The Colonial Pipeline X Bitcoin Frenzy
Quick Insights for Colonial Pipeline
1.They supply 45% of Fuel to the east cost of US
2.The recent Hike in Fuel prices was because the supply was cut by Colonial Pipeline
3.Their whole purpose is to transport gasoline and petroleum thought the country
4.Colonial Pipeline: $421 Valuation/Net Income
How it all started:
Colonial Pipeline gets a anynmous email/popup created by DarkSide,
DarkSide was hired by a Unknown company (Affiliate so called) to send a Ransom message/warning to Colonial Pipeline
(PS: Use my Affiliate link to get 15% Discount with DarkSide: DarkSide.com/r/Krish)
So Accounting sector of Colonial Pipeline recived a fishing email on May 7th asking them to upgrade their software for security reasons, and then we all know what happens,They were asked to pay 75BTC or else they will crack down all their pipeline network and send the company to shit!
So the CEO of Colonial Pipeline decided to pay 75BTC ~ $4.4Million to Unknown company (Who hired DarkSide to setup the ransom software)
The Company also shutdown 5500-Miles of it’s pipeline infrasture thinking that their security was extremely compromised and for their safety they should not take any risk and shut it all down. ~This is the reason why it looked very scary
Also the reason why Gas price in east coast blew up because Colonial Pipeline shutdown the supply ~as it supplies 45% of the gas.
Then FBI Stepped in
FBI was able to track down all the transfers of BTC from the Colonial Pipeline’s wallet to Unknown Company’s wallet and successfully able to recover 63.7BTC and remaining 15%/11.3BTC was given to DarkSide, who charges 15% fees to all their clients for creating the Ransomware software.
So the 11.3BTC was not recoved because Darkside being a profession group of hackers who were succesfully able to get away with it.
But the Unknown company who was not much exprienced with Technologies and Blockchain was cought easily by FBI.
When they might have tried to bring the 63.7 Coins to Exchange wallet like Coinbase.com, Binance.US they were caught and were exchanges might have agreed to work with the FBI and gave the details of the Unknown company’s Wallet or they somehow figured the Private key and recoved the coins.
~And this felt like Bitcoin was hacked but it was just the presise use of Blockchain ledger technology which helped FBI track it down so easily
After this Incident DarkSide published this went Lowkey:
Thanks Guys those are all my insights regarding the Colonial Pipeline X BTC Hacked frenzy
Over to you Vimarsh