Bitcoin Forum

Here's what you get:

- the domain COINGATOR.COM
- all HTML and Code
- FTP and MYSQL access to site and code
- paid access to original developer

We had tremendous success operating CoinGator for the limited time it is was in operation. Sales were growing daily and the feedback was excellent. See this feedback thread: https://bitcointalk.org/index.php?topic=212375.0

However we determined that the cost to operate legally in the US was going to (at minimum) $250K in regulatory/licensing costs. This made continuing operations cost prohibitive. As you can see from my signature I have moved on to other projects. In the coming hours I will be updating this post with screenshots from the website. So please stay tuned for the updates.

Auction Rules:

1. Auction will run until I think the highest bid is a fair price.
2. Escrow is fine however I request we use John K.
3. Payment/bids must be made in BTC.
4. Minimum bid is 1 BTC.

Please don't anyone derail the thread and let's have a nice fun auction.

Bidding starts....now!

Correction: I'll be adding screenshots in the form of replies. I didn't realize editing the OP in this forum was disallowed.  :)

There is something else that hat come with the offer, liability.  When buying a company you take on any and all liability.  I recently read a paper presented by the American Bar Association that said something really suprising to me.

If I move into a location where a somekindofcompany was and even if I have no relationship with somekindofcompany and that firm had, let's say, a tax burden.  Well guess who becomes liable for that tax burden?  Unbelievable that it's the new company?  It may seem crazy but it is true. 

As an unlicensed MSB selling or buying bitcoin is illegal.  Sorry, MicroGuy, but taking on this company exposes the buyer to potential criminal liability.

You could not pay me $50,000 to take the company off your hands now that you have apparently broken federal law. 

I'm sure there's lots of folks that could use the code/scripts. It would then just be a matter of rebranding under a new name.

Here's a couple of screenshots. There is also an admin panel for order processing.

http://www.coingator.com/img/screen1.png
http://www.coingator.com/img/screen2.png

Thank you.

I'm also under the impression that the law is likely different for different countries, so while operating the business in the US might be illegal without the proper licensing, operating it elsewhere is probably fine.

You could prob run this cheap and legal out of Malta, Badbados, Virgin Island etc. Hell, you could prob pick up a cheap 'gambling license' for any of those territories and run it under.

when does the auction end?

1. What does paid access to the original developer mean? Do we pay or have you already paid for a certain amount of time?
2. Who pays for the server hosting and how much is it currently costing you?
3. Can we move it to our own dedicated server?
4. How did you estimate the legal costs for the US?

5. Why didn't you try to raise the funds to pay for all of the legal fees?
(Sorry would not let me edit my post)

To answer this for him (at least regarding legal fees) it was estimated at $250k for the US.

1. This means if you want mods done, you will have access to the original developer. His rates are very reasonable. No charge for small changes. I will make arrangements for him to provide 1 hour to be included in this sale as an added bonus.

2. The site is currently hosted on an in-house dedicated server. You will need to arrange for your own hosting.

3. Yes. The winning bidder gets full and complete ownership rights to the entire business.

4. That is the deposit required by http://www.meracord.com/ which provide turn-key compliance services.

Because those fees are still not entirely known. Our estimate of $250,000 if a best-case scenario and only includes the deposit. There will be other costs and requirements and a full review of your companies financials by Medicord before application approval. There reason we abandoned the project is because we did not have access to sufficient capital.

repeating since i didnt get a response

Ill start the bid: 1BTC

The auctions ends when I determine the highest bid is fair. But just as a hint, I won't be letting this auction wrong very long.  :)

okay well in that case i have no intent to bid

Okay. Thanks for updating me.  :o

Is the business tied contractually to Meracord? ...or anyone else for that matter? I would be interested in another vendor.

Is the original developer or anyone else on the team utilizing the code to create something similar?


~Jord

No, there is no contract with Meracord. And no, the developer will not be sharing the code. This will be yours exclusively.

Please decide what a fair price is and post a sha256 hash so that we know you're not constantly upping the reserve.

I don't know what that means. I have around 20 BTC invested and I'm just trying to recover "some" of that initial investment.

It means your current auction terms are unfair because there is no official end and you can keep changing the reserve price.

I propose you decide on a fair price that you would accept NOW, then create a string of text such as "My reserve price is 20.252852 BTC and some random *(#*($#*$U(#$U* characters". Then paste that string into http://www.xorbin.com/tools/sha256-hash-calculator and post the hash of it here.

At the end of the auction, you can reveal your secret string and prove to us that the auction was fair (in that you kept the same reserve price thoughout).

Yeap. Auction threads have that issue.

How is the auction unfair?

Just bid what you are willing to pay for this business and may you might win. I'm sorry but I don't understand when you say it's unfair. There is no reserve price because I have not determined what price I am willing to accept.

When the highest bid feels right to me, I will accept it.

The highest bid thus far is 1 BTC. Do we have any interest or should I close the thread?

I have interest, but not when it isnt really an auction. An auction needs a set time. With out a set time I dont plan on bidding

You just answered your own question.

Messed up the quote above, but you get the picture :)

Okay then. I agree and here we go!

Auction ends Friday June 21st at 10:00 PM New York time.

High bid wins!

No Reserve!

In all fairness

Auction
Noun
A public sale in which goods or property are sold to the highest bidder.

There does not need to be a time limit for an auction

Comon guys get off ebay you don't need a time limit for a fair auction, though there should at least be a rule like if no bid is posted after 1/2 days then the auction closes or this guy may as well just post it on the goods selling section as open for offers

Or apparently there is going to be a time limit  ;D

 ;D

well are we starting from scratch?

If so i bid a satoshi

if not i bid 1.00000001

This is going to get confusing. I'm going to lock this thread and start the auction over now.