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$270,000: Brazil’s Largest Bitcoin Exchange Foxbit Down for 72 Hours, 30 BTC missing

$270,000: brazil’s largest bitcoin exchange foxbit down for 72 hours, 30 btc missing

$270,000: Brazil’s Largest Bitcoin Exchange Foxbit Down for 72 Hours, 30 BTC missing

$270,000: brazil’s largest bitcoin exchange foxbit down for 72 hours, 30 btc missing
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Foxbit, Brazil’s largest cryptocurrency exchange, has been down for over 72 hours, reportedly because of a bug that allowed its users to withdraw their bitcoin balances twice. The problem saw the company lose a total of 30 Bitcoins, at press time worth roughly $270,000.

Through a livestream on YouTube, the company’s CEO João Canhada and COO Luís Augusto Schiavon, revealed the bug saw its users take advantage of the exchange’s withdrawal system to duplicate 130 withdrawals. After realizing what was going on, Foxbit immediately launched an emergency maintenance mode to halt withdrawals. The maintenance mode reportedly corrupted some of its service providers’ data.

Per the company’s executives, data is now being restored, and Foxbit should be back up by March 14. Through a blog post, the cryptocurrency exchange informed its users that it wasn’t hacked, and linked back to twocold wallets to show their funds were safe.

In an attempt to calm its users down, Canhada and Schiavon stated (roughly translated):

“All funds are protected, both in reais and in bitcoins. Several clients have already returned duplicate values and we are in touch with everyone. We have a specific fund to cover possible losses and the funds in reais are safe in our bank accounts. The platform was neither hacked nor stolen. “

While Foxbit’s CEO and COO claim some users have already returned their ill-gotten funds, it isn’t clear how much was returned. Nevertheless, Foxbit assured that the money that went missing doesn’t harm its operation, as it represents a small percentage of what it currently has. The wallets shown in its blog post have over 7,500 BTC in total.

To further protect users during its downtime, the platform is set to cancel several orders so users don’t lose their balances while unable to manage their accounts. Nevertheless users watching the livestream asked whether the exchange would make it up to them, by creating a zero-fee trading period, for example.

The company’s CEO and COO merely stated they were paying close attention to what was going on but didn’t go any further.

Notably bitcoin is growing big in Brazil. According to CryptoCompare data, the Brazilian Real makes up 0.02% of the cryptocurrency’s daily trading volume, and the country’s police even took down a ‘digital currency’ pyramid scheme last year. As covered by CCN, Brazilian central bank president Ilan Goldfajn took a dismissive stance against bitcoin, and claimed it was a “typical bubble or pyramid [scheme].”

Featured image from Shutterstock.

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Published at Tue, 13 Mar 2018 17:25:49 +0000

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Introducing a Programming Language so Simple, It “Fits on a T-shirt”

http://plas2017.cse.buffalo.edu/

Blockstream is introducing Simplicity, a new programming language for blockchain-based smart contracts, intended for inclusion in Blockstream’s sidechains and eventually in bitcoin. The new language was presented by its creator, Russell O’Connor, Infrastructure Tech Developer at Blockstream, at the ACM SIGSAC Workshop on Programming Languages and Analysis for Security (PLAS 2017).

“Simplicity is a blockchain programming language that is so simple, it fits on a t-shirt,” O’Connor told bitcoin Magazine. “It is critical that smart contracts behave in ways that all participants expect, and applying formal verification to Simplicity allows us to achieve that.”

Simplicity is still a Blockstream Research & Development project, but there’s potential for its use in Blockstream products in the future, according to the company’s announcement.

“Simplicity is flexible enough that I anticipate many new, domain-specific, languages will generate Simplicity, and this will give users the freedom to generate smart contracts using the tools that most suit their needs,” added O’Connor.

O’Connor’s paper, titled “Simplicity: A New Language for Blockchains,” presents Simplicity as “a new programming language, designed to be used for cryptocurrencies and blockchain applications, which aims to improve upon existing cryptocurrency languages, such as bitcoin Script and Ethereum’s EVM [virtual machine], while avoiding some of the problems they face.”

bitcoin script is limited by design and unsuitable for complex smart contracts that need more than a small set of simple templates to perform tasks like digital signature verification. Ethereum, on the other hand, includes a more expressive and flexible, Turing-complete programming language, which allows for arbitrarily complex smart-contracts in principle.

But, in practice, Ethereum doesn’t support static analysis to pre-determine the computing resources that a program will require and, thus, filter out too costly contracts and infinite loops. Therefore, pre-paid “gas” fees are lost when an Ethereum program “runs out of gas.” The simpler bitcoin scripting, which supports static analysis, doesn’t present similar issues.

In a post to the bitcoin-dev mailing list, O’Connor proposed Simplicity as an alternative to bitcoin Script, noting that static analysis is important for both node operators and for Simplicity program designers.

“Static analysis is a technique that provides a universal algorithm to determine how much any Simplicity program will cost to run before you stake your money on it,” O’Connor told bitcoin Magazine.

Simplicity can be seen as a more flexible alternative to bitcoin scripting, not Turing-complete but expressive enough to build useful smart contracts for blockchain applications, or as an alternative to Ethereum, which will support static analysis and other desirable features including improved safety, formal semantics, and Merkelized Abstract Syntax Trees (MASTs).

While Simplicity is intended as a low-level language for smart contracts, O’Connor envisages the possibility of compiling programs written in higher-level languages (like Ethereum’s Solidity) to Simplicity.

“Ivy and the Σ-State Authentication Language are existing programming language development efforts that may be suitable for being compiled to Simplicity,” notes O’Connor in the paper. “For the time being, generating Simplicity with our [Haskell] and [Coq] libraries is possible.”

The next step in Simplicity’s development will be a bare-bones SDK (Software Developer Kit) that will include formal semantics and correctness proofs in Coq, a Haskell implementation for constructing Simplicity programs and a C interpreter for Simplicity. Then, the new language will be ready for initial deployment in the Elements project, Blockstream’s open-source codebase for sidechains, so that developers can start experimenting with the code.

But, as O’Connor stated on bitcoin-dev, “Only after extensive vetting would it be suitable to consider Simplicity for inclusion in bitcoin.”

The post Introducing a Programming Language so Simple, It “Fits on a T-shirt” appeared first on Bitcoin Magazine.

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