Subscribe
February 25, 2026
Sign In

Capitalizations Index – B ∞/21M

Menu
Breaking
Understanding Bitcoin Maximalists: Belief in Bitcoin’s Supremacy Bitcoin’s Supply Schedule: Gradual Release to 21 Million Coins The Satoshi: Bitcoin’s Smallest Unit Honors Its Creator Bitcoin as a Versatile Currency for Goods, Services, and Real Estate Getting Started with Bitcoin: Wallet, Purchase, and Transactions

BitMex Insurance Fund Can Finance 51% Attack on Bitcoin Cash For a Year

Bitmex insurance fund can finance 51% attack on bitcoin cash for a year

BitMex Insurance Fund Can Finance 51% Attack on Bitcoin Cash For a Year

Bitmex insurance fund can finance 51% attack on bitcoin cash for a year

Hong Kong-based trading platform BitMEX owns so much Bitcoin that it could launch multiple 51 percent attacks against some altcoins for months.

bitcoin Insurance Fund Worth $76 Million

Those were the results of calculations from social media commentators this week as it emerged BitMEX’s Insurance Fund now contains 21,350 BTC ($75.9 million).

The “monstrously large” fund, as Twitter account loomd’rat described it in December, has accelerated its accumulation in recent months as the bitcoin price tanked from $6500 to $3500.

According to BitMEX’s own statistics, on January 1, 2018, the fund had a balance of just 2720 BTC ($9.6 million).

bitcoin podcast producer Zack Voell expressed the balance a year later in different terms, such 1 percent of cryptocurrency exchange Coinbase’s recent evaluation or 2 infamous Bitcoin pizzas from 2010.

“…BitMEX’s Insurance Fund growth (an unbeatable benchmark) is roughly as predictable as bitcoin’s monetary policy,” he commented, uploading a graph of bitcoin’s steady issuance versus the fund’s growth.

Insane BTC Stash

As Bitcoinist reported, research had previously delivered stark warnings about the ease of attacking some altcoins’ bitcoins to manipulate transaction credibility. With a relatively insignificant amount of money, a malicious party could launch attacks on some of the best-known altcoin networks.

“BitMEX’s Insurance Fund is currently worth 1 percent of Coinbase valuation, 2x Laszlo’s pizzas, 580 2018 GranTurismos, 3,800 hours of an LTC 51 percent attack,” notes Voell.

Litecoin 00, which researchers included in the findings in May last year, would cost around $18,000 per hour to attack at current prices.

Other assets fared much worse, with Bytecoin (BCN) costing just $557 per hour at the time. BitMEX could now theoretically finance a 51 percent attack on bitcoin Cash (BCH), Monero (XMR), Dash (DASH), and others for more than a year.

Responding to Voell, however, Twitter users highlighted the size of BitMEX’s holdings as their primary concern.

“(T)he fact that people put up with Bitmex’s products speaks to 1) the maturity and competence of market participants and 2) the state of ‘good’ exchanges in the space, or lack thereof,” one wrote, describing the BTC horde as “literally insane.”

In August, Bitcoinist reported that BitMex moved into the world’s most expensive office building, located in Hong Kong.

BitMEX did not immediately weigh in on the criticism.

What do you think about BitMEX’s insurance fund? Let us know in the comments below!

Images courtesy of Shutterstock

Published at Thu, 24 Jan 2019 02:20:28 +0000

Previous Article

BitMex Insurance Fund Can Finance 51% Attack on Bitcoin Cash For a Year

 Next Article

A Blockchain Solution

You might be interested in …

NAGA Will Take You to the World of Virtual Goods with Real Profit

Shopping dynamics and shopping itself have dramatically changed since the first store appeared in ancient Rome. Not only can we buy and sell goods and services from the comfort of our own home, but the nature of our purchases has undergone dramatic changes.

Looking back in time when Richard Sears first introduced his catalogs back in the 1800s, unlocking opportunities to buy from home, we can, without doubt, see that his legacy lives on. It has evolved, however, and moved into the virtual space. It may seem like nothing really changed, the new, virtual world has eased its way into our lives. However, it is also clear that thanks to the newfangled idea of virtual and augmented realities, in 10 years time, today’s shopping experiences will look incredibly outdated and may become obsolete altogether. While it seems far-fetched and yet unclear how widespread VR technologies will become over time and whether or not they will be used by everyone to buy goods in the real world, the gaming industry is already on the path to creating a virtual reality ecosystem for gamers around the globe.

Gaming is an immersive and experience-driven world with a lot of action in it. This new virtual universe is creating a virtual economy with virtual goods. Look close enough and you will find that we are witnessing a clash of the real with the virtual since all virtual goods can be purchased online with very real money. Today people spend billions of dollars on virtual goods every year. Virtual goods which, no matter what shape or form they are, and what features they have, are nothing but a series of 1s and 0s that are stored on some remote server. What’s more – the virtual space is developing and generating huge revenues. The driving force of this development lies in the fading barriers of people’s offline and online presence. Virtual markets are exploding as users purchases are not limited to swords or other armor to use in gameplay but also presents, ads, cryptocurrencies and so much more. Every day hundreds of thousands of transactions take place through marketplaces like eBay and Amazon. All these purchases increase people’s overall satisfaction creating real value.

Any boom is followed by tech innovations and development. One of the leading companies in this field is NAGA. NAGA is a German FinTech company that has been listed on the Frankfurt Stock Exchange since July 10th when NAGA successfully carried out its IPO. Within just a few months NAGA’s stocks have  increased in price per share by more than 400%. NAGA is developing cutting edge technologies for capital markets and gaming. They are aiming to create one unified platform to trade both financial and virtual goods. Current financial and virtual markets are still struggling with security and vulnerability issues that NAGA will overcome with the help of blockchain technologies. On the way to unifying two worlds, NAGA is creating the NAGA Wallet to bridge its two major projects – SwipeStox for trading and Switex for virtual goods exchange. To fuel the NAGA ecosystem a token will be deployed. The NGC token will be  used as a currency. NGC will give any user access to virtual in-game goods via various platforms. Powered by the blockchain it will create a transparent cost structure and allow cashback through sophisticated frameworks. Decentralization deployed through the blockchain offers vast opportunities for users to take advantage of in the evolving virtual economy.

To make complicated markets simple and fun, NAGA has created a unique solution Switex, a virtual goods exchange. This will be the first legal ecosystem for virtual goods, that will help various users profit from using it. Users will be able to buy virtual goods directly from a publisher or from other users, creating primary and secondary markets of virtual goods. Switex will enter the gaming market first and then expand to other virtual products.

By offering primary and secondary market items, NAGA aims to unite the best from both eBay and Amazon.

NAGA with their unique solution Switex is aimed at legalizing all markets of virtual goods. Switex also aims to ensure the safe and correct transfer of virtual goods between users.

NAGA is advised by crypto professionals: bitcoin.com founder Roger Ver, bitcoin.com’s COO Mate Tokay, and Miko Matsumura of Pantera Capital.

NAGA’s pre-sale started just a few days ago, but they have already sold over 50% of the pre-sale’s allocated tokens. Moreover, the predictions are that the price of NGC (NAGA coin) will reach $4.5 after it is listed on the top cryptocurrency exchanges.

Hurry up and join NAGA at the current pre-sale stage!

To find more about NAGA project and Switex visit NAGA website.

Join NAGA’s Telegram chat.

The post NAGA Will Take You to the World of Virtual Goods with Real Profit appeared first on NEWSBTC.

Close Menu