Marathon Digital, a key player in Bitcoin mining, recently conducted an operational experiment that led to the mining of an invalid Bitcoin block. While emphasizing their intent not to disrupt the network, the incident raised eyebrows among Bitcoin developers and analysts.
They claimed that the flaw, which came from the company’s internal development environment, had nothing to do with either their Bitcoin production pool or Bitcoin Core, the most popular program used to join the Bitcoin network and run a node. According to mempool.space, the issue happened on September 26 at 9:42 PM UTC on block 809478
Marathon emphasized that they were not attempting to change the network in any way in a post on September 27 and that they use a little portion of the company’s hashrate for these experiments.
The mishap was attributed to a “transaction ordering issue,” where Marathon inadvertently rearranged transactions based on ascending absolute fees. Bitcoin analyst Dylan LeClair noted that such experiments should have been tested on a more secure platform before reaching the mainnet.
Despite the unintentional error, Bitcoin’s resilience shone through as it quickly rejected and corrected the invalid block, showcasing the network’s robust security. However, the incident had an immediate impact on Marathon’s share price, causing it to plummet by 2.91% to $8.01 during the opening hours on September 27, according to Google Finance.
This share price dip highlights the market’s sensitivity to developments within the industry and their potential consequences for associated companies. It serves as a stark reminder of the intricate relationship between cryptocurrency performance and the valuation of firms like Marathon Digital.
Earlier this year, Marathon disclosed that the US Securities and Exchange Commission (SEC) had issued a second subpoena to company for its 100-megawatt data center in Hardin, Montana.
The subpoena, which was obtained on April 10, relates to dealings with linked parties that happened when the facility was being built. Potential violations of federal securities laws are being looked at by the SEC. Marathon has acknowledged that it is taking part in the SEC’s inquiry.