The world's first bitcoin ATM was successfully beta tested in public for the first time at ‘Cool As Ever Tech’ http://www.coolasevertech.com/  Saturday, August 13th, 2011, 12pm - 6pm. San Diego, CA.

The ATM was on-line and fully functional selling Bitcoins at market exchange rates with no markup or fees.

What are bitcoins: www.bitcoin.org
Bitbills (bitcoins you can hold in your hand): www.bitbills.com
 
What is Bitcoin ATM

Video Introduction: http://www.youtube.com/user/DigiVidMedia
 
Bitcoin ATM bridges the gap between virtual currencies and cash, allowing real time cash purchases of bitcoins and facilitating many other transaction types using bitcoin as a medium.

Bitcoin ATM will become the fastest growing and largest bitcoin related startup entertaining licensing agreements and additional funding from high net worth holders of bitcoins such as ‘mining pools’ and early adapters (and old school fiat currencies if we must).

Bitcoin ATM is planning 200 Bitcoin ATMs worldwide by Q3 2012.

Advanced features:
Instant Bitcoin & USD deposits for customers of Tradehill and MtGox.
btc.to bitcoin receiving address shortener.
QR code integration allowing compatibility with bitcoin wallets based on the Android operating system.
Printing of QR codes of both the public and private keys with subsequent charging. (note: these are not a substitute for Bitbills but a tool of convenience for small amounts of bitcoins to be spent soon)
Vanity Bitcoin addresses mined in real time from the block chain (one of the many ideas generated by contracted developers working on Bitcoin ATM and are happy to see them develop their own business around it).
Free app for Android & iPhone with BPT enhanced bitcoin wallet. (BPT - Bitcoin Power Toys)

Historical Note: Bitcoin ATM is the first Bitcoin related company to be seed funded entirely by Bitcoins from a small group of enthusiasts. The first Bitcoin ATM was purchased with bitcoin funds using Tradehill’s innovative invoice processing system.



Disclaimer:  this announcement is not intended to be an offer of securities or and offer to sell a franchise.

Keywords:  atm, cash, currency, money automated teller machine, exchange, franchise, licensing, business, home based, investing, investment, investors, start-up, start up, legal, regulation, bank, banks, money forwarding, DHLS, compliance, Know Your Customer, KYC

Hello Tom,

It would seem that your claims are being filled from book keeping balances and that you may have failed to take into account coins that were debited from an account but not transmitted due to the theft. I attempted to transmit 1000 coins about 10 hours before you shut down. As you can see below I received the confirmation and my balance did show the debit. However the blockexplorer will show you that my coins never arrived at that address (which happens to be my main MtGox business account, called businessaccount1).
I fear that I may not be alone in this situation and that your simple percent distribution based on your books will now be upset. Customers who already received their claim will have received a hire percentage then those still outstanding when you add customers like me back in.


Respectfully,
 
Todd Bethell, CFM, MBA
tbethell08@merage.uci.edu
toddbethell@fastscanning.com
Work: (949) 340-5438
Cell:949-394-5932
________________________________________


-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1

Hello,

This is a payment notification from MyBitcoin.

You have sent Bitcoins!

Transaction Number: 245107
Transaction Date/Time: 2011-07-28 22:30:02
To: 18jsFKuKZ4w8mhdTYy9bZKKHmkZNSZrRUC
From: 19vKB489Lx1rxqS366f63mKDLXp6q3v3Ct
Amount: -1000.00
Payment Note: MtGox businessaccount1

Thank you.

