The Cryptocurrency and Cyberattack: Evidence from Causality Techniques

The Crypto-currency and Cyber-attack: Evidence from Causality Techniques

  IJETT-book-cover  International Journal of Engineering Trends and Technology (IJETT)          
  
© 2020 by IJETT Journal
Volume-68 Issue-9
Year of Publication : 2020
Authors : Ersin Caglar, Dervis Kirikkaleli
DOI :  10.14445/22315381/IJETT-V68I9P201

Citation 

MLA Style: Ersin Caglar, Dervis Kirikkaleli  "The Crypto-currency and Cyber-attack: Evidence from Causality Techniques" International Journal of Engineering Trends and Technology 68.9(2020):1-4. 

APA Style:Ersin Caglar, Dervis Kirikkaleli. The Crypto-currency and Cyber-attack: Evidence from Causality Techniques  International Journal of Engineering Trends and Technology, 68(9),1-4.

Abstract
With the rapid development of internet and information technology, crypto-currency has become accessible technology established on the blockchain. Based on popular demand, cryptocurrencies are available in the internet environment. Bitcoin is the most popular one among the crypto-currencies. Recently, the USA, Japan, and Canada have accepted Bitcoin as a method of payments in various business platforms as an alternative to currencies. With this opportunity, cryptocurrency and Bitcoin have gained a few disadvantages, such as insecurity and cyberattacks. This paper aim is to investigate if there exists a causal linkage between BC (Bitcoin price) and CA (cyber-attack) in the USA by using monthly data, covering the period 2010M07 to 2017M06. We employed traditional Granger causality and Toda- Yamamoto causality tests as a robust causality test. We also performed the newly-developed Fourier Toda-Yamamoto causality test to capture gradual developed structural changes. Our findings reveal that there is unilateral (independent) causality that runs from BC to CA. In other words, changes in BC significantly led to changes in CA in the USA.

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Keywords
Crypto-currency, Cyber-attack, Blockchain, Bitcoin, Fourier Toda-Yamamoto causality, Granger causality