Mt GOX gone! along with $350 million

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Coil

6614 posts

Uber Geek
Inactive user

#994721 26-Feb-2014 10:44

greenbone: anyone but uniformed casuals had their money out of gox and into a more reputable exchange months ago

thinknig the demise of gox is the end of p2p money, is like thinking the demise of napster is the end of p2p music

Look dont say that, Bitcoins will redeem themselves.. I hope.

surfisup1000

5288 posts

Uber Geek

#994726 26-Feb-2014 10:51

kenkeniff:
surfisup1000: Spin doctors are out in force saying this is typical of many industries with bad players being weeded out.

But, personally, i think it is the end of bitcoin.

If someone 'stole' 6% of the world's gold reserves by depositing fake bars and redeeming genuine ones, would this be the end of gold? (Intrinsic value aside)

No, because gold is a rare resource which you can store in your house.

Bitcoin relies on faith.

surfisup1000

5288 posts

Uber Geek

#994733 26-Feb-2014 10:52

TimA:
greenbone: anyone but uniformed casuals had their money out of gox and into a more reputable exchange months ago

thinknig the demise of gox is the end of p2p money, is like thinking the demise of napster is the end of p2p music

Look dont say that, Bitcoins will redeem themselves.. I hope.

This is nothing like napster. Serious money and savings have been lost.

Question: who would convert their life savings to bitcoin?

Fred99

13684 posts

Uber Geek

#994736 26-Feb-2014 10:52

kenkeniff:
surfisup1000: Spin doctors are out in force saying this is typical of many industries with bad players being weeded out.

But, personally, i think it is the end of bitcoin.

If someone 'stole' 6% of the world's gold reserves by depositing fake bars and redeeming genuine ones, would this be the end of gold? (Intrinsic value aside)

What is the "intrinsic value" of gold and what would you use to measure it by? Big Macs?

kenkeniff

628 posts

Ultimate Geek

#994737 26-Feb-2014 10:53

muppet:
kenkeniff:
If someone 'stole' 6% of the world's gold reserves by depositing fake bars and redeeming genuine ones, would this be the end of gold? (Intrinsic value aside)

Slightly offtopic, but I'm curious about the intrinsic value of a signature so huge that it's hard to find the message content?

Mostly making a statement to users who decide to display local speed tests of say 100/50 which means nothing when their international bandwidth may well be 5/2..

TimA: ...

This isnt a physical currency, How would one make off with these as they are forever kept on the bitcoin system. Unless redeemed for cash money.

Eh? No different to fiat (cash), you can trade it for goods/services or for another intermediate form of trade (traditional currency, gift card etc) which you later trade for goods/services.

Coil

6614 posts

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Inactive user

#994740 26-Feb-2014 10:55

surfisup1000:
TimA:
greenbone: anyone but uniformed casuals had their money out of gox and into a more reputable exchange months ago

thinknig the demise of gox is the end of p2p money, is like thinking the demise of napster is the end of p2p music

Look dont say that, Bitcoins will redeem themselves.. I hope.

This is nothing like napster. Serious money and savings have been lost.

Yes, Serious for me >.> More to the point i dont even know my bitcoin login lol. But yes fairly serious. But at the end of the day something like this is fairly vulnerable and doomed easily. I feel sorry for those who bought mega $$ of ASIC miners.

Beccara

1469 posts

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#994742 26-Feb-2014 10:56

greenbone: anyone but uniformed casuals had their money out of gox and into a more reputable exchange months ago

thinknig the demise of gox is the end of p2p money, is like thinking the demise of napster is the end of p2p music

Ah such a FYGM way of looking at it :P Gox going down will hopefully get rid of bitcoin and a crypto-currency that isn't rooted in such libertarian rubbish can come out

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greenbone

176 posts

Master Geek

#994751 26-Feb-2014 11:23

surfisup1000:
TimA:
greenbone: anyone but uniformed casuals had their money out of gox and into a more reputable exchange months ago

thinknig the demise of gox is the end of p2p money, is like thinking the demise of napster is the end of p2p music

Look dont say that, Bitcoins will redeem themselves.. I hope.

This is nothing like napster. Serious money and savings have been lost.