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Version: GnuPG/MBC v1.0

iQEcBAEBAgAGBQJOMeLqAAoJEJ+5g06lAnqF2ZYH/0FYDSmSxQa4l8+Q50e+1qEN
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cTD8gNvEe+P9aNttZqGxa9xnCOVkE4ypF+n4jEmE/e3H5yh6Ix0oCI50luIeQZir
e0/5sF7ZbWDWhNta9+A6yvWYEI7KLZK+zke8EbLmB3YIDZ+EpaegrT74H6s7fHRR
cSopmnyDXX1biS8Mao7GSoTgXuPOTaMRae+4SN4pL1aoRZahWX/SsLXDj2Skjc/4
jtLBq7RLb8x3wo23IiURyzKZJr1Cw75cTULdLcNoUZajewapxIqA9DhFJK8HlSk=
=EFK8
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Respectfully,
 
Todd Bethell, CFM, MBA
tbethell08@merage.uci.edu
toddbethell@fastscanning.com
Work: (949) 340-5438
Cell:949-394-5932

I'm replying to your question even though I just read that MyBitcoin is going into receivership and some of their customers may receive some of their funds back.

1000btc uploaded to MyBitcoin belonged to Bitcoin ATM (a California based start up).
It was to be used as 'float' for ATM transactions for MyBitcoin customers.

1000btc frozen, lost or stolen by MyBitcoin?

By Todd Bethell

On 12 July 2011, 1000btc MtGox to MyBitcoin.
On 28 July 2011, 1000btc MyBitcoin to MtGox.

28 June 2011, payment notification was received. 8hrs later (the site was still up) visual verification was done in account history of the transaction and correct address.
48 hrs later still no coins.

This is where I need a block explorer expert.
21 minutes after MyBitcoin received the btc block explorer shows the coins from that wallet being split and transmitted hundreds of times all the way down to 1 Satoshi.
Question:
1.   Is this normal or a sign of fraud making it impossible to track?
2.   Are all wallets effectively used as ‘pool wallets’ for payouts?
3.   While I am not accusing MyBitcoin of theft, itn’t plosible that

Block 135867 (2011-07-12 07:06:54)   1000   Received: Address   •   1DeAkzL1MBriA37pHS46Nu1xcCzJ5sPupH
1000

Block 135870 (2011-07-12 07:27:05)   1000   Sent: Address   •   17e8zfFzVkKtx4ofdeoYHhdvu1cTKCpv2r
•   1NgjsaazumvjaR3WZuLqqKEed79RneQy2Q
0
-------------------------------------------------------------------------
MyBitcoin Payment Notification
MyBitcoin Robot [nobody@mybitcoin.com]
toddbethell@fastscanning.com
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1

Hello,

This is a payment notification from MyBitcoin.

You have sent Bitcoins!

Transaction Number: 245107
Transaction Date/Time: 2011-07-28 22:30:02
To: 18jsFKuKZ4w8mhdTYy9bZKKHmkZNSZrRUC
From: 19vKB489Lx1rxqS366f63mKDLXp6q3v3Ct
Amount: -1000.00
Payment Note: MtGox businessaccount1

Thank you.

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Version: GnuPG/MBC v1.0

iQEcBAEBAgAGBQJOMeLqAAoJEJ+5g06lAnqF2ZYH/0FYDSmSxQa4l8+Q50e+1qEN
r9D6GXVPo5A4jXzgjtXTs2Rj2WmbLnsm2I8vc+fQFvniUiZT3nSbixVAU9wPm0w6
cTD8gNvEe+P9aNttZqGxa9xnCOVkE4ypF+n4jEmE/e3H5yh6Ix0oCI50luIeQZir
e0/5sF7ZbWDWhNta9+A6yvWYEI7KLZK+zke8EbLmB3YIDZ+EpaegrT74H6s7fHRR
cSopmnyDXX1biS8Mao7GSoTgXuPOTaMRae+4SN4pL1aoRZahWX/SsLXDj2Skjc/4
jtLBq7RLb8x3wo23IiURyzKZJr1Cw75cTULdLcNoUZajewapxIqA9DhFJK8HlSk=
=EFK8
-----END PGP SIGNATURE-----

---

Approximately 8hrs later the coins had not been credited to my MtGox account. MyBitcoin was still up. My account history showed the coins had been sent and the sent to address was verified correct.
Security Note: The instant before clicking the send button (perhaps when my mouse hovered over it) I notice a screen blink or something changed, but it was too late to avoid clicking the button.

