Gandlaf: yes required to pay but not yet paid.

This happened to me before. I think it has issues running two clients behind a router. Just send from the one client with the other off and wait for confirmation and then close the sender and open the receiver.

Gandlaf: I didn't say I was bored with mtgox. I said I didn't have enough time to do it correctly. Kind of the opposite of bored.
I've never faced legal action because of anything having to do with mtgox. Baron was clearly lying since we have never heard from his lawyers.
I haven't gotten any money from mtgox since the sale so there is no danger of not being able to cover this loss.

I think it is just a bug in the reporting not an actual trade.

He was fixing a bug.

zby:
> 2. I don't think there are dark pool orders now - at least I cannot do any dark order now.  It would be nice if MtGox clarified this - but maybe that it too much to expect from them.

There are no dark pools now.

mewantsbitcoins:
Your password was probably brute forced from the user dump like mine was. Mine wasn't super simple either.
> If someone gained admin level user account why would they go to the lengths of SQLi to get the database?
My account still had admin access. They were able to get my account password because of the SQLi

I'm sure Mark is very busy with mtgox so has been neglecting Kalyhost.

Mistakes were obviously made but I don't think Mark is being greedy or incompetent here. He needs to hire more people and he knows this. But which if you have ever tried to do you know takes time which he doesn't have much of these days.

relative: $50 million is only $100 from 500k users. 500k users isn't very much for something popular on the internet. And I suspect the average user wants to hold more than $100 worth of btc.

This is fixed

Mt Gox is registered with them already I'm pretty sure.

> In previous hackings (all minor), Mt. Gox has refused to cover the losses of its users.

This isn't true. He has covered everyone that had a loss due to an exploit in the site.

LeFBI: No just email support once the site comes back online. They will walk you through how to recover your password.

> how is the situation where people withdrew funds in between the massive selloff and the trading freeze going to addressed?
Very few coins were withdrawn between selloff and when we took the site down. We will deal with it on a case by case basis.

> How will resetting of passwords be arranged?

All passwords will be disabled and you will have to reset your password with the email on file. If no email is on file then it will be handled manually.

> How was the list with accounts stolen? Was this through a SQL injection?

We are still investigating.

MyFarm:
Yes the site won't be back online until we are certain there are no other exploits.

Hello everyone, MagicalTux is busy getting everything back in order on mtgox so he asked me to post here and answer any questions people have.

First, only a small amount of BTC was stolen. MtGox will refund the stolen BTC to the compromised user.

Everyone's bitcoins are safe on the site. We still are holding all the coins safely in reserve. The vast majority of the coins are stored offline so they are impossible to compromise.

He understands the rollback won't be popular with people who were able to pick up coins for .10 or whatever but none of those trades were legitimate so mtgox has a legal obligation to reverse the trades.

I'm sure when you think about it you don't actually want to buy stolen coins and take advantage of the situation.

Things have been very hectic with mtgox since MagicalTux took over. He has simultaneously been trying to fend off persistent ddos attacks, hire more staff, deal with the huge increase in users, improve the code to support the much larger trade volume, ensure regulatory compliance and deal with various security issues. Obviously things haven't gone as smoothly as we would like but we can see the light at the end of the tunnel with more people being hired and the backend changes done. MtGox will hopefully be able to regain your trust in the coming weeks.

The site should be up again shortly. I'm asking him to clear all the standing orders.

Please post any questions you have here and I'll do my best to answer.

hazek: You are actually totally wrong about all your points. This volatility has nothing to do with clipping the orders way outside of the normal price range or darkpools.

1) The market was this volatile or even more before darkpools and before I clipped the order book.

2) You can't see the complete orderbook for any currency pair. There are dark pools for every currency pair. There is so much more hidden info for every other currency pair on earth. Yet all have less volatility.

3) The merchant problem is easily solved by not holding BTC like I explain above.

4) Multiple exchanges will only increase volatility since each market will be thinner. The only thing that will decrease volatility is liquidity. It may seem like there is a lot traded a day but it is really nothing compared to any other currency pair.

5) The recent crash had been building for days since the peak. It was predicted by many people. It was greatly exacerbated by one person dumping a ton of coins. If they had used a dark pool instead there wouldn't have been such a huge drop. So actually use of the dark pool would have decreased volatility.

6) Look at this chart: http://mtgoxlive.com/orders <- see all those straight lines in price. Those are dark pool orders being hit. They are reducing volatility as you can plainly see. If they weren't there there would be spikes instead of straight lines.


I should have used a different word for it other than "dark pool". I guess "dark" scares people and they don't understand it. So when something happens... "The market crashed. It must have been that evil dark pool that confuses me!"

Bitcoin is going to be highly volatile for a long time no mater what exchage is used. The way for merchants to accept bitcoin is to give the customer their price using the current exchange rate and then instantly convert when receiving the BTC. This way the merchant has no exposure to BTC rate changes.
Mtgox is working on something to make this process easy.

The clipping of the depth chart was a hack I threw in there to make the graph legible. I'm sure magicaltux will show the whole thing when the new backend is rolled out.

DonnyCMU: you can wire money to mtgox. You don't have to use dwolla

There are already a bunch of other threads about this.
To me the best solution by far is to just change what we mean when we say bitcoin.
so 1 BTC now = 1,000,000.00 BTC or whatever in the new client.

UBC is the second best option but it seems bad to lose the bitcoin name.

A good side effect is now people won't ask "But there are only 21 million bitcoins. how can that work?"

unk: there are a lot of people that have withdrawn this much from mtgox. Ask the big miners if you want someone other than me to confirm that.

I'd say the reason for the price rise is pretty simple; a lot more people into bitcoin and a lot easier ways to get money into mtgox. So I think it is only a bubble if the userbase is a bubble.