Bitcoin Forum

Been away from the computer for a while. I was wandering what was the final fate of Mt. Gox? Last time I checked, it had crashed, and no one thought they would get their money back. But there was rumors that people might get back a percentage back or something.

So any updates? Anyone get arrested or sued? And do we know for sure now that it was hackers? A lot of people were speculating that the exec's over there just took the money and ran.                                                                                                                                                                                                                                                                           

The money is gone, end of story.

After the shutting down of the site and rejecting BTC withdraws they said that they found half of the stolen amount somewhere on their server or something like that and they were saying for a long time they will return all the money of the people who invested. But of course that never happened.
BR

almost put my money on there one day glad i did not do it cause of the verification system

There are several threads detailing what happened and what is going on after they ceased activity:
https://bitcointalk.org/index.php?topic=179586.0
https://bitcointalk.org/index.php?topic=476535.0
https://bitcointalk.org/index.php?topic=492776.0
https://bitcointalk.org/index.php?topic=485933.0

They are talking about bankruptcy... Who went bankrupt? Mtgox... Who got the bitcoins and money without return? Mtgox... So they became billionaire under the pretext of bankruptcy.

They officially claimed that they still have 200K btc left with them, and the gox is now preparing to return them back.

Do you believe that they will return? I don't think so...

Simply... One of the guys felt super safe but was clearly Not... i heard some rumors about some polite suggestionato fix the ports and he sayd "I'm OP! None can take us down" and Boooom!!!


Ahahahaha      ;D


They sayd they Will fix theirself.. No way, I say

Bankruptcies take years to process. This won't be resolved for a long time.

I doubt they will be returned. I think they will be liquidated by the bankruptcy trustee/administrator and after various creditors are paid, customers will get a slice. That's my story and I'm sticking to it.

According to willy report and other sources......it is highly likely that mt.gox either 1) suffered a greater setback through hack attempts than they let on, 2) willingly manipulated their own markets and orders with bots to steal customer funds 3) both.

I have been doing extensive research on these matters and reading up on several well investigated articles. Karpales, or whatever the fatass's name, is truly fucked.

When you say that Karpeles is fucked, what do you mean by that? Like do you think he's legally fucked? Like he'll be actually charged with something by law enforcement(Japanese?). Or do you mean he's fucked like he's just fucked up in the head?

Everything bitcoins still  is going to allow to pay the creditors institutional and the employees thus the holders of bitcoins have little luck to see one day the color.

Not only this but even if it does get processed way down the road, I highly doubt anyone will see their coins back. It's better to just count it as a loss and rebuild what you may have lost.

Death under suspisciou circumstances, or as they call it in US, 'by accident'. There may have been funds in that exchange that belonged to not so honest people, the nkind of people who many of my countrymen know not to mess with unless they ahve a death wish. Only a conjecture at this point, but possbilities are strong.

Depositors will most likely get back at least 50% of the bitcoin given the large amount of bitcoin Mtgox still hold.

They only said they had 200k, right? Weren't they short 800k? That's only 25% right there, and there will be other creditors in line as well. Plus administrative/court expenses...

That is an incredibly optimistic estimate I would say. 200k btc wasn't close to 50% and who knows how the bankruptcy is going to pan out.

They likely ran a ponzi scheme with fractional reserve that got busted when the price collapsed.

dont expect any money from mt gox

Yes, but how did the fractional reserve come to exist in the first place? I'd love to get the down and dirty on all the hack attempts on Gox. My money is on some major hacks from years ago. That summer 2011 hack, maybe...

Anyhow -  if they have 200000 btc they HAVE to give them to the customers.
Maybe give each one around 1/3 of what they had?

That's not how bankruptcy works. First, 200k is 1/4 of the BTC liability. :P  But it is a long process, and the court administrator/trustee may opt to liquidate the bitcoin and pay out fiat. Then there could be other creditors that come before traders.

yikes. i hope they don't liquidate. how would they sell 200k without suppressing the price at all? that sounds like a pretty dark scenario. anyone want to shed more light on the Japanese bk process?

