Please email us the problematic code, and we will credit your account manually.

Hi,

I apologize for the deposit delays. Due to a system error, some of the addresses generated are still from the old server, and that means all deposits have to be entered manually (which caused the delays).

Only a small number of users were affected. To prevent this, please change address before you deposit Bitcoin next time.

Thank you for your patience!

We are glad to announce the partnership with AurumXchange. Now Bitcoinica customers can use AurumXchange to easily fund their accounts via Liberty Reserve, Pecunix, SEPA transfers, wire transfers, etc.

AurumXchange is an official funding partner of Bitcoinica. This service enables Bitcoin traders to rapidly fund their accounts using a variety of electronic currencies, as well as Wire Transfers and SEPA transfers.

We currently support the following funding methods:

E-Currencies:
• Liberty Reserve (Instant funding - NO FEE)
• PerfectMoney (INSTANT funding - 1% FEE)
• Pecunix (INSTANT funding - NO FEE)
• HD-Money (INSTANT funding - NO FEE)
• VouchX Vouchers (INSTANT funding - NO FEE)
• CosmicPay (INSTANT funding - NO FEE)
• C-Gold (INSTANT funding - 5% FEE)
• SolidTrustPay (WITHIN 1 to 2 business days - 8% FEE)

Banking and other payment methods:
• SEPA Euro transfers (WITHIN 1 business day - NO FEE)
• International Wire Transfer in USD (WITHIN 1 to 2 business days - NO FEE)
• Wire Transfer in GBP (WITHIN 1 to 2 business days - NO FEE)
• CASH deposit at 10,000 locations in the USA (Within 1 hour)
• INSTANT EURO BANK TRANSFERS (Coming soon!)
• LOCAL AUSTRALIAN BANK DEPOSITS (Coming soon!)

Once your order is completed, you will receive your funds in the form of a redeemable Bitcoinica code. We DO NOT require notarized and/or apostile of documentation when funding with wires. Note that fees may change occasionally due to market conditions.

Please visit https://www.aurumxchange.com/funding/bitcoinica for easy to follow instructions on how to fund your account.

Sometimes we have to hedge manually to prevent ourselves from being a bucket shop. This happens in rare situations such as the recent hack, as our Bitcoin holdings suddenly dropped too much.

Yes, my ICBC bank account supports Chinese Yuan, USD, AUD, SGD and gold ounce.

The hedge percentage represents amount of trades that were hedged in Mt. Gox.

It has nothing to do with solvency, liquidity or total funds available. Usually when the volume is smaller the hedge percentage tends to be higher because there's more likely to have a net change in positions held by all Bitcoinica customers.

When the volume is huge, a lot of trades can be matched internally, and hence the hedge percentage can be as low as 40%.

FYI,

I voted "Yes".

What makes you think that the Chinese government is concerning about your personal information?

As a Chinese citizen, I'm sure that even though the government is hard to deal with sometimes, it is one of the least troublesome ones in the financial world. I'm able to buy/sell gold and silver and put them in my bank savings account online and I've never heard of anyone close got investigated for money laundering because of weird transactions.

Of course, incorporating in China isn't an option. I'm not interested in doing this either.

Bitcoinica spreads take the market depth into account. We don't charge fees directly. Most of the time, trading on Bitcoinica is just slightly more expensive than Mt. Gox for heavy traders (who pay 0.3% at Mt. Gox), and usually cheaper for infrequent traders.

We have already changed everyone's deposit address. If you get the address from the deposit page then you're fine.

Otherwise, please send the txid and address to support@bitcoinica.com and we will process accordingly. We still control the private keys from the old server and we can retrieve the coins for you.

We are developing a customized Bitcoin client for sever use, with hard-coded security designed specifically for web apps.

We are not discontinuing the service. Trading, deposits and withdrawals will all go back to normal in a few hours (once our new Bitcoin server has caught up with the current block).

We are honoring every single withdrawal request, large or small. No account had any balance deductions resulted from this incident.

The root password has been changed via the customer service interface at Linode. The ruby gem we were using to process Bitcoin withdrawals did not support encrypted wallets. We have already migrated to a secure hosting with only intranet incoming access.

You're right. I made a mistake here. It should be "hashed".

All customer passwords were encrypted with BCrypt. It's almost impossible to brute force even when the database is compromised.

Currently we require manual password reset because we want to evaluate the risk levels of password reset before we take actions on any accounts. E-mail shouldn't be the master key to everything.

Yes, our historical profit is fairly sufficient to cover the loss from this incident, and we believe that it's the best interest for the community to keep running the business. We will take appropriate strategies and implement more security features to prevent this from happening ever again, even with the presence of dishonest partners or employees.

We didn't have the opportunity to scan our whole system for suspicious transactions that were not initiated from our customers because we had to shut down the system immediately after we've discovered the huge loss. We did get a rough estimate and we published a press release to warn our users about the deposit address replacement.

