{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,4,16]],"date-time":"2026-04-16T18:13:39Z","timestamp":1776363219957,"version":"3.51.2"},"reference-count":38,"publisher":"Association for Computing Machinery (ACM)","issue":"4","license":[{"start":{"date-parts":[[2018,9,30]],"date-time":"2018-09-30T00:00:00Z","timestamp":1538265600000},"content-version":"vor","delay-in-days":0,"URL":"https:\/\/www.acm.org\/publications\/policies\/copyright_policy#Background"}],"content-domain":{"domain":["dl.acm.org"],"crossmark-restriction":true},"short-container-title":["ACM Trans. Internet Technol."],"published-print":{"date-parts":[[2018,11,30]]},"abstract":"<jats:p>Bitcoin has enjoyed wider adoption than any previous cryptocurrency; yet its success has also attracted the attention of fraudsters who have taken advantage of operational insecurity and transaction irreversibility. We study the risk that investors face from the closure of Bitcoin exchanges, which convert between Bitcoins and hard currency. We examine the track record of 80\u00a0Bitcoin exchanges established between 2010 and 2015. We find that nearly half (38) have since closed, with customer account balances sometimes wiped out. Fraudsters are sometimes to blame, but not always. Twenty-five exchanges suffered security breaches, 15 of which subsequently closed. We present logistic regressions using longitudinal data on Bitcoin exchanges aggregated quarterly. We find that experiencing a breach is correlated with a 13 times greater odds that an exchange will close in that same quarter. We find that higher-volume exchanges are less likely to close (each doubling in trade volume corresponds to a 12% decrease in the odds of closure). We also find that exchanges that derive most of their business from trading less popular (fiat) currencies, which are offered by at most one competitor, are less likely to close.<\/jats:p>","DOI":"10.1145\/3155808","type":"journal-article","created":{"date-parts":[[2018,10,1]],"date-time":"2018-10-01T08:15:55Z","timestamp":1538381755000},"page":"1-18","update-policy":"https:\/\/doi.org\/10.1145\/crossmark-policy","source":"Crossref","is-referenced-by-count":51,"title":["Revisiting the Risks of Bitcoin Currency Exchange Closure"],"prefix":"10.1145","volume":"18","author":[{"ORCID":"https:\/\/orcid.org\/0000-0002-8771-8191","authenticated-orcid":false,"given":"Tyler","family":"Moore","sequence":"first","affiliation":[{"name":"The University of Tulsa, Tulsa, OK"}],"role":[{"role":"author","vocabulary":"crossref"}]},{"given":"Nicolas","family":"Christin","sequence":"additional","affiliation":[{"name":"Carnegie Mellon University, Forbes Ave, Pittsburgh, PA"}],"role":[{"role":"author","vocabulary":"crossref"}]},{"given":"Janos","family":"Szurdi","sequence":"additional","affiliation":[{"name":"Carnegie Mellon University, Forbes Ave, Pittsburgh, PA"}],"role":[{"role":"author","vocabulary":"crossref"}]}],"member":"320","published-online":{"date-parts":[[2018,9,30]]},"reference":[{"key":"e_1_2_1_1_1","unstructured":"Jake Adelstein and Nathalie-Kyoko Stucky. 2016. 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In Federal Reserve Bank of Kansas City -- Payment System Research Conferences."},{"key":"e_1_2_1_3_1","volume-title":"Financial Cryptography and Data Security (Lecture Notes in Computer Science)","author":"Androulaki Elli","unstructured":"Elli Androulaki , Ghassan O. Karame , Marc Roeschlin , Tobias Scherer , and Srdjan Capkun . 2013. Evaluating user privacy in Bitcoin . In Financial Cryptography and Data Security (Lecture Notes in Computer Science) , Vol. 7859 . Springer , 34--51. Elli Androulaki, Ghassan O. Karame, Marc Roeschlin, Tobias Scherer, and Srdjan Capkun. 2013. Evaluating user privacy in Bitcoin. In Financial Cryptography and Data Security (Lecture Notes in Computer Science), Vol. 7859. Springer, 34--51."},{"key":"e_1_2_1_4_1","volume-title":"Financial Cryptography and Data Security (Lecture Notes in Computer Science)","author":"Barber Simon","unstructured":"Simon Barber , Xavier Boyen , Elaine Shi , and Ersin Uzun . 