The collapse of the cryptocurrency kingdoms

Therefore, virtual currencies collapsed in early trading, Tuesday, on the impact of dangerous US statements, revealing the weakness of digital wallets containing virtual currencies.

On Monday evening, the US Department of Justice announced, in a statement obtained by Al-Ain News, that it had seized 63.7 Bitcoin units, currently valued at about $2.3 million, representing the proceeds of a ransom payment on May 8 to individuals in a group known as “DarkSide”.

This group targeted Colonial Pipeline, taking critical infrastructure out of operation for the company that operates the largest oil derivatives pipeline network in the United States.

Virtual currencies fell after the US government hack, to rates ranging between 9% to 19% during morning trading today, compared to the closing of the session yesterday, Monday, to record Bitcoin, for example, the lowest level in 5 months.

Cryptocurrency market capitalization

According to "Al-Ain News" accounts, the market value of virtual currencies fell in morning trading, Tuesday, to 1.55 trillion dollars, down from the close of Monday's session, which amounted to 1.68 trillion dollars, down 130 billion dollars.

The price of Bitcoin today, at $ 32.8 thousand, is the lowest since the middle of last January’s session, with a market value of $ 615 billion, while its value is significantly less than its peak recorded in mid-April of $ 63 thousand.

Ethereum is also falling

As for the Ethereum currency, which comes second after Bitcoin in terms of market value, it fell by 11% today to $ 2505, while its market value reached about $ 291.3 billion, compared to $ 302 billion in Monday’s trading.

The American penetration of the digital wallet for cyber hackers opens the door to the fragility of wallets even for the most protective of their wallets, which makes it easy to break into any wallet for individual investors.

"One of the most important tools we have remains one of the most important tools we have, ransom payments are the fuel that drives the engine of digital extortion," said Deputy Attorney General Lisa O Monaco at the US Department of Justice.

"The wallet hack demonstrates that the United States will use all available tools to make these attacks costlier and less profitable for criminal companies... We will continue to target the entire ransomware ecosystem to disrupt and deter these attacks," the statement said.

While FBI Deputy Director Paul Abate said: "There is no place beyond the FBI's reach to hide illicit funds that will prevent us from imposing risks and consequences on malicious cyber actors."

Ransomware attacks

"We will continue to use all of our available resources and leverage our domestic and international partnerships to disrupt ransomware attacks and protect our private sector partners and the American public," he added.

While acting US Attorney for the Northern District of California Stephanie Hinds said: "Cybercriminals are using ever more elaborate schemes to turn technology into digital extortion tools."

"We need to continue to improve the cyber resilience of our critical infrastructure across the country, including Northern California. We will also continue to develop advanced methods to improve our ability to track and recover digital ransom payments," he added.