However, now we have concluded that we lost 43,554 BTC from this incident and we will reimburse our customers for the full amount. For transparency, we would like to disclose all the suspicious transaction ids in this incident:

{
        "account" : "",
        "address" : "1F3czt4VGUGdmrXW4qbh8hbQZ1hcHpwFGT",
        "category" : "send",
        "amount" : -1999.00000000,
        "fee" : -0.01750000,
        "confirmations" : 99,
        "txid" : "5a09f4ef0e91bc7bc044365cd27236fe4ac3c02088ac21ab51c93c8a11d33d4b",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "1DMuVKe9PKpx3dbs2b2MnXuVmLfA4drHif",
        "category" : "send",
        "amount" : -20555.00000000,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "7b45c1742ca9f544cccd92d319ef8a5e19b7dcb8742990724c6a9c2f569ae732",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "13CmJpbAueuWiPKw3UYU4vXEcZ4WzP6nxt",
        "category" : "send",
        "amount" : -3000.00000000,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "901dbcef30a541b8b55fae8f7ad9917ef0754bda5b643705f3773e590785c4d3",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "1978kFf3WKYiZsy89WX6qJ8vxWAbRWFGLq",
        "category" : "send",
        "amount" : -0.01002773,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "901dbcef30a541b8b55fae8f7ad9917ef0754bda5b643705f3773e590785c4d3",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "1JL7vc2Ecn8QeeBYdpAP22pVpaSP6Cni3J",
        "category" : "send",
        "amount" : -3000.00000000,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "a57132e2cbc580ac262aa3f7bac1e441d6573f9633118bc48009618585a0967e",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "13CmJpbAueuWiPKw3UYU4vXEcZ4WzP6nxt",
        "category" : "send",
        "amount" : -3000.00000000,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "a82ad85286c68f37a2feda1f5e8a4efa9db1e642b4ef53cb9fd86170169e5e68",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "15WoJ7L4AUfGHWdGj45NY9rFNiwU48woX2",
        "category" : "send",
        "amount" : -0.01002644,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "a82ad85286c68f37a2feda1f5e8a4efa9db1e642b4ef53cb9fd86170169e5e68",
        "time" : 1330584607
    },
    {
        "account" : "",
        "address" : "1NRy8GbX56MymBhDYMyqsNKwW9VupqKVG7",
        "category" : "send",
        "amount" : -2000.00000000,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "ff04763e3e8c93e43799dbbca833e183faad7e2611f20f136f47c2f1049481ae",
        "time" : 1330584607
    },
   {
        "account" : "",
        "address" : "1AaXeH5DuP6FpPxdCn9RGXKWhSG4r9Hq9q",
        "category" : "send",
        "amount" : -10000.00000000,
        "fee" : 0.00000000,
        "confirmations" : 99,
        "txid" : "0268b7285b95444808753969099f7ae43fb4193d442e3e0deebb10e2bb1764d0",
        "time" : 1330584607
    }

Again, we would like to reassure that trading will not be in any way affected and we are already in the process of contacting Linode regarding this incident. The Bitcoinica system has not been compromised and our reserves are more than sufficient for regular trading activities.

Source: https://www.bitcoinica.com/posts/warning-please-do-not-re-use-and-old-bitcoin-deposit-addresses

Dear Bitcoinica Users,

PLEASE DO NOT RE-USE ANY OLD BITOIN DEPOSIT ADDRESSES

Many of you have heard that several bitcoin services were victims of a recent Linode security breach today. Unfortunately, Bitcoinica is also among the services affected.

On 2013-03-01 at 6:30 UTC, our "hot wallet" hosted at Linode and containing over 10,000 BTC was emptied.  The unauthorized access is consistent with that experienced by other bitcoin services, described by Linode as unauthorized access from Linode's "customer support interface".

PLEASE DO NOT RE-USE ANY OLD BITOIN DEPOSIT ADDRESSES

Customers should not use any bitcoin addresses previously used to fund their Bitcoinica accounts.

We must assume that the thief has retained private keys associated with old bitcoin deposit addresses. This would allow them to access any new bitcoins sent to old deposit addresses. As of now, our website will only display new deposit addresses which are not affected by this. However any old bitcoin addresses which you may have recorded for convenience should never be used ever again. This is the most important thing:

PLEASE DO NOT RE-USE ANY OLD BITOIN DEPOSIT ADDRESSES

Other important things:

- Customer funds will not be affected.

Bitcoinica is committed to absorbing any loss. The thief stole from us, not you.

- Customer data is safe.

The compromised server was entirely dedicated to holding our bitcoin "hot wallet" only. Thankfully, this function is the –only- one ever hosted at Linode. No customer data has ever been hosted at Linode. Also, there is no privileged access from the affected server. This means that no passwords, account activity, or any other customer data has been exposed by this incident.

Less important things:

This is a very unfortunate event. To support instant withdrawals for customers, our “hot wallet” balance was necessarily higher than other services. As such the impact to us is larger. However, Bitcoinica is financially sound and our customers will not be affected.

Linode has been a well-respected hosting provider. We have reached out to them to be as cooperative as possible in helping them identify the security breach that led to this incident, but have not yet received a response.

We hope we can soon report their full cooperation in recovering this loss.

Thank you to our customers for your support.

Bitcoinica is now available in Chinese!

Yesterday, we announced the Alipay integration in Bitcoinica, and Bitcoinica suddenly becomes popular in the Chinese Bitcoin community.

Today, we want to make a difference in the eastern world again! We have translated the most important parts of the Bitcoinica website into Simplified Chinese. Simply look for the "English" dropdown in the navbar to switch language.

This tells that we have already moved most of our HTML-coded words to YAML i18n files, which means that adding more languages will be easier than ever.

Bitcoinica 现在说汉语了！

昨天，我们宣布支付宝集成之后，Bitcoinica 突然在中国比特币社区里火了起来。

今天，我们要更大程度地改变东方世界！我们已经把网站的最重要的部分都翻译成了简体中文。只需要点击导航条右上角的“English”即可看到切换语言的下拉菜单。

这也意味着我们已经完整了大部分的网站国际化工作，也同时意味着增加更多的语言支持将会是前所未有的容易。

Enjoy the screenshots:

I have credited ALL of you.

Thank you for the amazing support!