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MtGox website disappears amid huge bitcoin theft claim

39 Comments
By Hiroshi Hiyama

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© 2014 AFP

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39 Comments
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I am starting a new currency called Mugcoin buy in here.

Any fool who bought into this bitcoin deserves to loose their funds, just another scam, nothing tangible to back it up.

-7 ( +8 / -15 )

SUCKERS!!!!

-2 ( +8 / -10 )

It's worth zero not 135 because they are out of business.

1 ( +6 / -5 )

I avoid things I am not smart enough to comprehend.

15 ( +15 / -1 )

Buy now, the price is so low and increasing by the second now Gox is out of the picture.

-2 ( +4 / -6 )

I'm making a new coin called Petercoin. Everyone buy some.

-3 ( +7 / -10 )

I got cashed out this morning. Last thing they did before turning off the lights was process all pending Japanese withdrawals in order to appease those who could most easily sue.

4 ( +6 / -2 )

So, anyone who bought bitcoin at MtGox is basically screwed, whereas anyone who bought bitcoin at some other exchange (like the one in China) is not (yet) screwed.

Same bitcoin, but if your exchange goes tails up your "bitcoin" are worthless.

Fiat currency is just paper, but at least a dollar is a dollar is a dollar.

Anyways, MtGox has had trouble before and come back so you never know, but I'd not bet a bitcoin on it (unless it was a MtGox bitcoin!).

0 ( +4 / -4 )

I have lots of something called "coin." They come in denominations of 500, 100, 50, 10, 5 and 1, and jingle in my pocket when I walk. I also use "bills." They are accepted almost everywhere.

2 ( +7 / -5 )

So use stuff like localbitcoins to buy and sell and transfer the coins to your own wallet when done. It seems large exchanges, especially if they're poorly run like MtGox, will always be a target for hackers.

0 ( +1 / -1 )

On Monday night, a number of leading Bitcoin companies jointly announced that Mt. Gox, the largest exchange for most of Bitcoin’s existence, was planning to file for bankruptcy after months of technological problems and what appeared to have been a major theft. A document circulating widely in the Bitcoin world said the company had lost 744,000 Bitcoins in a theft that had gone unnoticed for years. That would be about 6 percent of the 12.4 million Bitcoins in circulation.

According to the NYT... so any Bitcoin holders on this exchange, don't hold your breath for a comeback!

2 ( +3 / -1 )

Gotta love people here saying bitcoin was a "scam" and boasting about their coins in their pockets.. wonder how much they'll be worth when Abenomics has had its way.

This is the end of MtGox not Bitcoin.

5 ( +9 / -4 )

Interesting, Stephen. At least a plain old bank account has some backing from government, for what that is worth. Not much good if your bank account is in Cyprus, but with Bitcoin it would seem there is no protection at all, other than that offered by the geeks who coded up the system. And every system has it's bugs...

I predict bitcoin trades below $200 on other exchanges within a matter of days.

2 ( +4 / -2 )

Governments hate competition, and Bitcoin exemplifies that.

http://dollarvigilante.com/blog/2014/2/24/mt-gox-is-finished-bitcoin-is-stronger-than-ever.html

" The writing has been on the wall. 2013 was a scandal-laden year for Mt. Gox, as the feds seized $5 million from its bank accounts, a $75 million lawsuit with a former partner manifested, and its US banks accounts were closed resulting in the company's inability to get funds to US customers."

The article failed to mention how Nice Government Men played a huge role in strangling MtGox.

4 ( +5 / -1 )

Invest now! $_,$

0 ( +2 / -2 )

Yes the powers that be in govts & banking etc were not liking this bit$ stuff, not surprised that they would want to shoot it down so to speak!

4 ( +4 / -0 )

That's my Deja Vu.

0 ( +0 / -0 )

I've heard actual currency called a shared delusion. If that's true, what do we call virtual currency?

0 ( +3 / -3 )

The governments, the evil illuminati who is making us all slaves with their fiat money is the mastermind behind these attempts to destroy the Bitcoin. Bitcoin will survive as it is the money of the internet. If they want to destroy Bitcoin, they need to destroy the internet.

1 ( +3 / -2 )

Have said it before: will never trust virtual currency in any form.

-1 ( +1 / -2 )

I'd rather hold gold and silver though I did consider buying a bitcoin once.........

2 ( +3 / -1 )

It doesn't matter what it is you buy, sell or trade... it's only worth what people are willing to pay. No more, no less. Wrap your head around that simple concept and you're golden.