2012. Bitter to better \u2013 How to make bitcoin a better currency . In Financial Cryptography and Data Security (Lecture Notes in Computer Science) , Vol. 7397 . Springer , 399--414. Simon Barber, Xavier Boyen, Elaine Shi, and Ersin Uzun. 2012. Bitter to better \u2013 How to make bitcoin a better currency. In Financial Cryptography and Data Security (Lecture Notes in Computer Science), Vol. 7397. Springer, 399--414."},{"key":"e_1_2_1_5_1","doi-asserted-by":"publisher","DOI":"10.1111\/j.2517-6161.1995.tb02031.x"},{"key":"e_1_2_1_6_1","volume-title":"Financial Cryptography (Lecture Notes in Computer Science)","author":"Birch David","unstructured":"David Birch and Neil McEvoy . 1997. Electronic cash -- Technology will denationalise money . In Financial Cryptography (Lecture Notes in Computer Science) , Vol. 1318 . Springer , 95--108. David Birch and Neil McEvoy. 1997. Electronic cash -- Technology will denationalise money. 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Retrieved from https:\/\/bitcointalk.org\/.  Bitcoin Talk. 2015. Bitcoin Forum. Accessed April 3 2015. Retrieved from https:\/\/bitcointalk.org\/."},{"key":"e_1_2_1_10_1","unstructured":"Bitcoin Wiki. 2015. Bitcoin Wiki. Accessed April 3 2015. Retrieved from https:\/\/en.bitcoin.it\/.  Bitcoin Wiki. 2015. Bitcoin Wiki. Accessed April 3 2015. Retrieved from https:\/\/en.bitcoin.it\/."},{"key":"e_1_2_1_11_1","volume-title":"List of Major Bitcoin Heists, Thefts, and Losses. Accessed","author":"Wiki Bitcoin","year":"2016","unstructured":"Bitcoin Wiki . 2016. List of Major Bitcoin Heists, Thefts, and Losses. Accessed November 5, 2016 . Retrieved from https:\/\/en.bitcoin.it\/wiki\/List_of_Major_Bitcoin_Heists,_Thefts,_and_Losses. Bitcoin Wiki. 2016. List of Major Bitcoin Heists, Thefts, and Losses. Accessed November 5, 2016. Retrieved from https:\/\/en.bitcoin.it\/wiki\/List_of_Major_Bitcoin_Heists,_Thefts,_and_Losses."},{"key":"e_1_2_1_12_1","doi-asserted-by":"publisher","DOI":"10.1257\/jep.29.2.213"},{"key":"e_1_2_1_13_1","doi-asserted-by":"publisher","DOI":"10.1038\/scientificamerican0892-96"},{"key":"e_1_2_1_14_1","unstructured":"Lulu Yilun Chen and Yuji Nakamura. 2016. Hacked bitcoin exchange says users may share &dollar;68 million loss. Bloomberg. Retrieved from https:\/\/www.bloomberg.com\/news\/articles\/2016-08-05\/hacked-bitcoin-exchange-says-it-will-spread-losses-among-users.  Lulu Yilun Chen and Yuji Nakamura. 2016. Hacked bitcoin exchange says users may share &dollar;68 million loss. Bloomberg. Retrieved from https:\/\/www.bloomberg.com\/news\/articles\/2016-08-05\/hacked-bitcoin-exchange-says-it-will-spread-losses-among-users."},{"key":"e_1_2_1_15_1","doi-asserted-by":"publisher","DOI":"10.1145\/2488388.2488408"},{"key":"e_1_2_1_16_1","volume-title":"Bitcoin Market Capitalization. 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Society of Digital Information and Wireless Communication, 91--99."},{"key":"e_1_2_1_23_1","unstructured":"Mariam Kiran and M. Stanett. 2015. Bitcoin risk analysis. NEMODE Policy Paper.  Mariam Kiran and M. Stanett. 2015. Bitcoin risk analysis. NEMODE Policy Paper."},{"key":"e_1_2_1_24_1","unstructured":"Timothy B. Lee. 2012. Hacker steals &dollar;250k in Bitcoins from online exchange bitfloor. Ars Technica. Retrieved from http:\/\/arstechnica.com\/tech-policy\/2012\/09\/hacker-steals-250k-in-bitcoins-from-online-exchange-bitfloor\/.  Timothy B. Lee. 2012. Hacker steals &dollar;250k in Bitcoins from online exchange bitfloor. Ars Technica. Retrieved from http:\/\/arstechnica.com\/tech-policy\/2012\/09\/hacker-steals-250k-in-bitcoins-from-online-exchange-bitfloor\/."},{"key":"e_1_2_1_25_1","unstructured":"John Leyden. 2012. Linode hackers escape with &dollar;70K in daring bitcoin heist. The Register. Retrieved from http:\/\/www.theregister.co.uk\/2012\/03\/02\/linode_bitcoin_heist\/.  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