Q1. Has my computer been compromised such that the send address was swapped at the last instant?
Q2. If this is so, how could the correct address be recorded in the MyBitcoin data base?
Q3. Is it coincidence that the MyBitcoin service has gone down for 48hrs with nary a peep from its owner? A person who was very proactive and vocal during the MtGox incident.
Q4. I’m hard pressed to think of a technical reason how or why a transaction confirmation bot would send confirmation of btc transmission before such a transmission had actually occurred. Let alone consciously programmed in this way. It would seem that the bot was part of the book keeping data base and not confirming actual transmission from a ‘hot’ wallet.
Q5. It seems that the way MyBitcoins was using the wallets of its members (pooling them as a matter of operational efficiency or draining them as a scam??) this makes it impossible to track coins or analyze if they are insolvent?
Q6. Was my 1000btc withdrawal lower to water level in his 'hot wallet' enough to show Tom was swimming without a suit? In other words, for whatever reason, he was operating insolvent?

I would not normally keep so many coins in an on-line wallet but this was in preparation for a business transaction that was delayed.

I am preparing a blog and forum post or lessons learned and recommendations going forward:

If anyone has further information please post it here and send to my email also, or give me a call.
Skype:  toddbethell
Email:  toddbethell@fastscanning.com
Cell:  1-949-394-5932

-----------------------------------------
Action taken:
Phone: +6499518329  (always busy)
Emailed: enquiries were sent to abuse@mybitcoin.com
It is well know that Tom… only replys to ‘in-mail’ on his site.

Tom Williams
Main Street
PO Box 556
Charlestown, Nevis, KN

1000btc frozen, lost or stolen by MyBitcoin?

By Todd Bethell

On 12 July 2011, 1000btc MtGox to MyBitcoin.
On 28 July 2011, 1000btc MyBitcoin to MtGox.

28 June 2011, payment notification was received. 8hrs later (the site was still up) visual verification was done in account history of the transaction and correct address.
48 hrs later still no coins.

This is where I need a block explorer expert.
21 minutes after MyBitcoin received the btc block explorer shows the coins from that wallet being split and transmitted hundreds of times all the way down to 1 Satoshi.
Question:
1.   Is this normal or a sign of fraud making it impossible to track?
2.   Are all wallets effectively used as ‘pool wallets’ for payouts?
3.   While I am not accusing MyBitcoin of theft, itn’t plosible that

Block 135867 (2011-07-12 07:06:54)   1000   Received: Address   •   1DeAkzL1MBriA37pHS46Nu1xcCzJ5sPupH
1000

Block 135870 (2011-07-12 07:27:05)   1000   Sent: Address   •   17e8zfFzVkKtx4ofdeoYHhdvu1cTKCpv2r
•   1NgjsaazumvjaR3WZuLqqKEed79RneQy2Q
0
-------------------------------------------------------------------------
MyBitcoin Payment Notification
MyBitcoin Robot [nobody@mybitcoin.com]
toddbethell@fastscanning.com
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1

Hello,

This is a payment notification from MyBitcoin.

You have sent Bitcoins!

Transaction Number: 245107
Transaction Date/Time: 2011-07-28 22:30:02
To: 18jsFKuKZ4w8mhdTYy9bZKKHmkZNSZrRUC
From: 19vKB489Lx1rxqS366f63mKDLXp6q3v3Ct
Amount: -1000.00
Payment Note: MtGox businessaccount1

Thank you.

-----BEGIN PGP SIGNATURE-----
Version: GnuPG/MBC v1.0

iQEcBAEBAgAGBQJOMeLqAAoJEJ+5g06lAnqF2ZYH/0FYDSmSxQa4l8+Q50e+1qEN
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=EFK8
-----END PGP SIGNATURE-----

---

Approximately 8hrs later the coins had not been credited to my MtGox account. MyBitcoin was still up. My account history showed the coins had been sent and the sent to address was verified correct.
Security Note: The instant before clicking the send button (perhaps when my mouse hovered over it) I notice a screen blink or something changed, but it was too late to avoid clicking the button.

