Bitcoin Exchange Mt. Gox Files for Bankruptcy

[Rachel20]

Mt. Gox Files for Bankruptcy Protection

Bitcoin Exchange Had $63.6 Million in Outstanding Debt


TOKYO—Bitcoin exchange Mt. Gox said it was filing for bankruptcy protection and that 750,000 of its customers' bitcoins and 100,000 of its own had been lost.
At market prices charted by the CoinDesk bitcoin index, that would represent a loss of $473 million.
The company's lawyer also said at a news conference at the Tokyo District Court that Mt. Gox had outstanding debt of about ¥6.5 billion ($63.6 million) with assets worth ¥3.84 billion.

A covered Bitcoin sign is hung outside a Bitcoin cafe which was scheduled to open in March at the building housing the company operating the Mt. Gox Bitcoin exchange in Tokyo, Japan. Bloomberg News



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 raising 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.
Customers from as far away as the U.K. and Australia have come to air their complaints outside the company's Tokyo offices this month.

Bitcoin Exchange Mt. Gox Files for Bankruptcy Protection - WSJ.com

 

[Rachel20]

So anyone for crypto currencies? These digital forms of money are able to decentralize the economy of money, using tech like peer-to-peer networking, digital signatures and cryptographic hashes.
It is a philosophy that borders on anarchy because it bypasses legislation by its online anonymous nature.

But its been embroiled in a whole lot of controversy, coz of illicit transactions, trading restrictions and even threats of bans from Russia, and now Mt.Gox filing for bankruptcy. (Apple also doesn't support bitcoin software)

The bitcoin bubble is speculative, and people who have invested in this, early on have seen huge returns.

So are you for these forms of currencies? Do you think they can survive?
(Keep a watch)

 

[jimmydiggs]

I'm in favor of the gold standard.

 

[Donkeyfish07]

So anyone for crypto currencies? These digital forms of money are able to decentralize the economy of money, using tech like peer-to-peer networking, digital signatures and cryptographic hashes.
It is a philosophy that borders on anarchy because it bypasses legislation by its online anonymous nature.

But its been embroiled in a whole lot of controversy, coz of illicit transactions, trading restrictions and even threats of bans from Russia, and now Mt.Gox filing for bankruptcy. (Apple also doesn't support bitcoin software)

The bitcoin bubble is speculative, and people who have invested in this, early on have seen huge returns.

So are you for these forms of currencies? Do you think they can survive?
(Keep a watch)

Yep, I've held bitcoin, litecoin, DogeCoin, and unobtanium. I've been involved with it for awhile. I bought a currency called NXT pre-launch and flipped it 3 weeks later for a 400% profit. lol

Gox has needed to go for awhile anyway, none of us traders have liked Gox at all since the U.S. cracked down on them awhile back. There are much better exchanges hosted in countries that don't bow to U.S. pressure with lower fees than Gox had anyway. It really is an anarchist concept. A lot of Anarcho capitalists (People who invested in it waaaaaay before I got on the train, like back before they were even worth a dolllar just because they believed in the idea) are now multimillionaires because of it.

It has it's downsides though, truth be told.....the only reason it gained traction in the beginning was mostly for illicit transactions (Guns, drugs being sold online). Money laundering, tax evasion.....it's used for all of these things.

 

[Rachel20]

And that's the whole idea of the bitcoin. To take away the government role in the exchange of "money". It creates a free market.

From what I've seen from threads, so many people live in constant fear of a tyrannical government, and then think guns are their defence. Well here's an alternative.

Bitcoins could be more powerful.

 

[Donkeyfish07]

And that's the whole idea of the bitcoin. To take away the government role in the exchange of "money". It creates a free market.

From what I've seen from threads, so many people live in constant fear of a tyrannical government, and then think guns are their defence. Well here's an alternative.

Bitcoins could be more powerful.

Oh yes, bitcoins are more powerful than people realize. I wonder if it isn't a "trojan horse" or sorts though. I think the government would love to go to centralized, regulated digital currency (Of course we know bitcoin is decentralized and unregulated but I'm sure they aren't happy about that). Perhaps they are just letting it be for now because it's just making digital currency more acceptable. I don't see them letting it grow out of control and take the whole thing laying down

 

[Rachel20]

Actually, I think the US has been very lenient and welcoming towards Bitcoins.

It could be because many people could be involved in transactions with no legal audits. Maybe it's a win-win for people in and out of government. I don't know.

Bitcoins are mostly immune to crime by organizations, (though it can be hackable)

It's a powerful idea. Ideas are more powerful than guns

 

[Donkeyfish07]

Actually, I think the US has been very lenient and welcoming towards Bitcoins.

It could be because many people could be involved in transactions with no legal audits. Maybe it's a win-win for people in and out of government. I don't know.

Bitcoins are mostly immune to crime by organizations, (though it can be hackable)

It's a powerful idea. Ideas are more powerful than guns

I'm quite sure that cartels and such use them, they would be stupid not to. It's a smarter way to store value than cash or bank accounts....not to mention they tend to become more valuable over time. Far superior to any savings account and most stocks you could invest in.

Yes, that's what I was saying....the U.S. is reaaally lenient towards them. I think they like digital currency, they just don't like that they aren't the ones controlling it.

 

[ji]

So anyone for crypto currencies? These digital forms of money are able to decentralize the economy of money, using tech like peer-to-peer networking, digital signatures and cryptographic hashes.
It is a philosophy that borders on anarchy because it bypasses legislation by its online anonymous nature.

