Most Mt Gox Bitcoins Were Gone by May 2013, Report Claims

Most Mt Gox Bitcoins Were Gone by May 2013, Report Claims

Mt Gox's missing bitcoins were stolen from the exchange over a period of time beginning in 2011, according to a new report released today by a group investigating its collapse. They were gone long before the company's collapse in February 2014, the report said. Gox had therefore been operating on a fractional reserve basis for most of that time, either knowingly or unknowingly. The stolen bitcoins had been withdrawn and sold off on various exchanges including Mt Gox itself, and given the timing probably at prices far below the 2013-14 highs. Tokyo-based bitcoin security firm WizSec, which....


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Mt. Gox Bitcoin Theft Began in 2011, WizSec Report Claims

Tokyo-based independent Mt. Gox investigator WizSec released yet another report on the ill-fated Bitcoin exchange that went into the dust last year after suffering a 850,000 BTC theft. In its latest findings, the firm revealed that Mt. Gox's Bitcoins were stolen long before its actual collapse, adding yet another game-changing event to the unsolved case. According to the lead independent investigator Kim Nilsson, the Bitcoins stored in the exchange's hot wallet started leaking out in 2011, three years before the actual reported theft. "As a result," he added, "MtGox operated at fractional....

Mt Gox Depleted of Bitcoins by 2013 Says New Wizsec Report

Mt Gox had been depleted of most of its bitcoin by 2013 according to a new report from Wizsec, the Tokyo based bitcoin security firm, which has been conducting an ongoing unofficial investigation into Mt Gox’s collapse. The theft had been ongoing since 2011 and many of the missing bitcoins were stolen straight out of Mt Gox’s hot wallet. A significant amount of the stolen bitcoins were deposited at various exchanges like BTC-e, Bitcoinica, Mt Gox itself, and other not yet identified wallets, and subsequently sold for cash. This led Mt Gox to be operating “knowingly or unknowingly” at....

Kraken to help Settle Verified Mt Gox Bitcoin Claims

Kraken, the bitcoin exchange will be distributing bitcoins to the Mt Gox claimants as their claims get verified. Mt Gox customers may have something to look forward to in the coming days. Some of the investors in the now-defunct Bitcoin exchange Mt Gox may soon be receiving at least a part of their investments back. A recent announcement made by Kraken earlier today shows that the verification process for all the claims made so far by about 25,750 creditors may have been complete. According to the press release, the total claims received so far exceed 263, 519,268303,371 Japanese yen,....

Report Suggests MtGox Fraud Led to $1200 Bitcoin Price

The chart pointing out artificial price floors on MtGox via The Bitcoin Channel. It turns out that the extreme rise in the bitcoin price near the end of the 2013 may not have had much to do with China, Silk Road, or government hearings in the United States. Although those three factors are often cited as the reason the price skyrocketed to over $1000 near the end of the year, a new report suggests that there was some price manipulation going on behind the scenes at MtGox. Although the report falls short of placing guilt upon Mark Karpeles or anyone else at MtGox, fraud is definitely an....

Regulation of Bitcoins in Germany: First comprehensive statement on Bitcoins by German Federal Financial Supervisory Authority (BaFin)

Bitcoins continue to keep supervisory authorities, businesses and users as well as speculators busy. On 19 December 2013 the German Federal Financial Supervisory Authority (BaFin) published its input to the vivid discussion on how Bitcoins are presently regulated in Germany. BaFin puts some points in concrete terms (especially trading with Bitcoins) and confirms some preceding views of the German Ministry of Finance and BaFin itself described in our prior article dated 27 November 2013 (only available in German). The interest in and – consequently – the demand for Bitcoins remains at a....