Steven Zeiler, the co-founder of Anypay, a leading point-of-sale (PoS) cryptocurrency payment service processor in New Hampshire, has announced that they are disabling Bitcoin (BTC) as a payment option on their platform until further notice.
The development is coming after Anypay learned that customers could be able to reverse payment with Bitcoin, which probably results in double-spending, following a “Replace By Fee (RBF)” feature enabled on their payment system.
To prevent more of this, Zeiler announced in a YouTube video on Monday that they’ve decided to disable Bitcoin payment from the Anypay Cash Register app, adding that it is “worthless for payments” since transactions can be canceled.
A Redditor today also confirmed the RBF double-spending. He posted a video showing how he was able to cancel a Bitcoin transaction from whereas Anypay said the payment was successful.
Notably, Bitcoin double spend is not inherent, since Bitcoin network uses blockchain to avoid such a case as double-spend before it confirms or records any transactions. Hence, making Bitcoin payments irreversible, which is part of Bitcoin’s original protocol.
However, this tenet seems to be broken, following the introduction of RBF, a feature that tends to allow people to resend an unconfirmed transaction to the same address with a higher fee to ensure it gets through the network within a short time.
In contrast to this, many people are now able to reverse their transaction entirely with the RBF feature, since such transactions haven’t gotten their first confirmation.
Double-spending – Another Technique Used By Hackers
Double-spending is another technique used by many hackers looking to exploit bitcoin verification systems. A 51% attack is considered the most significant risk for double-spending.
Recently, a 51% attack was launched on the Bitcoin Gold network for two days, January 23 and 24, as Coinfomania reported. During this period, the attackers double-spend $19,000 and $53,000, respectively, even though the cost of generating each reorg should be at around 0.2 BTC ($1,700).