But its been embroiled in a whole lot of controversy, coz of illicit transactions, trading restrictions and even threats of bans from Russia, and now Mt.Gox filing for bankruptcy. (Apple also doesn't support bitcoin software)

The bitcoin bubble is speculative, and people who have invested in this, early on have seen huge returns.

So are you for these forms of currencies? Do you think they can survive?
(Keep a watch)

Only 1 thing to say,there ares till Strong Spiritual Giants of Prayer in this world that God hears from Heaven.
satan still got to wait some more time to bring his anti christ in..

 

[ServantStrike]

And that's the whole idea of the bitcoin. To take away the government role in the exchange of "money". It creates a free market.

From what I've seen from threads, so many people live in constant fear of a tyrannical government, and then think guns are their defence. Well here's an alternative.

Bitcoins could be more powerful.

The bitcoin and other completely electronic currencies aren't going to defend against tyranny.

The market is still small enough that the concept isn't a threat. I can't think of a single nation that isn't going to go after strict restrictions or outright bans when their reserve currencies start taking a bath on the open market. Most any developed nation is going to have a fractional reserve baking system with fiat money - I can't think of a single one that doesn't. That's big business and it gives governments the ability to spend with impunity (for a time). Take that away and entire economies collapse, because you're already in so deep and in debt so badly that you're never getting out of it. Even if that is allowed to happen, it doesn't matter when someone has protected themselves financially - the other 90 percent of the population starves.


Here in the US, there was a time it was illegal to own gold bouillon because people didn't have enough confidence in the FRN's and we were trying to get people off the gold standard. I expect the bitcoin to suffer a similar fate one day.

Ideas are wonderful. Especially if they are well articulated, an idea is how you can get other people to open their minds and realize there may be a better way to do things, and that there is something worth striving for. You've still got to be able to back those ideas up though when the 500 pound gorilla tries to take what you have by force.

 

[Rachel20]

I don't think I am going to brush off the possibility of the bitcoin so easily.

Historically people tend to choose commodity money over fiat money that is imposed by the state. Otherwise we wouldn't have gold confiscation or legal tender laws so that it gets accepted in the marketplace. Bitcoins are closer to commodity money.

The thing about the bitcoin currency is it's actually very hard for the state to ''deactivate" it. It can be anonymized, it's protected by its cryptographic and peer-to-peer nature, and so it becomes almost impossible to track down users. Wallet files can be hidden anywhere.

Also Bitcoin allows international money transfer without any charges.

Maybe the 500 pound gorilla has brute strength, but its not always about brawn.

 

[Donkeyfish07]

I don't think I am going to brush off the possibility of the bitcoin so easily.

Historically people tend to choose commodity money over fiat money that is imposed by the state. Otherwise we wouldn't have gold confiscation or legal tender laws so that it gets accepted in the marketplace. Bitcoins are closer to commodity money.

The thing about the bitcoin currency is it's actually very hard for the state to ''deactivate" it. It can be anonymized, it's protected by its cryptographic and peer-to-peer nature, and so it becomes almost impossible to track down users. Wallet files can be hidden anywhere.

Also Bitcoin allows international money transfer without any charges.

Maybe the 500 pound gorilla has brute strength, but its not always about brawn.

It is very secure in the sense that no one can take your funds unless they have your wallet.dat file + the encryption, but transactions are very traceable. You can follow it through the blockchain and unmask a persons identity who isn't computer savvy and very careful.

Wielded in the hands of a true nerd though.....that's a different story. lol

 

[Rachel20]

You're right Donkeyfish.

Encryption algorithms are mostly considered unbreakable.
The only way would be to either know the private key or to use another method to gain access. I am not saying bitcoins are not hackable.

They can be, but an organizational force bringing down the entire network is very difficult. Bitcoin transactions are traceable for now, but in case there's a threat of shutting it down, it could go invisible.
So maybe it's something that's here to stay and we can keep our eyes peeled.

 

[Rachel20]

Only 1 thing to say,there ares till Strong Spiritual Giants of Prayer in this world that God hears from Heaven.
satan still got to wait some more time to bring his anti christ in..

I actually want Jesus to come back, and take me home

 

[ServantStrike]

It is very secure in the sense that no one can take your funds unless they have your wallet.dat file + the encryption, but transactions are very traceable. You can follow it through the blockchain and unmask a persons identity who isn't computer savvy and very careful.

Wielded in the hands of a true nerd though.....that's a different story. lol

Just remember, the feds hire nerds too.

You basically end up in a technological cold war between the government and private individuals.

 

[Donkeyfish07]

Just remember, the feds hire nerds too.

You basically end up in a technological cold war between the government and private individuals.

Yes, but Anonymous is in the picture now. They have double agents, just the same as the Feds do now. It's a really interesting situation.

All I was getting at though, is if an individual REAAALLLY wants to hide his bitcoin transactions, he can with a little technical know how. It doesn't matter how technologically advanced the other party is. The system isn't designed for that level of anonymity though, an average joe just sending a payment through the blockchain from his home computer has no reasonable level of anonymity.

 

[Drett]

The world trading in US currency gives the US a huge advantage. It is not one the US will give up lightly. We just need to look at what happened to the countries that wanted to trade their oil in a different currency. A lot of the people that made those decision are either dead now or are battling sanctions.

 

[Desdichado]

Bitcoins!!!!

 

[David_1]

Such a sad day for: Magic the Gathering Online Exchange.

Where will we trade cards now???