Recent crypto world rumors have people intrigued about how wallets perhaps possessed by Bitcoin’s anonymous creator Satoshi Nakamoto might have been breached. Founder of Cardano Charles Hoskinson has fired back against the claims firmly dismissing them.
The rumors began from an unverified report that researchers from a Kentucky based lab had broken eight of the twelve mnemonic words associated with Satoshi’s Genesis Wallet. Word purported to have been employed included terms such as ‘Kentucky,’ ‘chat,’ ‘fried’ and ‘Friday.’
Bitcoin’s Security Remains Unchallenged
Hoskinson labeled the report “fake news,” pointing out a critical flaw: Introduced in 2013, BIP-39 mnemonic standard of crypto wallet seed phrase is after Bitcoin’s 2009 launch and Satoshi’s departure from the Bitcoin project in 2011.
He said that it is unlikely the reported breach had actually taken place because Satoshi would probably have used the older wallet.dat keypool method to create cryptographic keys.
“The big thing is Satoshi didn’t use BIP-39, that was a thing that didn’t exist,” he (Hoskinson) stressed. “‘Even if we had partially discovered keywords, verifying ownership of a particular wallet is almost impossible.’ “
At Timechainindex, Satoshi’s holdings of over 1.12 million BTC are worth more than $108 billion. Satoshi also holds these holdings inside so-called Patoshi wallets connected to early BTC mining making him one of the world’s 20 richest people.
Bitcoin’s soaring value and steadily rising role in world finance have done little to reveal Satoshi Nakamoto’s identity. You hear all the time about rumors of potential breaches into Satoshi’s wallets, but time and again, the cryptographic security of BTC carries the day.
Despite Bitcoin thriving, its pseudonymous creator’s legacy as the pioneer of decentralized finance has not been challenged. The rebuttal by Hoskinson highlights the resiliency of the cryptographic systems, while arguing away with baseless rumors, and emphasizing on the importance innovation in blockchain technology continues to play.