Q1. Has my computer been compromised such that the send address was swapped at the last instant?
Q2. If this is so, how could the correct address be recorded in the MyBitcoin data base?
Q3. Is it coincidence that the MyBitcoin service has gone down for 48hrs with nary a peep from its owner? A person who was very proactive and vocal during the MtGox incident.
Q4. I’m hard pressed to think of a technical reason how or why a transaction confirmation bot would send confirmation of btc transmission before such a transmission had actually occurred. Let alone consciously programmed in this way. It would seem that the bot was part of the book keeping data base and not confirming actual transmission from a ‘hot’ wallet.
Q5. It seems that the way MyBitcoins was using the wallets of its members (pooling them as a matter of operational efficiency or draining them as a scam??) this makes it impossible to track coins or analyze if they are insolvent?
Q6. Was my 1000btc withdrawal lower to water level in his 'hot wallet' enough to show Tom was swimming without a suit? In other words, for whatever reason, he was operating insolvent?

I would not normally keep so many coins in an on-line wallet but this was in preparation for a business transaction that was delayed.

I am preparing a blog and forum post or lessons learned and recommendations going forward:

If anyone has further information please post it here and send to my email also, or give me a call.
Skype:  toddbethell
Email:  toddbethell@fastscanning.com
Cell:  1-949-394-5932

-----------------------------------------
Action taken:
Phone: +6499518329  (always busy)
Emailed: enquiries were sent to abuse@mybitcoin.com
It is well know that Tom… only replys to ‘in-mail’ on his site.

Tom Williams
Main Street
PO Box 556
Charlestown, Nevis, KN

1000btc frozen, lost or stolen by MyBitcoin?

By Todd Bethell

On 12 July 2011, 1000btc MtGox to MyBitcoin.
On 28 July 2011, 1000btc MyBitcoin to MtGox.

28 June 2011, payment notification was received. 8hrs later (the site was still up) visual verification was done in account history of the transaction and correct address.
48 hrs later still no coins.

This is where I need a block explorer expert.
21 minutes after MyBitcoin received the btc block explorer shows the coins from that wallet being split and transmitted hundreds of times all the way down to 1 Satoshi.
Question:
1.   Is this normal or a sign of fraud making it impossible to track?
2.   Are all wallets effectively used as ‘pool wallets’ for payouts?
3.   While I am not accusing MyBitcoin of theft, itn’t plosible that

Block 135867 (2011-07-12 07:06:54)   1000   Received: Address   •   1DeAkzL1MBriA37pHS46Nu1xcCzJ5sPupH
1000

Block 135870 (2011-07-12 07:27:05)   1000   Sent: Address   •   17e8zfFzVkKtx4ofdeoYHhdvu1cTKCpv2r
•   1NgjsaazumvjaR3WZuLqqKEed79RneQy2Q
0
-------------------------------------------------------------------------
MyBitcoin Payment Notification
MyBitcoin Robot [nobody@mybitcoin.com]
toddbethell@fastscanning.com
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1

Hello,

This is a payment notification from MyBitcoin.

You have sent Bitcoins!

Transaction Number: 245107
Transaction Date/Time: 2011-07-28 22:30:02
To: 18jsFKuKZ4w8mhdTYy9bZKKHmkZNSZrRUC
From: 19vKB489Lx1rxqS366f63mKDLXp6q3v3Ct
Amount: -1000.00
Payment Note: MtGox businessaccount1

Thank you.

-----BEGIN PGP SIGNATURE-----
Version: GnuPG/MBC v1.0

iQEcBAEBAgAGBQJOMeLqAAoJEJ+5g06lAnqF2ZYH/0FYDSmSxQa4l8+Q50e+1qEN
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=EFK8
-----END PGP SIGNATURE-----

---

Approximately 8hrs later the coins had not been credited to my MtGox account. MyBitcoin was still up. My account history showed the coins had been sent and the sent to address was verified correct.
Security Note: The instant before clicking the send button (perhaps when my mouse hovered over it) I notice a screen blink or something changed, but it was too late to avoid clicking the button.

