Bitcoin Forum

Huge Bitcoin sell off due to a compromised account - rollback

Mark Karpeles
posted this on Jun-20 04:07
The bitcoin will be back to around 17.5$/BTC after we rollback all trades that have happened after the huge Bitcoin sale that happened on June 20th near 3:00am (JST).

Service should be back by June 20th 10:00am (JST, 01:00am GMT) with all the trades reversed and accounts available.

One account with a lot of coins was compromised and whoever stole it (using a HK based IP to login) first sold all the coins in there, to buy those again just after, and then tried to withdraw the coins. The $1000/day withdraw limit was active for this account and the hacker could only get out with $1000 worth of coins.

Apart from this no account was compromised, and nothing was lost. Due to the large impact this had on the Bitcoin market, we will rollback every trade which happened since the big sale, and ensure this account is secure before opening access again.

lol, it was anything but the truth. The fact is ALL mtgox account has been compromised, and at least a few people lost money.

Nice try.

Here's the question nobody's been asking:

What happens to the thousands of bitcoins the hacker withdrew from Mt. Gox? Mt. Gox can't print Bitcoins like the Fed prints dollars -- BTC are hard as heck to produce.

.... wow.

He didnt withdraw them. He tried to withdraw money, but mtgox has a hard cap of $1000 dollars.
MtGox got closed soon after.

Other compromised accounts probably lost less.

It's complete bullshit about only 1 account getting hacked.  There is no way someone kept 100k+ bitcoins on mtgox in 1 account.  All the account information was already published, i bet the hacker went into all the accounts with the weak passwords and sold the bitcoins from each of them.  Whatever mtgox is feeding you guys are crap, so glad i never signed up with that shitty website.

The hacker had access to everyone's passwords.  The hacker crashed the market to $0.01/BTC.  Mt Gox allows withdrawls of up to $1k or equivalent in BTC.  Someone moved 500k BTC soon after crashing the market.  Put all those together.

Good job posting in the mining subforum and ignoring the countless other threads in the correct subforum OP.

Mt. Gox moved 432,000 in Bitcoin to a secured wallet after they were made aware of the security breach: http://www.btcnn.com/2011/06/not-everything-is-as-it-seems-at-mt-gox.html

Hi nhodges,
That link is such BS, allow me to teach you why.

HOWEVER, live market analysis by BitcoinChannel shows hundreds to thousands of microtransactions being made as the exchange value at Mt. Gox plummeted earlier today.
^^^

It was one huge SELL order and the thousands of microtransactions being made were all the BUY orders at lower prices from all 60,000 accounts. FYI: Every trade has 2 sides a buyer and a seller.