Question: who would convert their life savings to bitcoin?

i realise that digital money is different to digital music. just trying to illustrate a broader point here: just because the figurehead fails, does not mean the underlying technology will fail

greenbone

176 posts

Master Geek

#994753 26-Feb-2014 11:29

Beccara:
greenbone: anyone but uniformed casuals had their money out of gox and into a more reputable exchange months ago

thinknig the demise of gox is the end of p2p money, is like thinking the demise of napster is the end of p2p music

Ah such a FYGM way of looking at it :P Gox going down will hopefully get rid of bitcoin and a crypto-currency that isn't rooted in such libertarian rubbish can come out

if you entrust money to a company, and dont regularly check the health of that company, how can you cry ignorance when that company fails?

it was no secret, mtgox has been struggling for months. there were plenty of more robust alternatives ... but people are lazy or uniformed by choice

Beccara

1469 posts

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#994756 26-Feb-2014 11:45

Bitcoin scammers and badguys have a legion of supporters that think they can do no harm. Look at the whole pirate mess, Gox's has had security breaches for years and yet major players still supported them.

Hindsight is always 20/20 but users were being told so much conflicting information it's silly to blame them for the loss, On one hand with virus's targeting wallets and hdd failures taking wallets with them new users were told to store online at wallet services, then 2 of them had no security and were robbed so users were told exchanges were best, then the hacks and the coinbase rubbish with gox pushed users back into hyper-complex wallet setups on local computer again

How are they meant to do health checks, Gox has been fairly quite and most things being said about them since they limited/froze withdrawls is hearsay. Do you go and pull every cent out of the bank when someone on the internet says something bad about them?

So far bitcoin and the associated companies have been a good history lesson condensing the past 2000 years of financial mistakes, scams, cons and myths

greenbone

176 posts

Master Geek

#994786 26-Feb-2014 12:35

im probably assuming the average person know more than they should, apologies

2 general rules:

-dont store anything on an exchange
-store large amounts on an encrypted drive, offline

Fred99

13684 posts

Uber Geek

#994953 26-Feb-2014 16:26

greenbone: im probably assuming the average person know more than they should, apologies

2 general rules:

-dont store anything on an exchange
-store large amounts on an encrypted drive, offline

you missed one:
-don't throw hard drive containing 7500 bitcoins in waste skip destined for landfill

Beccara

1469 posts

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#994961 26-Feb-2014 16:42

LOL forgot about that one. Bitcoin's a nice POC that really should not have gone any further

resurrect

80 posts

Master Geek

#995331 27-Feb-2014 10:34

so people think that a currency that has no real base value/standard is bad...... bwahahhahahaha have you looked at all of the worlds currencies?

In my last job i was paid by the government electronically, i put that electric money into a bank electronically. i then used that electronic account to get a mortgage then buy a house, and for nearly 6 years the only physical $ i saw was when i took it out of an ATM. (which is kinda like an exchange for the banks physical money and your electronic $)

so please, tell me how bit coin is different from a commoners perspective? especially when you're able to use bitcoins at some stores.
(I am aware that it's not backed by a government and is somewhat a "free" currency and governments dont like that sorta thing)

Geektastic

17943 posts

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#995332 27-Feb-2014 10:34

wasabi2k:
kenkeniff:
Fred99:
Gilco2: Bitcoin may be no more soon.

It would seem that despite 6% of the total market "disappearing", no consensus on exactly how or why that happened (except accusations of "lax security"), and most of the world financial press stating what you have - that Bitcoin may be no more soon, the market itself seems to be remarkably resilient.
If belief amongst the faithful was that Bitcoin may be no more soon, then it would have already happened.

These's no mystery here; hackers exploited a transaction malleability vulnerability MtGox's wallet implementation to fleece it of a significant number of BTC, they haven't "disappeared" but have been stolen hence still in circulation in the BTC economy (just by different owners).

I read (on Register or Slashdot) that it was the malleability issue - combined with automated, unaudited transaction refunds and automatic, unaudited withdrawls from their offline wallet. In other words, someone could quietly do this over and over and over and noone would notice.

This, combined with people using MtGox as a bank - not an exchange - means a bunch of people have lost a lot of virtual currency.

As has been said - you store your wallet offline - it can still be transferred into, then maybe have an online current account.

Otherwise it is like carrying your entire wealth/savings around in your wallet.

Logically you can't really lose something that doesn't actually exist....! ;-)

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