Q1. Has my computer been compromised such that the send address was swapped at the last instant?
Q2. If this is so, how could the correct address be recorded in the MyBitcoin data base?
Q3. Is it coincidence that the MyBitcoin service has gone down for 48hrs with nary a peep from its owner? A person who was very proactive and vocal during the MtGox incident.
Q4. I’m hard pressed to think of a technical reason how or why a transaction confirmation bot would send confirmation of btc transmission before such a transmission had actually occurred. Let alone consciously programmed in this way. It would seem that the bot was part of the book keeping data base and not confirming actual transmission from a ‘hot’ wallet.
Q5. It seems that the way MyBitcoins was using the wallets of its members (pooling them as a matter of operational efficiency or draining them as a scam??) this makes it impossible to track coins or analyze if they are insolvent?
Q6. Was my 1000btc withdrawal lower to water level in his 'hot wallet' enough to show Tom was swimming without a suit? In other words, for whatever reason, he was operating insolvent?

I would not normally keep so many coins in an on-line wallet but this was in preparation for a business transaction that was delayed.

I am preparing a blog and forum post or lessons learned and recommendations going forward:

If anyone has further information please post it here and send to my email also, or give me a call.
Skype:  toddbethell
Email:  toddbethell@fastscanning.com
Cell:  1-949-394-5932

-----------------------------------------
Action taken:
Phone: +6499518329  (always busy)
Emailed: enquiries were sent to abuse@mybitcoin.com
It is well know that Tom… only replys to ‘in-mail’ on his site.

Tom Williams
Main Street
PO Box 556
Charlestown, Nevis, KN

1000btc frozen, lost or stolen by MyBitcoin?

By Todd Bethell

On 12 July 2011, 1000btc MtGox to MyBitcoin.
On 28 July 2011, 1000btc MyBitcoin to MtGox.

28 June 2011, payment notification was received. 8hrs later (the site was still up) visual verification was done in account history of the transaction and correct address.
48 hrs later still no coins.

This is where I need a block explorer expert.
21 minutes after MyBitcoin received the btc block explorer shows the coins from that wallet being split and transmitted hundreds of times all the way down to 1 Satoshi.
Question:
1.   Is this normal or a sign of fraud making it impossible to track?
2.   Are all wallets effectively used as ‘pool wallets’ for payouts?
3.   While I am not accusing MyBitcoin of theft, itn’t plosible that

Block 135867 (2011-07-12 07:06:54)   1000   Received: Address   •   1DeAkzL1MBriA37pHS46Nu1xcCzJ5sPupH
1000

Block 135870 (2011-07-12 07:27:05)   1000   Sent: Address   •   17e8zfFzVkKtx4ofdeoYHhdvu1cTKCpv2r
•   1NgjsaazumvjaR3WZuLqqKEed79RneQy2Q
0
-------------------------------------------------------------------------
MyBitcoin Payment Notification
MyBitcoin Robot [nobody@mybitcoin.com]
toddbethell@fastscanning.com
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1

Hello,

This is a payment notification from MyBitcoin.

You have sent Bitcoins!

Transaction Number: 245107
Transaction Date/Time: 2011-07-28 22:30:02
To: 18jsFKuKZ4w8mhdTYy9bZKKHmkZNSZrRUC
From: 19vKB489Lx1rxqS366f63mKDLXp6q3v3Ct
Amount: -1000.00
Payment Note: MtGox businessaccount1

Thank you.

-----BEGIN PGP SIGNATURE-----
Version: GnuPG/MBC v1.0

iQEcBAEBAgAGBQJOMeLqAAoJEJ+5g06lAnqF2ZYH/0FYDSmSxQa4l8+Q50e+1qEN
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cSopmnyDXX1biS8Mao7GSoTgXuPOTaMRae+4SN4pL1aoRZahWX/SsLXDj2Skjc/4
jtLBq7RLb8x3wo23IiURyzKZJr1Cw75cTULdLcNoUZajewapxIqA9DhFJK8HlSk=
=EFK8
-----END PGP SIGNATURE-----

---

Approximately 8hrs later the coins had not been credited to my MtGox account. MyBitcoin was still up. My account history showed the coins had been sent and the sent to address was verified correct.
Security Note: The instant before clicking the send button (perhaps when my mouse hovered over it) I notice a screen blink or something changed, but it was too late to avoid clicking the button.

