Its happened again, folks. Another scam in the multi-millions has hit the world of cryptocurrency, and weve got the latest scoop. This time, our attention turns to a wallet scam targeting the newly-created bitcoin gold (BTG), where things havent been going as smooth as its followers wanted.

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The news probably wont come as a shock to long-time cryptocurrency fans. Digital currency exchangePoloniex previously announcedits refusal to endorse or hold BTG for users granted its early status.

According to the exchange, the software behind bitcoin gold raised certain security questions, and those in charge werent comfortable offering their support just yet.

Eventually, bitcoin gold enabledreplay protectionto ensure users felt safe, but the damage was already done. BTG has been viewed with suspicion amongst cryptocoin users, andminers have begun to showtheir distrust.

Now, a wallet scam hasrobbed usersof several coins; among them were ethereum, litecoin, bitcoin and, of course, bitcoin gold. Overall, the theft is believed to have exceeded a total of $3 million USD in value.

The robbery allegedly took place through a site called , where users were persuaded to submit their private keys and create bitcoin gold wallets for themselves. Initially, these private keys allowed the scammer access to users funds, which were taken and delivered to unknown addresses where they likely remain. An investigation is now currently underway.

So, to summarize, every time someone entered their mnemonic seed into m, their mnemonic was Base64 encoded, stored on the website cookie, and then transmitted to Google, where the scammer was free to decode it and have full access to that persons private keys derived from that seed.

This is all occurring in the aftermath of therecent Tether hack, which saw over $30 million in funds suddenly whisked away. The money was taken from the platforms treasury wallet just a few days ago on November 19th, and sent to an unauthorized account.

The company is now on a mission to find out what happened and recover the tokens quickly. Its also offering users access to Omni Core software, hoping to stop the transfer and/or movement of any stolen coins.

Accordingly, any exchanges, wallets, and other Tether integrators should install this software immediately to prevent loss A thorough investigation on the cause of the attack is being undertaken to prevent similar actions in the future.

Despite thesesnafus, bitcoin is continuing toshow signs of progress, though northward hikes have seemingly slowed down in the last few days. The price currently hovers at around $8200 following a $300 jump to $8100 within a 24-hour period.

Do you think occurrences like those with Tether and bitcoin gold will hurt the reputations of cryptocurrencies? Post your comments below.

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Nick Marinoff has been covering cryptocurrency since 2014. He has served as a lead content writer and news editor for Money a public relations writer for Game Credits, and a senior writer for both Bitcoinist and News BTC. He has also served as an environmental reporter for Planet Experts, and authored the book Take a Loan Off Your Shoulders: 14 Simple Tricks for Graduating Debt Free, now available on Amazon. He has since traveled extensively to libraries, offices and other locations speaking with audiences about what they can do to avoid student loans and relieve the U.S. of its present student debt crisis.

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