(Reuters) – Shares of cryptocurrency and blockchain related companies fell in early trading hours on Tuesday, as bitcoin hit a six-week low following a hack at Curve Finance, a platform where users can borrow and trade in crypto.
Bitcoin, the world’s biggest cryptocurrency, fell about 2% to $28,870.
Curve Finance was the victim of a hack, the company posted on messaging platform X, formerly known as Twitter, on Sunday. Losses are estimated to be over $40 million, according to media reports.
Crypto exchange Coinbase’s stock fell 6.6% and shares of blockchain-farm operator Bitfarms dropped about 7%, in early trading.
Crypto miners including Riot Platforms, Marathon Digital and U.S.-listed shares of Canada’s Hut 8 Mining declined between 3.5%% and 5.4%.
The crypto industry is at a crucial juncture, with two of the biggest industry players – Binance and Coinbase – under fire from the U.S. Securities and Exchange Commission.
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Rate hikes by the U.S. Federal Reserve have also added pressure to risky assets such as crypto.
(Reporting by Pritam Biswas in Bengaluru; Editing by Krishna Chandra Eluri)