Q1. Has my computer been compromised such that the send address was swapped at the last instant?
Q2. If this is so, how could the correct address be recorded in the MyBitcoin data base?
Q3. Is it coincidence that the MyBitcoin service has gone down for 48hrs with nary a peep from its owner? A person who was very proactive and vocal during the MtGox incident.
Q4. I’m hard pressed to think of a technical reason how or why a transaction confirmation bot would send confirmation of btc transmission before such a transmission had actually occurred. Let alone consciously programmed in this way. It would seem that the bot was part of the book keeping data base and not confirming actual transmission from a ‘hot’ wallet.
Q5. It seems that the way MyBitcoins was using the wallets of its members (pooling them as a matter of operational efficiency or draining them as a scam??) this makes it impossible to track coins or analyze if they are insolvent?
Q6. Was my 1000btc withdrawal lower to water level in his 'hot wallet' enough to show Tom was swimming without a suit? In other words, for whatever reason, he was operating insolvent?

I would not normally keep so many coins in an on-line wallet but this was in preparation for a business transaction that was delayed.

I am preparing a blog and forum post or lessons learned and recommendations going forward:

If anyone has further information please post it here and send to my email also, or give me a call.
Skype:  toddbethell
Email:  toddbethell@fastscanning.com
Cell:  1-949-394-5932

-----------------------------------------
Action taken:
Phone: +6499518329  (always busy)
Emailed: enquiries were sent to abuse@mybitcoin.com
It is well know that Tom… only replys to ‘in-mail’ on his site.

Tom Williams
Main Street
PO Box 556
Charlestown, Nevis, KN

1000btc frozen, lost or stolen by MyBitcoin?

By Todd Bethell

On 12 July 2011, 1000btc MtGox to MyBitcoin.
On 28 July 2011, 1000btc MyBitcoin to MtGox.

28 June 2011, payment notification was received. 8hrs later (the site was still up) visual verification was done in account history of the transaction and correct address.
48 hrs later still no coins.

This is where I need a block explorer expert.
21 minutes after MyBitcoin received the btc block explorer shows the coins from that wallet being split and transmitted hundreds of times all the way down to 1 Satoshi.
Question:
1.   Is this normal or a sign of fraud making it impossible to track?
2.   Are all wallets effectively used as ‘pool wallets’ for payouts?
3.   While I am not accusing MyBitcoin of theft, itn’t plosible that
97fa1e8f85...
Block 135867 (2011-07-12 07:06:54)   1000   Received: Address   •   1DeAkzL1MBriA37pHS46Nu1xcCzJ5sPupH
1000
80641db425...
Block 135870 (2011-07-12 07:27:05)   1000   Sent: Address   •   17e8zfFzVkKtx4ofdeoYHhdvu1cTKCpv2r
•   1NgjsaazumvjaR3WZuLqqKEed79RneQy2Q
0
-------------------------------------------------------------------------
MyBitcoin Payment Notification
MyBitcoin Robot [nobody@mybitcoin.com]
toddbethell@fastscanning.com
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1

Hello,

This is a payment notification from MyBitcoin.

You have sent Bitcoins!

Transaction Number: 245107
Transaction Date/Time: 2011-07-28 22:30:02
To: 18jsFKuKZ4w8mhdTYy9bZKKHmkZNSZrRUC
From: 19vKB489Lx1rxqS366f63mKDLXp6q3v3Ct
Amount: -1000.00
Payment Note: MtGox businessaccount1

Thank you.

