The digital currency Ether, which is the “gas” that powers the Ethereum platform, has been tanking due to news of the hack of one of the top programs running on their platform, called the “DAO” which stands for Decentralized Autonomous Organizations.
While there isn’t much clear on the attack, we do know that the attacker ended up with around 3.6 Million Ether, stolen from the DAO, which is currently valued at some 50 million dollars.
The irony is the news of the hack has dropped the perpetrator’s valuation by 30%, and the community is looking at ways to prevent the attacker from actually spending the money- effectively freezing the funds.
It is important to note that the platform Ethereum itself was not hacked, it was the DAO, which runs on the Ethereum platform, a big difference. The investors haven’t seemed to care though, as the currency is continuing to collapse down from a high of 21 USD to the time of writing at about 12 USD.
Cryptocurrencies have been in the news lately with the rise of bitcoin going back over 700 USD per coin, which represents the best investment in the history of the world, when the coin debuted at .05 in January of 2009.