ZachXBT Critiques Hardware Wallets; Bitcoin Holds Steady After Rate Hike

ZachXBT Critiques Hardware Wallets

Blockchain investigator ZachXBT has launched a strong critique of hardware wallets, labeling them as unreliable for both signing transactions and storing significant amounts of cryptocurrency. During his recent statement, he asserted that the existing hardware wallet solutions inadequately meet security and usability standards, rendering them inappropriate for high-risk operations. Instead, ZachXBT advocates for the use of a dedicated iPhone, specifically configured for cryptocurrency transactions, which he believes offers greater security control. He added, however, a humorous disclaimer stating: “Only do this if you are not low iq.”

In his remarks, ZachXBT notably singled out Ledger as a primary offender in this realm, criticizing the frequent updates to their Ledger Live platform, which he claims often disrupt basic functionalities rather than enhance security. His comments have sparked considerable debate within the crypto community, with many users sharing frustrations about their own experiences with hardware wallets.

Bitcoin Steady Near $65,000

Meanwhile, Bitcoin (BTC) has been trading steadily near $65,000 following a significant interest rate hike in South Korea. The Bank of Korea raised its benchmark interest rate by 25 basis points, marking the first increase in over three years, and addressing rising inflation, which recently hit a peak of 3.2%, its highest level in 2023.

This rate hike has strengthened the Korean won, which is now trading at approximately 1,480 per U.S. dollar, up from about 1,560 just two weeks ago. Bitcoin’s stability against the won remains robust, with the BTC/KRW pair holding above KRW 94.96 million on the Upbit exchange. The South Korean crypto market is regarded as highly speculative, heavily driven by an active base of retail investors.

Market Analysis

Analysts at Bitfinex have described Bitcoin’s recent price movements as a result of “borrowed strength,” indicating that the rise lacks robust underlying demand from traditional investors. They noted that the soft inflation data contributed to the recent price increase but emphasized the lack of support from U.S. spot Bitcoin ETFs, which sold approximately $425 million worth of Bitcoin on July 13. Without strong institutional backing, analysts remain cautious about Bitcoin’s ability to sustain its gains.