I'd also expect the investors will do whatever they can to get their money before the clients. The clients don't have much to say as they aren't (in most cases) represented in court by expensive lawyers.

They should go after Karpeles, seize and auction all his accounts and personal belongings, sell  Gox domain, site, bots, add it all to the pool and pay back  the debts. I'm sure this fat bastard has more cash than he claims.

There have been no arrests (not that there shouldn't have been).

Gox filed for bk in Japan, as well as in the US.

The last I saw they are liquidating, however a number of groups have made offers to continue running the company.

Long story short, they lost 650k of 850k of their coins and around 25% of their fiat. They originally lost all of their BTC, but subsequently found 200K BTC.

Has there been any more information on how they 'lost' all that btc? I remember Karpeles was spewing some bullshit about transaction malleability but that sounds like complete bullshit.

The last rumor I had read is that Karpeles believes the bitcoins were stolen during the summer of 2013, but there's nothing official.
OTOH he could have stolen them himself and just pretends someone else is to blame. We'll probably know the truth in a couple of years.

If he doesn't get bumped off in the mean time...

there are a lot of opinions on what actualy happened to mt.gox, i believe none of them.
imho , mt.gox ceo 100% was greedy enough to play/trade with clients money, swinging the market like a whale, it isnt as crazy as it sounds if take a moment to think about it.
but in the end it was their incompotence that got them, and im surprised i was lucky enough not to have money there in the time of the fall, coz i usualy allways get burned, last time it was liberty reserve, those of us who are longer here know what im talking about...

cheers

It won't surprise me if this is true.

Certainly won't be the 1st broker to use customer's money to gamble.

Mtgox went busted and claimed hacked.

This would make sense.
In fact, anything makes sense except the "we were robbed" story.
I simply don't believe that they didn't have the keys in cold storage.

Malieability is the latest "explanation" that I have read/heard. There was an article that starting at a certain time (I believe it was in 2011) there have been much too few "mutated" transactions to possibly steal that many coins from Gox.

It is possible they lost the coins due to malieability prior to the above study when coins were worth much less then they are now.

I assume that Gox had previously under-reported the number of coins that were stolen/lost in previous attacks.

A major factor in the fall of Gox was likely the dramatic rise in the price of BTC. If the price was $800 it would take more in terms of dollars to recover any lost coins then it would if the price of BTC was back at $10 (they need to do 80x as much trading to recover the same amount of BTC).

I think that the management was simply incompetent. They had zero internal controls.

Well everyone has known that Mt.Gox was incompetent since early 2011.

I'm mostly waiting for some specific answers on what happened. Because at this point it looks incredibly shady.

Yes, but most people are not aware Mt gox also steal from customer beside being incompetent.

That is very true. People did trust Mt.Gox.

Yea, Mt. Gox was one of those places that even non-crypto currency persons may have come across or at least heard of.  Don't think they'll be able to make a come back with all the negative press that came out on them.

This may be true but they were not aware of the level of incompetence. If people knew of the level of lack of internet controls a lot of people would probably not have trusted their BTC and cash money with them.

I think I remember reading something about the bankruptcy trustee doing an investigation as to what happened.

If a third party were to buy the company/site/name then they could do something good with it.

They would need to prove their security, competence and internal controls but it could happen.

In the days before it was "public" that gox had failed there was a leaked document that said one of GOX's assets was it massive user base, KYC'ed customer base and trading platform. 

Yeah a lot of the uninformed public thought that Mt.Gox = bitcoin. And when Mt.Gox went down that meant that bitcoin was over. It was fairly big news when they lost the half a billion dollars worth of bitcoin or whatever it was.

I think using the same name in the future if another company took over the company would be a big mistake.

C'mon guys Mt.Gox is already dead this topic should be closed

Ugh the claims process is so drawn out lol. Gonna be mid 2015 at the earliest before we start seeing some partial reimbursement.

It went to bust.

Mark Karpeles committed fraud and claimed hack.

It could happen earlier in the event GOX is sold to a 3rd party.