BitCoin exchange bites dust

Posted in Culture of Lickspittle, Fiat money fear and loathers at 9:56 am by George Smith

All your money are belonged to “Poof!”

Mt. Gox is gone, or almost so, reads the news.

Rumors about the possible collapse of leading Bitcoin exchange Mt. Gox are sending shock waves through the community that has embraced the virtual currency.

Amid radio silence from the company, users are attempting to sort through conflicting signals that the company has shut down or that it is being acquired and possible relaunched …Ryan Galt, a Bitcoin blogger, wrote a post expressing his fear that this could be a fatal blow.

“This is catastrophic, and I am sorry to share this,” he wrote. “I do believe that this is one of the existential threats to bitcoin that many have feared and have personally sold all of my bitcoin holdings through Coinbase.”

That would be the Ryan Galt, great great grandson of John.

Meanwhile, over at Ponzi Twins Central, the Winkdex provides evidence that BitCoin hoarders are desperately trying to keep the price of the currency propped up.

Blast from the past last weeK:

Protester Kolin Burges, who started dabbling in virtual currencies last summer, says that he should have known Mt Gox was “a bit dodgy”, and accepts that he should not have stashed all his Bitcoins – the proceeds of a well-timed sale of Litecoins – in the exchange’s vaults as late as January 28 …

“Exchanges need to prove that they have X amount of coins, and X amount of cash,” says Mr Burges, an Android games developer hoping to “semi-retire” if he gets his coins back. — The Financial Times

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  1. Frank said,

    February 25, 2014 at 12:28 pm


  2. Ted Jr. said,

    February 25, 2014 at 4:49 pm

    Let’s hope Winky and Dinky ca$hed out before it was too late. The world still needs publicity hounds and ill gotten gainers.

  3. George Smith said,

    February 25, 2014 at 5:56 pm

    If you look at Winkdex they’re involved in propping up the price. They stopped calculating the value of the currency at MtGox. But what happens to all those BitCoins? They could be gone forever. Locked up in bankruptcy court, to be sold off at firesale to creditors ten or twenty years from now after all the civil suits?

    If you’re poor like Jesse Korff and you try to make BitCoin money, since you have none you can’t so you must go to an illegal market and try to assign inflated value to another thing that’s intrinsically worthless, abrin poison. And be arrested.

    If you are wealthy, you can make money by speculating or hoarding BitCoins. Unless you’re the fellow who stuck his crypto-currency stash in MtGox.

  4. Ted Jr. said,

    February 27, 2014 at 6:37 pm

    When all the dust settles, I think the operative expression about Empty Gox will be “re-hypothecation”

    Then the question will be, “what involvement, if any, did Winky and Dinky have”.