-----BEGIN PGP SIGNATURE-----
Version: GnuPG/MBC v1.0

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e0/5sF7ZbWDWhNta9+A6yvWYEI7KLZK+zke8EbLmB3YIDZ+EpaegrT74H6s7fHRR
cSopmnyDXX1biS8Mao7GSoTgXuPOTaMRae+4SN4pL1aoRZahWX/SsLXDj2Skjc/4
jtLBq7RLb8x3wo23IiURyzKZJr1Cw75cTULdLcNoUZajewapxIqA9DhFJK8HlSk=
=EFK8
-----END PGP SIGNATURE-----
Approximately 8hrs later the coins had not been credited to my MtGox account. MyBitcoin was still up. My account history showed the coins had been sent and the sent to address was verified correct.
Security Note: The instant before clicking the send button (perhaps when my mouse hovered over it) I notice a screen blink or something changed, but it was too late to avoid clicking the button.

Q1. Has my computer been compromised such that the send address was swapped at the last instant?
Q2. If this is so, how could the correct address be recorded in the MyBitcoin data base?
Q3. Is it coincidence that the MyBitcoin service has gone down for 48hrs with nary a peep from its owner? A person who was very proactive and vocal during the MtGox incident.
Q4. I’m hard pressed to think of a technical reason how or why a transaction confirmation bot would send confirmation of btc transmission before such a transmission had actually occurred. Let alone consciously programmed in this way. It would seem that the bot was part of the book keeping data base and not confirming actual transmission from a ‘hot’ wallet.
Q5. It seems that the way MyBitcoins was using the wallets of its members (pooling them as a matter of operational efficiency or draining them as a scam??) this makes it impossible to track coins or analyze if they are insolvent?
Q6. Was my 1000btc withdrawal lower to water level in his 'hot wallet' enough to show Tom was swimming without a suit? In other words, for whatever reason, he was operating insolvent?

I would not normally keep so many coins in an on-line wallet but this was in preparation for a business transaction that was delayed.

I am preparing a blog and forum post or lessons learned and recommendations going forward:

If anyone has further information please post it here and send to my email also, or give me a call.
Skype:  toddbethell
Email:  toddbethell@fastscanning.com
Cell:  1-949-394-5932

-----------------------------------------
Action taken:
Phone: +6499518329  (always busy)
Emailed: enquiries were sent to abuse@mybitcoin.com
It is well know that Tom… only replys to ‘in-mail’ on his site.

Tom Williams
Main Street
PO Box 556
Charlestown, Nevis, KN

Vladimir
Thanks for the vote, but I am not for hire. Read the letter carefully and you will see what is taking all my time right now.
Bruce planted a seed, I am watering it.
I go to (and have to write the check for) a fair number of trade shows. So as a vendor and attendee I know what I like. 
I volunteer to be on a planning committee or a door keeper, whatever moves my mission forward more.
Todd

Genjix, thanks for your feedback.

This is hardly defamation.
Bruce was emailed twice. The dates are in the above letter “Emailed 6-29 and again on 7-22”. I Even tried to get his attention in during one of his Bitcoin Show chats.
My business partner and I were excited to go at first and we told Bruce so. We were going to get one of those booths, roll out our new products, sponsorships, all the usual trade show trappings… Well you tell me if anything resembling the claims at http://bitcoinconference.com
is actually going to happen? If nothing else then I am simply asking Bruce to take down the above links and threads, then remove this thread while they are at it. But go ahead and have the global bitcoin Meetup / hack-a-thon, hell ya I will come to that.
Bruce is a big boy. He was the first member of my San Diego / Orange County Bitcoin Meetup.
With bitcoin being the rocket sled that it is we’re all very busy. So I’m encouraging Bruce to ‘crowdsource’ just one of his great ideas.
Trust me, before I clicked on that post button I thought about what the community might do to my modest reputation and it was not a pleasant thought.

Todd

The Bitcoin World Conference was fantastic. Full of energy and ideas expressed at bitcoin speed.
As the sole founder and owner of Bitcoin ATM Inc (a California registered corporation) I felt fortunate to have been able to get a table to display my company where many persons expressed their support for the need for this product. There was no shortage of persons asking to be beta testers of the first 10 machines in their city or to join the bitcoin investment pool from which this company is funded. Thank you Bruce Wagner for putting on this show and your example of how business and relationships in the new bitcoin economy should be done. I accept the challenge of matching your pace and will attend all the upcoming shows you have scheduled around the world.

