Kroger Company on Friday confirmed it isn’t accepting bitcoin money after a pretend press launch stated the American grocery chain was embracing cryptocurrencies forward of the vacations.
The release was revealed on PRNewswire, an internet site the place main corporations submit bulletins, and likewise appeared on Kroger’s investor relations web page, which robotically posted the discharge. Each have since deleted the phony announcement.
Media shops initially fell for the hoax, which led to a short 5% bitcoin money value rally. However quickly after, Kroger debunked the crypto information.
“This communication was fraudulent and is unfounded and ought to be disregarded,” an organization spokesperson stated in an emailed assertion to Bloomberg.
Kroger has not responded to Insider’s a number of requests for remark.
The incident was harking back to what occurred in September with Walmart, which skilled nearly the very same state of affairs.
GlobeNewswire additionally published a fake press release claiming Walmart would enable consumers to pay utilizing litecoin. The submit was deleted a couple of hours later however not earlier than media shops picked it up and never earlier than litecoin spiked 25%.
Each incidents laid naked the dangers pretend press releases pose to numerous belongings, significantly cryptocurrencies, that are already risky in themselves.
Firms akin to Newswire, a competitor to GlobeNewswire, told Insider in September that distributors concern 1000’s of press releases per day, particularly throughout busy components of the yr like earnings season. The super quantity makes it difficult to substantiate each single one.
Bitcoin cash, based in 2017, was created by bitcoin miners and builders to reply to the rising issues concerning bitcoin’s scalability amongst others.
Kroger shares have been buying and selling decrease by 2.90% to $42.16 as of 12:31 p.m. ET.