How much do crypto traders lose on Bitcoin each month?

By Puja Sharma

Around two out of five (44%) of those Bitcoin traders who have suffered from one or more of these issues say the value of their lost Bitcoin was less than $1,000. One in five say it was between $1,000 and $3,000, 17% between $3,000 and $5,000 while 19% say it was even higher.

Research from GNY, the leading blockchain-based machine learning business, reveals that 46% of serious Bitcoin traders claim to have suffered losses by sending the cryptocurrency to fraudulent or inaccessible addresses.  Some 38% say they have suffered from security breaches and improper storage of their Bitcoin, and 35% admit to forgetting a password to a wallet.

GNY is building transformative new technology at the intersection of machine learning and blockchain. The BTC Range Report is the first of many ML-powered tools the company plans to release, as part of its forthcoming ML marketplace, data place, which is launching next year.

The data place will provide a structured and secure way to partner with collaborators on machine learning without sharing raw data, build custom machine learning solutions that can be licensed on the platform, and use GNY’s ML engines to monetize predictions of their own. GNY believes that Web 3.0 will be defined by the ability to move ML out of siloed use, opening the door to collaborative data environments that are safe, scalable, and secure.

Around two out of five (44%) of those Bitcoin traders who have suffered from one or more of these issues say the value of their lost Bitcoin was less than $1,000. One in five say it was between $1,000 and $3,000, 17% between $3,000 and $5,000 while 19% say it was even higher.

The study from GNY, reveals that perhaps to reduce the chances of being a victim of fraud, 92% of those who trade at least $1,000 a month in Bitcoin use two or more exchanges when trading the cryptocurrency. Some 29% say they use five or more, and one in 20 (5%) use over ten exchanges.

“Our findings show the extent to which some traders have lost Bitcoin through scams or just forgetting passwords to wallets. Thankfully, the cryptocurrency and digital asset industry are making huge strides in improving infrastructure and security so that traders can focus more on just trying to trade the volatility and price of Bitcoin and other cryptocurrencies,” Cosmas Wong, CEO of GNY, said.

Extensive testing of the BTC Range Report has delivered a mean absolute percentage error (MAPE) of between 3% and 7% making it one of the most powerful BTC prediction tools in the market. The average of the majority of competitor BTC prediction tools tested by GNY was 10%, but it was as high as 17% for some platforms.

Key findings

•  Around 46% of those who trade $1,000 or more a month in Bitcoin say they have suffered losses from using fraudulent or inaccessible addresses
• Out of which 38% have lost out from security breaches or poor storage of their Bitcoin
• And the remaining 92% use more than one exchange when trading Bitcoin