Bitcoin Forum

Mt. Gox Resigns From Bitcoin Foundation
By
Robin Sidel
Feb. 23, 2014 10:08 p.m. ET

Mark Karpeles, chief executive of Mt. Gox, the embattled Toyko-based bitcoin exchange, resigned on Sunday from the board of the Bitcoin Foundation, according to a person familiar with the situation.

The move comes as amid a string of longstanding technical issues that began last summer when Mt. Gox halted customer withdrawals in U.S. dollars. The problems became more severe earlier this month when Mt. Gox halted all customer withdrawals, saying that a bug in the bitcoin software allowed some users to alter transactions.

The problems prompted CoinDesk to remove Mt. Gox from its bitcoin pricing index earlier this month.

The exchange told customers last week that it was still working on "reinitiating" bitcoin withdrawals.

Mt. Gox is one of several industry representatives on the board of the foundation, which is essentially a trade organization that advocates for the virtual currency. Charles Shrem, another board member, stepped down in January after being charged with money laundering in connection with his bitcoin company.

A phone call to Mt. Gox's office in Tokyo rang unanswered.

http://online.wsj.com/news/articles/SB10001424052702303426304579401883794330454

Mark Karpeles, on the run, see him in the new blockbuster "El Digital Chapo"

http://media.coindesk.com/2014/02/Ben-Lawsky-crop.jpg

please post that picture more zoomed and higher res

there are some ear hairs on the right side that appear a bit fuzzy.

On the plus side we can see every single individual skin pore on his face.

his pores are very clean

fear and chaos

bring the panic coinsmen

Wow, this is really huge news !

So when you are on the run, you first cancel your club memberships and put everything else in order?

Confirmation:

https://bitcoinfoundation.org/blog/?p=462

The foundation probably thinks Gox may not end well, and threw him out early, before the foundation takes any damages

Probably? It makes a huge speculation difference!

There are two mainstream guesses:

1. MtGox is in grave danger of bankrupcy, and they are struggling to buy coins from panic sellers to redeem themself. Evinced by lack of any positive news when they had plenty of opportunity to calm investors - and refusal to answer if they still have client's coins - once by Roger and another time by WSJ.

2. Mark K. is not a personage for his position. He is confused and naïve, and chose to evade the situation.

(it could be 1+2 both)


The foundation has little reputation, because in this crisis they did nothing to protect bitcoin as they vowed to. The media coverage and lose of public confidence is perhaps the worst experience in bitcoin history and they acted nothing more than pointing out that it's MtGox's problem - that tells a childish leader from a mature leader.

Consider that now is the worst moment to quit from the foundation. If Mark K. is doing it, either he needs more bad news to keep GoxCoin down for him to purchase to redeem, or he has extremely bad judgement of timing. The former possibility is getting less and less likely as he got plenty opportunity for cheap coins already. So the wager is on the second, that he is oblivious and naïve - in which case quitting the foundation is a piece of good news, because a naïve leader with insolvent situation should be in of the 5 stages of failure acceptance; while a naïve leader with solvent situation has the heart to wrestle bitcoin foundation reputation with his.

So:

Bitcoin foundation kicked MtGox out = no influnce to speculators, the foundation isn't important.
MtGox decided to quit the foundation = raise the wager on MtGox solvency.

P.S. I looked up the news, Karl asked to quit. Bitcoin foundation may feel happy that they got rid of a problem, but their incompetence to protect bitcoin is evinced in this story, they are already doomed.

+1

Resolution is poor. Please post a better one I want to read the laser etching on his contact lenses to see where he buys them.

+1

Please post a link to this

Of course it is the latest post on bitcoin foundation website: https://bitcoinfoundation.org/blog/?p=462

Thanks but the news is not so clear regarding exactly how he quit.

You say he "asked to quit" but I understood that as meaning he "was asked to quit" - by the board probably !

It would make sense that he was asked to as there was a petition delivered to them.

Anyway, all nuances at this stage. Come on Mark - say something to the people!

You might not get a definitive answer (because there isn't one probably), but why don't you head over to the BTC Foundation forum and read the discussion there for yourself.

The foundation forum is open to the public now, and there's more than one thread discussing Mark's/mtgox's removal from the board, and whether he should be forced or "asked" to leave the board.

I suspect he saw that eventually he would be removed from the board forcefully, so he stepped down "voluntarily" while he still had a chance.

Yeah, if he was gonna run he'd just disappear. Mark doesn't seem like the kind of guy to run. I'm not sure if he's done anything illegal yet, but running away from a sinking ship probably might get him trouble.


I think the damage has already been done.

For others who seek forum registration link: there was none, oda.krell's "open" means you can read their discussion. It look like that you may be able to post if you pay a membership fee.

Right, could have phrased that more clear.

But let me also clear about this: For months, non-Foundation board members in here have been complaining that the BF is doing shady business behind closed doors, and there's no accountability since their forum is off limits to the public.

Well, that changed. You can now *read* the discussion BF members are having. In order to *participate* in those discussion, you have to become a member still. Makes sense to me, I'd say.

Absolutely tragic.   That said, I think we are just in a negative news cycle in general.   Best strategy is just to keep on pressing on and don't let the FUD get to you.

Tell that to all the panic sellers.