An Event Study of the Effects of Cryptocurrency Thefts on Cryptocurrency Prices

摘要

This research investigates the effect that news of a cryptocurrency theft has on the price of cryptocurrencies. This could include thefts from large exchanges, direct thefts to the technology or thefts of large holders of cryptocurrency. Conventual wisdom would suggest that the price of cryptocurrencies would decrease because the news of theft highlights that cryptocurrencies can be stolen. An event study was conducted on normalized prices of cryptocurrencies over a 3-day window when news of cryptocurrency thefts were released. This research shows that cryptocurrency prices actually rise when there is news of cryptocurrency thefts.