Respectfully,
 
Todd Bethell, CFM, MBA
toddbethell@BitcoinATM.com
949-394-5932

“they are guaranteed against loss for up to 5,000 Bitcoins per account.” 

Guaranteed by whom, Lloyds of London?

If they had such a policy or bond from a credible insurance company replacing btc with btc, then it would no doubt be posted. Also posted would be the bragging rights afforded by the insurance companies requirement of credible third party audits of IT systems and book keeping, If the owner is independently wealthy and self insured then sufficient assets must be escrowed or put in a trust. When these conditions exist then I will put my btc in that bank.  But not for free. 

Let me be the first to say, congratulations and very good job. It is exactly the improvement that ‘Bitcoin ATM’ needed. You read our minds. We look forward to being one of your best customers.
Give me a call about this, if I don't call you first.
Todd Bethell
www.BitcoinATM.com
949-394-5932 (Pacific Time)

It is my professional opinion that bitcoin prices are being systematically walked down by a miner or an early adapter. I am not so concerned by the reckless sells of large chunks of coins as I am about that being followed by the placement of large amount of coins to hold the price down and discourage new money. I am having a difficult time imagining what they hope to gain by this effort. This person is clearly not thinking economically. If bitcoin prices approach $10, there will be a panic sale taking the prices to $2-$3. From here it will take a year or more for bitcoin to recover, if at all. The individual that is selling large amounts of coins in single chunks then placing large amounts of coins in very obvious ceiling positions is causing new investors of high net worth to take pause. I personally know a half dozen high net worth individuals who are on the cusp of large investments in bitcoin related businesses as well as bitcoins. These persons will not proceed if bitcoin is manipulated down much further. They are not investing because bitcoin advances liberty and privacy, they are investing for profit. To the individual that is doing this, and I know you are one individual, I am not asking you to hold your coins; go ahead, sell all you want, but what do you gain by preventing new money from coming into the market with these ceilings?

I am greatful that Mark Karpeles erased the trade errors from his charts so quickly and that Nils Schneider at Bitcoin Charts (also a bitcoin developer) did the same.

About half and hour ago I sent a message to both Mt.Gox and Bitcoin Charts asking for these to anomalies to be erased.  I was told that Mark is up and working on it. No explanations yet but at lease he has erased it. now I'm hoping it will be erased from Bitcoin Charts before the weekend traders see it on Saturday morning.  If you know what I mean.

That is very funny and true. Now I know I'm not the only one who got trampled by the bull's?
I'm more cautious now but the market started moving in locksteps. Can't play off that.

The standard advice for any investment or trading instrument applies also to Bitcoin. Diversify your investments. Don't invest more than you can afford to loose. etc.
Even though Mt.Gox is probably one of the safest places to keep your BTC from accidental loss, you may want to keep only the BTC you are trading (not more than 10,000 btc). It's silly to keep a lot of cash on Mt.Gox (greater than $10,000 average balance) because Bitcoin will be appreciating significantly. for a long time to come. If your not speculating, don't plan to, don't want to be tempted to, then there is no need to keep any btc at MtGox. Unlike cash, BTC can be moved in a matter of minutes. I try to keep BTC spread around on 2-3 on-line wallets or exchanges. The rest I download to my (several) wallets and back up onto flash drives that are hidden. I travel sometimes to some dangerous places so Bitcoins are the perfect emergency currency. (These numbers are only relevant for only through summer 2011)
Mt.Gox has an incredible amount of potential and probably already is negociating with venture capitalists who will guide it to a huge exit (IPO, Acquisition, PE, reverse IPO...).

Yes, I am now against the dark pools. When I had a chance to vote I voted for them. But now that I have been 'run over' 3 or 4 times, to the tune of 10,000+ btc I have changed my mind. Magicaltux said I can't change my vote a month after the fact. What kind of democracy is this anyways?   

Yes, now that the manipulation has been exposed.