Apple Reveals Approved Cryptocurrency List While BitcoinTalk Database Goes on Sale for 1 BTC

The Current Meta

The first week of September 2016 captures the cryptocurrency ecosystem at a fascinating crossroads. On one hand, mainstream technology giants like Apple are beginning to define which digital assets deserve access to billions of mobile users. On the other, the dark underbelly of the crypto world remains on full display, with the stolen BitcoinTalk.org user database going up for sale on the dark web and the DAO hacker quietly moving millions in Ethereum Classic. Together, these events paint a picture of an industry grappling with its own growing pains.

Bitcoin trades at approximately $617, recovering from the devastating Bitfinex hack that saw 120,000 BTC stolen just weeks prior. The broader market capitalization hovers around $11.8 billion, with Ethereum at $11.68 and the newly-created Ethereum Classic at $1.46, still finding its footing after the contentious hard fork that split the Ethereum community in July.

Volume and Floor Dynamics

Apple’s cryptocurrency policy has been a source of frustration for developers since the company first began removing wallet apps from its iTunes App Store in 2014. Blockchain.info, Coinbase, and numerous other wallet providers found themselves on the wrong end of Apple’s approval process with little explanation. That changed this week when Jaxx wallet founder Anthony Di Iorio revealed that Apple maintains a specific list of approved cryptocurrencies: Bitcoin, Dogecoin, Litecoin, Ethereum, The DAO, and Ripple.

The revelation came after Apple removed Jaxx from the iTunes App Store for supporting Dash, a privacy-focused cryptocurrency that Apple apparently does not approve of. Di Iorio told CryptoCoinsNews that an Apple representative explicitly communicated the approved list, marking the first time Apple’s internal policy on digital currencies has been publicly documented. Di Iorio expected Jaxx to return to the App Store with Dash functionality removed.

The inclusion of The DAO on Apple’s approved list is particularly noteworthy. By September 2016, The DAO had already been hacked, the Ethereum hard fork had already occurred, and the original DAO token was essentially defunct. Yet Apple’s list still included it, suggesting the company’s review process was not keeping pace with developments in the cryptocurrency space.

Community Sentiment

While Apple was defining the boundaries of acceptable cryptocurrencies, the Bitcoin community was dealing with its own security crisis. The stolen BitcoinTalk.org database—originally compromised in May 2015 through social engineering against hosting provider NFOrce—resurfaced on the dark web, offered for sale by a vendor calling themselves “DoubleFlag” for 1 BTC (approximately $617).

The database contains 514,408 user accounts, including usernames, email addresses, hashed passwords, personal text, gender, date of birth, and website information. While the passwords are encrypted, they use standard forum software encryption that security researchers warn can be cracked relatively easily. BitcoinTalk, founded and moderated by Theymos (who also moderates r/Bitcoin on Reddit), had been hacked once before in September 2011, making this the second major breach of the community’s primary discussion platform.

The timing is particularly painful for a community still processing the Bitfinex hack from early August, which resulted in the theft of approximately 120,000 BTC—worth roughly $72 million at the time. The convergence of these security incidents has intensified discussions about the maturity of cryptocurrency infrastructure and the urgent need for better security practices across exchanges and platforms.

The Next Evolution

Meanwhile, the aftermath of the June 2016 DAO hack continues to unfold in unexpected ways. This week, the original DAO hacker moved approximately $5.4 million worth of Ethereum Classic (ETC), signaling that the attacker remains active and liquidating positions on the un forked chain. The DAO hack, which saw roughly 3.6 million ETH siphoned from the decentralized autonomous organization, led to the July hard fork that created two separate blockchains: Ethereum (ETH), which reversed the hack, and Ethereum Classic (ETC), which maintained the original chain under the “code is law” philosophy.

The hacker’s continued activity on the Ethereum Classic chain highlights one of the more ironic outcomes of the fork. While the Ethereum community chose to intervene and reverse the theft through a hard fork, the attacker retained full control of the stolen funds on the Classic chain. With ETC trading at $1.46 and holding a market capitalization of roughly $122 million—ranking it sixth among all cryptocurrencies—the stolen ETC represents a non-trivial sum that continues to circulate in the market.

In a more positive development for the Bitcoin ecosystem, mobile wallet provider Airbitz has released its Password Recovery 2.0 feature, offering what the company describes as a “foolproof” method for regaining access to wallets. The new two-key authentication system addresses one of Bitcoin’s most persistent usability challenges: the fact that lost passwords typically mean permanently lost funds. Airbitz’s solution allows users to recover wallets using a combination of device authentication and a recovery partner, without the service itself ever having access to user funds.

Investor Takeaway

The events of early September 2016 underscore both the promise and the peril of the cryptocurrency ecosystem. Apple’s approved list represents a tentative embrace of digital assets by the world’s most valuable technology company, even if the list is incomplete and slow to update. The BitcoinTalk database sale and DAO hacker’s movements serve as stark reminders that security vulnerabilities remain pervasive. And Airbitz’s password recovery innovation shows that the industry is actively working to solve its most pressing usability problems.

For investors and participants in the crypto space, the lesson is clear: this is still an industry in its formative stages. The rules are being written in real time, by companies like Apple, by communities like Bitcoin and Ethereum, and by the bad actors who continue to exploit weaknesses in infrastructure. Bitcoin at $617 is a long way from the mainstream financial instrument it aspires to become, but the building blocks are falling into place.

Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making investment decisions.