Seller Becomes Victim of Bitcoin Double-spend Attacks Using BitPay

Seller Becomes Victim of Bitcoin Double-spend Attacks Using BitPay

One specific on-line Bitcoin look was the victim of many double-spend attacks whereas victimization BitPay as a payment processor. Whereas BitPay let, merchants settle for payments as completed at zero- network confirmations, it is still potential to double-spend money. This highlights the requirement forpayment processor ‘insurance’ all transactions are going to be honored once handling zero-confirmation payments.

bitpay

This on-line look sells in-game things, in the main for Counter-Strike: Global Offensive. Throughout the years, this game has become progressively in style. Gamers are forever searching for the most recent skins to indicate off. A number of this stuff will choose many hundred bucks on the market.

Due to the correlation between Bitcoin and diversion purchases, the web look signed up for BitPay as a cryptocurrency payment processor. This implies the look can forever receive the funds, and payments are deemed complete once they are visible on the blockchain. In most cases, this may not be a reason for concern, as most transactions bear while not a hitch.

However, things started going wide not too back, as many double-spend transactions were recorded. Whereas this cannot cause money losses to the shop, it is an intriguing event. The public would not even take into account double spending to be a difficulty for little purchases. Then again, with next to zero prices related to a tried zero-confirmation double-spend, it is forever value a trial to some individuals.

bitcoin

At a similar time, individuals have to detain mind a zero-confirmation double pay has no one hundred-success rate either. It is actually potential to try and do therefore while not a lot of technical data. However, the actual client during this case managed to successfully to do therefore for all five transactions, which is quite worrisome.
All of this goes to indicate Bitcoin payment processors can got to work on denying double-spend attacks from happening. For now, BitPay is not even victimization replace-by-fee however, which might solely create the matter worse. Thankfully, these attacks will not work for purchasing physical merchandise, as those transactions typically verified additional fastidiously.

Author Avatar
by admin

Leave a Comment