Following a theft at Curve Finance, a platform where users can borrow and trade cryptocurrencies, shares of firms involved in the cryptocurrency and blockchain industries plummeted in premarket trading on Tuesday, causing bitcoin to hit a six-week low.
The biggest cryptocurrency in the world, Bitcoin, decreased by nearly 2% to $28,870.
On Sunday, the business announced on messaging service X, formerly known as Twitter, that Curve Finance had been hacked. According to media sources, losses could total more than $40 million.
PSA: Vyper versions 0.2.15, 0.2.16 and 0.3.0 are vulnerable to malfunctioning reentrancy locks. The investigation is ongoing but any project relying on these versions should immediately reach out to us.
— Vyper (@vyperlang) July 30, 2023
Bitcoin exchange In premarket trading, shares of blockchain farm operator Bitfarms dipped 1.1% while those of Coinbase slid 3.1%.
Crypto miners including Riot Platforms, Marathon Digital (MARA.O), and Hut 8 Mining’s American-listed shares all experienced a decrease of between 3% and 3.35%.
The cryptocurrency market is at a turning point, with the U.S. Securities and Exchange Commission criticizing two of the biggest firms, Binance and Coinbase.
The U.S. Federal Reserve’s rate increases have put more pressure on riskier assets like cryptocurrency.