https://bitcointalk.org/index.php?topic=492006.msg5422500#msg5422500 *DJ Mt. Gox Lawyer: Filed For Bankruptcy Protection Y6.5B Debt - updated Today at 09:35:45 AM #1 *DJ Mt. Gox Lawyer: Accepted By Tokyo District Court (MORE TO FOLLOW) Dow Jones Newswires February 28, 2014 04:34 ET (09:34 GMT) Copyright (c) 2014 Dow Jones & Company, Inc.- - 04 34 AM EST 02-28-14 *DJ Mt. Gox Lawyer: Outstanding Debt Y6.5B *DJ Mt. Gox Lawyer: Missing Bitcoin May Have Been Withdrawn Through System *DJ Mt. Gox Lawyer: 750,000 Bitcoin Held by Clients, 100,000 Held by Mt. Gox Mostly Missing *DJ Mt. Gox Lawyer: Mt. Gox Assets Y3.84B *DJ Mt. Gox Lawyer: Will Cooperate With Japanese Authorities Into Investigating What Happened *CALL CENTER WILL BE SET UP FOR MT. GOX CUSTOMERS *MT. GOX CEO MARK KARPELES APOLOGIZES AFTER FIRM'S BANKRUPTCY On Bloomberg, when the whole story is available I will edit DJ Mt. Gox Files for Bankruptcy Protection By Eleanor Warnock and Takashi Mochizuki TOKYO--A lawyer for Mt. Gox announced at a news conference at the Tokyo District Court that the embattled bitcoin exchange was filing for bankruptcy protection and that Mt. Gox had outstanding debt of about Yen6.5 billion ($63.6 million). The exchange has been under fire from investors since it stopped bitcoin withdrawals in early February, citing a technical issue that potentially made fraudulent withdrawals possible. On Tuesday, Mt. Gox, which at one point handled more than 80% of trades in the virtual currency, stopped all transactions, dealing the severest blow to the bitcoin industry yet and raised concerns about a lack of protection for users. Several Mt. Gox investors say they have little hope of recovering their funds, with some individual investors saying they had bitcoins valued at hundreds of thousands of dollars in Mt. Gox. Atsuko Fukase contributed to this article Write to Eleanor Warnock at [email protected] and Takashi Mochizuki at [email protected] Subscribe to WSJ: http://online.wsj.com?mod=djnwires (END) Dow Jones Newswires February 28, 2014 04:50 ET (09:50 GMT) Copyright (c) 2014 Dow Jones & Company, Inc.- - 04 50 AM EST 02-28-14
^ Do you know that Aristotle didn't make that quote? Funny how you say "use facts and logic" when you didn't even bother to check yourself. It's blindingly obvious you scraped those words from the armpit of some brainless conservative website. Probably one that believes evolution is a government conspiracy. The battle against idiocy will know no end when then quality of stupidity is so high and consistent.
My understanding at a superficial level is that: a) A potential exploit had been identified years ago, but that it wasn't necessarily a 'Bitcoin flaw'. b) Mt Gox were lazy/incompetent in failing to implement a transfer tracking system that couldn't be spoofed. c) That they've woken up and discovered that they've been drained. d) Now that the legal profession is involved, good luck in seeing any inexpensive or timely resolution. e) Unless this was a 'big hit' their Audit Department is looking ineffectual. f) Their Fraud Department needs to taken out and shot (assuming that they have one). AFAICS this isn't a Ponzi collapse, this is outright theft. Might be lots of hackers in smallish amounts over a long period; could be Big Boys over a short period. To steal a lot someone needs a large deposit, and there should be a prevailing pattern of deposits and withdrawals. The analogy I can come up with is that you are the customer of a provincial bank. You discover that their fraud detection system is so poor that you can cash a cheque with the same number twice whilst it only shows up as one transaction. It might be an exploit in gaming, but it's a crime in the real world. Internet and Bitcoin anonymity is not likely to be as good as people think it is. The outstanding questions for me are: Can the dodgy transactions be identified and tracked? Is there a small number of big transactions or a large number of small? Is this enough to stimulate Interpol? Start the popcorn machine, although this might be a lengthy movie.
Is it possible the exchange structures might move to a distributed model ? Like individuals dealing only with local trading companies in their respective countries (like coinjar) and the trading companies dealing on the central exchanges.
Yes, people are trying to work out a way of making a decentralised exchange. Whether this idea is possible and could include traditional fiat capacities is another story, I'd say.
Daddy issues? or ... hold on .... I assume you have invested some cash in Mt.Gox scam :lol: Annoyed much? About Aristotle, and this quote. Again I assume you think it's Aristotle from the ancient Greece, but what if he is not? Well Imagine that it might have been someone else (let it be some brainless conservative website webmaster) under nickname or pseudonym Aristotle, therefore providing Aristotle as quote creator is correct. Again I assume, you might speak of " D. James Kennedy" who said "'Tolerance is the last virtue of a depraved society." which as you can already see is similar but is not the same as quote that I use. About Evolution - I don't know if it is government conspiracy or not, but what I do know is that it is still a theory not a fact. Presenting theory as a fact in schools is: brainwashing and to some degree indeed conspiracy, if not by government then by "scientists". Earthjade It is annoying when one doesn't see his own stupidity, but can "see" : PS Sorry for Off topic.
its important to not that mt gox or mark karpeles has filed for bankruptcy protection. this means they still have cash, but only enough to pay about half of what is owed. will be interesting to see how they go about paying this money back. calling bitcoin a ponzi is a great signpost to be ignored, please continue to use it to identify your ignorance and save me the time in reading more of your posts
It's easy to sling inaccurate descriptions and throw-away clich's at something we don't understand, or don't like.... stackers in particular are especially good at this. However, as much as I have asked multiple times recently of the accusers, NOBODY has been able to explain how BTC is a Ponzi. :|
So does this explain the bizarre situation that existed for so long where bitcoins in Mt Gox were priced well above the other exchanges ? Was that because all those in the know of the flaw were buying up bitcoins at any price so they could scam more out of the exchange ?
I'm a complete newb to Crypto's but even I can understand the difference between BTC the Crypto currency and MtGox, only one of many exchanges. And MtGox the particular exchange that many individuals world wide have had many many problems with in recent time. Conflating the two things as one and the same only go's to show your misunderstanding of what Bitcoin actually is. I too was one who popped out of the woodwork and sniggered at others here, (for which I unreservedly apologize for now) but I now see crypto's for what they are and what they have to offer. How many here are still paying $20 per trade on the ASX and still not making a profit ?
Unless you are still sending a cheque in the mail for your readers digest subscription, bitcoin has a use. To the baby boomers on the forum, when computers first came out did you ever think that you would use one to buy gold and chat on forums about it?
Sorry for going off topic....... Don't know how old you are but you might be completely shocked to know that discussion forums existed just as soon as 'computers came out' and way way before the Internet. They were called bulletin boards and accessed by modem. Yes they were f*n slow at 300 baud but exist they did. ..... Ok back to mt gox
No it was because Gox was no longer operating a free market btc/usd exchange, but a manipulated one in which usd withdrawals were made impossible. For this reason the currency usd inside Gox became worth less than usd outside Gox - hence the inflated usd prices inside Gox compared to other exchanges. Of course when Gox recently stopped bitcoin withdrawals as well, then the currency btc (inside Gox) rapidly became worth less than the currency btc outside of Gox.