6 ( +6 / -0 )

@GalapagosnoGairaishu

On top of that, most currencies in the world are also backed by government which in turn needs to have certain amount of Gold (except US - faith based currency - which is only backed by its government.). As for bitcoin, it is only backed by the users and exchange rate varies among countries. Because of it anonymous nature, it is also being used for money laundering for organized crime.

0 ( +1 / -1 )

" Because of it anonymous nature, it is also being used for money laundering for organized crime."

@cliffy, in case you didn't know, organized crime have used and are using every known currency for money laundering.

4 ( +4 / -0 )

He's probably buried under a ton of radioactive concrete somewhere near Fukushima if the Yakuza had anything to do with it.... although for his sake I very much hope that is not the case.

0 ( +0 / -0 )

Bit coin was created by a person using the pseudonym Satoshi Nakamoto (中本哲史). He is believed to have over 1 million bit coins and has a net worth in excess of $1bn USD. Although if it's unknown if he's actually from japan as none of the code of documentation contains any Japanese language or so-called Engrish.

Even with the Mt. Gox blow up the coin price is still trading around $400USD per coin. The issue is the exchanges are unregulated and folks out money really have no recourse. I can't imaging the Japanese Police getting involved either.

2 ( +2 / -0 )

@Jean ValJean

Yes organized crime has been using any known currency to make their money looks legit.; however, in many countries if you deposit a large amount of cash, the financial institute will file in form/report for that transaction and that information will be sent to some government agent. So, many organized crime will break that amount of cash into multiple small transactions. Although, if you deposit a accumulated over a short period of time, it could also raises concerns. Bitcoin just make it much simpler.

2 ( +2 / -0 )

Time to buy Bitcoin. Memories are short and when this fraud blows over it will be back up at USD 1,200

1 ( +1 / -0 )

Time to buy Bitcoin? No thanks. I had an empty account with MtGox (for the novelty of it) but now there is no way I will considering buying any from anywhere. MtGox was Japan-based, I can't see that other jurisdictions would be any safer. When folks come to this recognition I think the price will drop at least by half, and it won't take long.

-3 ( +1 / -4 )

@fxgai

Some of what you said might be true IF you had to store bitcoin using an online account or exchange.

1 ( +1 / -0 )

Pardon my ignorance, but how else can you store the currency?

0 ( +0 / -0 )

You can store the private key needed to spend the bitcoin anywhere you want. The safest being something not connected to the Internet like a paper wallet:

https://en.bitcoin.it/wiki/Paper_wallet

2 ( +2 / -0 )

Bit coin was created by a person using the pseudonym Satoshi Nakamoto (中本哲史).

Doubtful it's a person, more likely a group using the nym.

0 ( +0 / -0 )

Thanks davestrousers, interesting information. Still not sure I'd ever invest in this currency.

-1 ( +0 / -1 )

I quote P.T.Barnham: There is a sucker born every minute.

I knew this was a scam waiting to happen especially after the price of just one went out of touch for a normal waged earner to buy.

-1 ( +0 / -1 )

Fiat currency is just paper, but at least a dollar is a dollar is a dollar.

That's true only as long as the majority in the world agree that that piece of green paper is worth $1. If all foreign countries decided to dump their dollars because they feared the currency would crash, a dollar would become considerably LESS than "a dollar". A self-fulfilling prophecy that gives American economists nightmares.

1 ( +1 / -0 )

"That's true only as long as the majority in the world agree that that piece of green paper is worth $1."

Yes, and we know how fickle "the majority in the world" can be. LOL.

"A self-fulfilling prophecy that gives American economists nightmares."

It does? Which economists, exactly? (Survivalist wingnut bloggers excluded)

-1 ( +1 / -2 )

Fadamor,

That's true only as long as the majority in the world agree that that piece of green paper is worth $1.

I quite agree, and the dollar has been in decline for a long time.

But you can get deposit insurance for these paper dollars (and yen), whereas the folks with bitcoin at MtGox found out the hard way that they are afforded no such luxury.

davestrousers,

Some of what you said might be true IF you had to store bitcoin using an online account or exchange.

I disagree. The failure of a major exchange (e.g. a place to sell out of bitcoins into other currencies) is a significant downer for bitcoin. If you can't sell something easily, holding that something becomes extremely risky. You might still have your data, but the value it represents is going down.

This is just one man's prediction though. Don't mind me :)

0 ( +0 / -0 )

and a bitcoin is backed by the full faith and credit of what?

1 ( +1 / -0 )

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