Economics at your fingertips  

The destabilising effects of cryptocurrency cybercriminality

Shaen Corbet (), Douglas Cumming (), Brian Lucey (), Maurice Peat and Samuel A. Vigne

Economics Letters, 2020, vol. 191, issue C

Abstract: This paper investigates the financial market effects of recent cybercriminality in cryptocurrency markets. Hacking events are found to increase both the price volatility of the targeted cryptocurrency and broad cross-cryptocurrency correlations. Further, cybercrime events significantly reduce price discovery sourced within the hacked currency relative to other cryptocurrencies. Finally, abnormal returns in the hours prior to the cybercrime event, revert to zero when news is publicly announced.

Keywords: Price volatility; Cryptocurrency; Hacking; Cybercrime; Bitcoin; GARCH (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

DOI: 10.1016/j.econlet.2019.108741

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

Page updated 2022-01-16
Handle: RePEc:eee:ecolet:v:191:y:2020:i:c:s0165176519303714