.

Similarly, SmartMesh announced that it would take steps to prevent price manipulation, saying:

“The SmartMesh Foundation will take the equivalent amount of SMT to the counterfeit amount and destroy it to make up for the losses caused, and keep the total supply of SMT at the value of 3,141,592,653.”

Image via Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

Posted on

Multiple Exchanges Suspend ERC20 Token Trading Due To Potential BatchOverflow Bug

Crypto exchange Poloniex has suspended all ERC-20 (Ethereum-based) token deposits and withdrawals, and HitBTC has initiated an internal inspection that takes deposits and transfers offline, following OKEX’s decision to halt ERC20 deposits earlier today after the discovery of a potential new smart contract bug called batchOverFlow.

Other exchanges that chose to halt ERC-20 token trading because of the newly discovered vulnerability include Changelly, QUOINE and a number of others.

On April 23, Medium user ranimes posted a blog entitled, “New batchOverflow Bug in Multiple ERC20 Smart Contracts,” detailing how a “a previously unknown vulnerability in the contract” that could allows “an attacker to possess a huge amount of tokens by exploiting these vulnerable contracts,” thus allowing for price manipulation.

The blog post notes that, due to the “code-is-law” principle that is used on the Ethereum (ETH) Blockchain, “there is no traditional well-known security response mechanism in place to remedy these vulnerable contracts.”

The author of the blog writes that teams that work with contract with this vulnerability have been contacted, but “other exchanges also need to be coordinated and there still exist other tradable tokens vulnerable to batchOverflow.”

The blog mentions that another problem could arise with non-centralized exchanges that use offline trading services, “as they cannot even stop attackers from laundering their tokens.”

Medium user John Huxtable commented on the blog post that he thinks “it’s worth noting that batchTransfer isn’t a standard ERC20 function so only the contract owners which chose to implement it could be effected.”

The current problem with some ERC20 tokens comes just after MyEtherWallet reported yesterday that around $150 mln ETH was stolen in an unrelated DNS hack.

Posted on

Crypto Start-Up Allows Businesses To Buy Ad Space Using Ether, Pixel By Pixel

A new project is aiming to create a “billion-dollar picture” by launching a cryptocurrency-powered advertising space that is open to everyone.

CryptoPicture is a 1,000 pixel by 1,000 pixel image where businesses and individuals can purchase a block to publicize themselves – personalizing it with a logo and a link to their website. Over time, the company aims to amass a rich patchwork of brands, products and personalities.

The start-up has bold plans to give each advertiser “huge exposure” and international reach through an array of platforms, with the ultimate goal of making the picture visible to millions of prospective customers.

How pricing works

Advertising space in the CryptoPicture can be purchased using Ether, with the cost per unoccupied pixel rising incrementally as more and more of them get filled. As such, those who buy a block early are likely to get the most reasonable rates.

However, there is no plan that the space will belong to a company forever. At any time, a block that is already occupied can be purchased by someone else without the owner’s prior consent. The new buyer would need to pay three times the price per pixel set by the current occupant, with 95 percent of the proceeds going back to the people who have just lost the space. The remaining 5 percent is treated as a transaction fee and collected when the smart contract is completed.

According to CryptoPicture, this mechanism is a form of self-regulation that will ensure the image stays “healthy” and fresh – regularly giving something new to those who view it. When the image is completely full, it means major corporations would be able to snap up the most prominent spaces with ease.

The company believes that tech-savvy companies – especially those in the Blockchain and cryptocurrency sectors – will likely be early adopters of CryptoPicture, with the image initially being given a prominent showing in the crypto community. However, over time, the start-up hopes to pivot to the public at large – incentivizing major consumer brands to advertise in the process.

Getting CryptoPicture “literally everywhere”

CryptoPicture was founded by Victor Sazhin – an inventor with a track record of creating web products which have made the Alexa Top 1000. As well as being behind Free Download Manager, a popular open-source application for Windows PCs, he created the Photo Lab app for smartphones.

Photo Lab has more than 10 mln users every month, and Sazhin plans to “heavily feature” his latest venture through special effects on the app. As a result, the company says “users who edit their photos with those templates inside Photo Lab will promote CryptoPicture themselves.”

The plans for promotion do not end here – with CryptoPicture hoping to end up on billboards, be featured in art museums, and maybe even be painted on to F1 cars in the future.

CryptoPicture argues that such ambition means that even corporations who spend millions of dollars’ worth of Ether on advertising space could get exposure which represents value for money compared with a conventional campaign.

Pixels go on sale

CryptoPicture’s presale has now been completed and gathered $3 mln, according to the company. Advertisers who have already taken out space include Freewallet, HitBTC, and BlockShow. Pixels are now available for anyone to buy.

The company says it is willing to welcome many forms of advertising – from artwork to initial coin offerings. However, in time, it hopes to ensure that inappropriate content featuring violence, bad language or pornographic material is regulated by giving voting rights to block owners. The amount of influence that an advertiser has would be tied to the amount of pixels they own in the image.

Disclaimer. Cointelegraph does not endorse any content or product on this page. While we aim at providing you all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor this article can be considered as an investment advice.