CNBC The price of ethereum crashed as low as 10 cents from around $319 in about a second on the GDAX cryptocurrency exchange on Wednesday, a move that is being blamed on a "multimillion dollar market sell" order.O4H RDS.A AMZN WFM Ethereum is an alternative digital currency to bitcoin and had been trading as high as $352 on Wednesday.It has since rebounded from its flash-crash lows to trade to about $325 on the GDAX exchange.According to industry and price tracking website Coinmarketcap, which takes into account the price on several exchanges, ethereum was trading around $338.Adam White, the vice president of GDAX which is run by U.S.firm Coinbase, posted on the exchange's blog, outlining what took place at around 12:30 p.m.According to White, the multimillion dollar market sell order resulted in a number of orders being filled from $317.81 to $224.48.As the price continued to fall, another 800 stop loss orders and margin funding liquidations caused ethereum to trade as low as 10 cents.A stop loss order is a trade that is executed automatically once a security — in this case ethereum — hits a particular price.

Margin funding is essentially trading with borrowed funds.Liquidation is when these positions are closed automatically in order to prevent further losses.The knock-on selling effect caused the flash crash on GDAX.The chart below is a screenshot of the GDAX price showing the high and low price.Many on social media criticized GDAX and alleged there was some sort of illegal activity taking place.initial investigations show no indication of wrongdoing or account takeovers.We understand this event can be frustrating for our customers.Our matching engine operated as intended throughout this event and trading with advanced features like margin always carries inherent risk," White said in a blog post."Weare continuing to conduct a thorough investigation and will keep customers updated with any resulting actions."Whitealso noted that these trades are final and will not be reversed.The exchange temporarily halted trading of ethereum on Wednesday before restoring the system shortly after.As well as the issues on GDAX, investor demand at the funding launch for an ethereum-based messaging app called Status clogged the ethereum network, an industry insider told CNBC.User makes $1 million off $380?Ethereum traders were outraged by the crash blaming GDAX for not having proper controls, and even accusing whoever put the sell order in of market manipulation.Update on ETH-USD market.

We are continuing to investigate and will keep customers updated.https://t.co/GeCzP77gZ1— GDAX (@GDAX) June 22, 2017And it was a painful experience for many.On the social forum Reddit, users complained of losing large sums of money from $3,000 to $9,000.But it also seemed to be a large money making event for some too.On the trading forum StockTwits, user John DeMasie posted a screenshot of trade history around the time of the flash crash.It showed one person had an order in for just over 3,800 ethereum if the price fell to 10 cents on the GDAX exchange.Theoretically this person would have spent $380 to buy these coins, and when the price shot up above $300 again, the trader would be sitting on over $1 million.CNBC has been unable to verify the screenshot posted by DeMasie.The ethereum crash comes amid rising interest in the broader cryptocurrency space.Both bitcoin (BTC=-USS) and ethereum have hit record highs recently, and have both seen pullbacks.Ethereum in particular has been talked up because of the blockchain technology that underpins it.

Whereas bitcoin and its blockchain is seen as a payment network, ethereum has been designed to support so-called smart contract applications.A smart contract is a computer program that can automatically execute the terms of a contract when certain conditions are met.bitcoin acquistiThe ethereum blockchain has also got backing from a number of large firms such as Microsoft, which has helped to drive the price higher.Ethereum is up around 4,100 percent year-to-date, based on the price it was trading at on Thursday morning, according to Coinmarketcap.bitcoin pdf francaisWritten by Alexandra Perry It's barely noon and already it's been a big day for digital currency.litecoin sell offEthereum passed Bitcoin in trading volume — a move prompted by investor confidence in China.bitcoin scams south africa

Investors are on the edges of their seats.Big things are stirring, and this has many people clinging or adding to their original investments.But Ethereum's growth actually marks a great time to diversify your digital currency assets.bitcoin sha-3As Ethereum skyrockets, more and more people are becoming aware of digital currency.bitcoin asking for idThis means more investors are flooding the market.Novice investors are gaining experience, and with that experience comes a more diverse investing approach.Other currencies will soon benefit from Ethereum's fame.Today, there are dozens of promising digital currency opportunities that you can buy for less than a dollar.Some investors have chosen to invest through initial coin offerings (ICO).And though ICOs are often lucrative, they require you to take a bet on an unproven technology.This is why many investors have chosen to stay with the established digital currencies like Ripple, which you can still get for under $0.50.

Ripple isn't a newcomer to the digital currency market.It was developed in 2012 by the CEO and CTB of OpenCoin, a venture capital-backed currency payment system.Most of the developers behind Ripple also worked with Bitcoin.This gives Ripple a unique edge against its peers, who often come from inexperienced development groups.Ripple hasn't had a phenomenal week.Ethereum dethroned the currency from its spot as the second highest market cap.Then it plummeted alongside other digital currencies on Friday.Nor is it a reflection of Ripple's underlying potential.It just gives investors a chance to get in at a low price.In yesterday's Ethereum update, I talked about how Bitcoin influences other altcoins.And how investors tend to sell or move between coins when certain currencies falter.But investors shouldn't move out of Ripple.Like Ethereum, Ripple has a unique function that gives it long-term potential.Remember, in the digital currency world, there are hundreds of potential winners.It doesn't have to be Ethereum or Bitcoin.

So, it's wise to pad your portfolio with dozens of promising technologies.And what makes Ripple promising is its fundamental tech: the Interledger Protocol.Join Wealth Daily today for FREE.We''ll keep you on top of all the hottest investment ideas before they hit Wall Street.Become a member today, and get our latest free report: "Three Reasons to Buy Ethereum" We never spam!View our Privacy Policy After getting your report, you'll begin receiving the Wealth Daily e-Letter, delivered to your inbox daily.Bitcoin is a currency exchange; Ethereum is a smart contract-capable network.And Ripple is a channel that allows secure, fast currency exchanges.Ripple relies on its Interledger Protocol to send money between individuals.Picture it like this: Both you and your friend share one password and are able to receive and send money through a channel opened by this password.This will fix many exchange problems, including sending and receiving money between banks and overseas.Ripple is the answer to a lengthy, headache-inducing process.

It's also a win for corporations.Ripple has tremendous support from the financial community, mainly because it saves banks money.Currently, if a bank is using Ripple, it saves $3.76 per payment.That is a cumulative saving of $564,000 a year.Let's be honest — most progress in this world happens because of greed.We are just lucky that in Ripple's case, corporate greed will help create a more secure channel of exchange for individuals.And Ripple's potential doesn't end in finance.Once the channel is constructed, Ripple can ferry any kind of information between two individuals.That is incredibly valuable in our increasingly security-sensitive world.Perhaps this is why Ripple managed to drum up $55 million in a Series B funding round in 2016.It's also the darling of tech giant Google.Ripple is still under $1, which gives investors who missed Bitcoin and Ethereum in their foundational stages a second chance.But no one expects it to stay at $1 for long.We are in the thick of a digital currency gold rush, and promising currencies like Ripple are going to receive more investors in the coming months.