Market information platform Arkham Intelligence denied on April 26 that it had sent an erroneous message to certain users.
Arkham denies any wrongdoing
Arkham denied making such a mistake, to write:
“We have conducted an investigation into the DB Alert situation and determined that the Arkham alerts were sent correctly in this case.”
The platform suggested that DB, also known as tier10k, instituted two alerts for Bitcoin transactions worth more than $10,000, calling those alerts “Mt Gox” and “US Gov.”
Arkham’s account of the events suggests that DB deduced that those particular Bitcoin addresses were transacting based on labels he set himself. DB then publicly tweeted that addresses associated with the US government and Mt. Gox traded crypto.
When it became clear that no such transactions had taken place, DB claimed that Arkham had made a mistake. He said the platform had confirmed that a “bug fix deployed today caused alerts to be incorrectly sent to [a] small group of users.”
DB had apparently confirmed this with Arkham, and Arkham seemed more likely to admit a partial error tweet. But Arkham denied any wrongdoing in his latest post, saying the alerts were correctly sent to DB and that “no one received inaccurate alerts”.
The event that ultimately caused the alert could be a non-standard on-chain activity. Some commentators have speculated that Ordinals inscriptions on the relevant addresses made it appear that those addresses were involved in a transaction without actually moving money, triggering the alert in question.
Warning was sent later than 6% market crash
The incident roughly coincided with a sharp drop in Bitcoin’s value, which fell 6% in about an hour to $27,696 from $29,472.
The exact timing of the alert was previously unclear due to the private status of the alert. However, Arkham Intelligence has since revealed that the alert was sent just minutes after the market crash ended and thus could not have impacted Bitcoin’s price.
The cause of the price crash is still unclear.
In addition, BTC gained value immediately before and after the crash, and the asset’s price is actually up 3.5% over a 24-hour period as of 12:30 UTC.
Note: This article previously suggested that Arkham was responsible for the error and has been updated to reflect the platform’s latest statements.
The post Arkham denies erroneous Bitcoin warning; says the alert was sent just after the 6% crash first appeared on CryptoSlate.
