Bitcoin Forum
July 24, 2019, 08:10:10 AM *
News: Latest Bitcoin Core release: 0.18.0 [Torrent] (New!)
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: [2015-07-01] Bitcoin Foundation Blew 5800 BTC in 10 Months  (Read 1042 times)
tyz
Legendary
*
Offline Offline

Activity: 1918
Merit: 1112



View Profile
July 01, 2015, 04:47:32 PM
 #1

The Bitcoin Foundation(TBF) Founding Director Jon Matonis explains the $ 4.6m loss in 2014. Funds had been drained by exorbitant monthly bills, conferences and the falling cost of bitcoin. Today the ex-VISA worker advises Bitcoin entrepreneurs on funding.

https://www.cryptocoinsnews.com/bitcoin-foundation-blew-5800-btc-10-months/
1563955810
Hero Member
*
Offline Offline

Posts: 1563955810

View Profile Personal Message (Offline)

Ignore
1563955810
Reply with quote  #2

1563955810
Report to moderator
1563955810
Hero Member
*
Offline Offline

Posts: 1563955810

View Profile Personal Message (Offline)

Ignore
1563955810
Reply with quote  #2

1563955810
Report to moderator
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1563955810
Hero Member
*
Offline Offline

Posts: 1563955810

View Profile Personal Message (Offline)

Ignore
1563955810
Reply with quote  #2

1563955810
Report to moderator
1563955810
Hero Member
*
Offline Offline

Posts: 1563955810

View Profile Personal Message (Offline)

Ignore
1563955810
Reply with quote  #2

1563955810
Report to moderator
unamis76
Legendary
*
Offline Offline

Activity: 1456
Merit: 1001


View Profile
July 01, 2015, 05:12:21 PM
Last edit: July 01, 2015, 05:44:54 PM by unamis76
 #2

This is just revolting

Quote
Tax documents from 2013 show employee compensation, conference costs and legal fees as the largest expenditures

Absolutely revolting when one can afford absurd employee compensations and then blame bankruptcy on "the declining BTC/USD rate" Roll Eyes It remembers me the corrupt government that governs itself, expenses paid by taxes, "business" trips everywhere in the world in first class, high end cars for their personal (and their families) transportation... And then they blame "bankruptcy" on everyone else, while still living large. And demand more taxes and austerity.

Sorry about the rant, but this is completely absurd and makes me disgusted... If they can't live large, well... Cut the budget down and spend less. But there's nothing left to be done for this Foundation unfortunately
odolvlobo
Legendary
*
Offline Offline

Activity: 2562
Merit: 1357



View Profile
July 01, 2015, 09:39:55 PM
Last edit: July 01, 2015, 10:05:37 PM by odolvlobo
 #3

The title of the article is an exaggeration. According to John Matonis, the operating expenses were around $150,000 per month. The rest of the money was lost because it was held as BTC as the price dropped from $673 to $264.

Buy stuff on Amazon at a discount with bitcoins or convert Amazon points to bitcoins: Purse.io
Join an anti-signature campaign: Click ignore on the members of signature campaigns.
p3yot33at3r
Sr. Member
****
Offline Offline

Activity: 266
Merit: 250



View Profile
July 01, 2015, 10:02:56 PM
 #4

The Bitcoin Foundation is FAIL.

Can we get rid of it now please? Everyone pretty much ignores it anyway.......corrupt as banks.
jbrnt
Hero Member
*****
Offline Offline

Activity: 672
Merit: 500



View Profile
July 01, 2015, 10:15:24 PM
 #5

The title is an exaggeration. According to John Matonis, the operating expenses were around $150,000 per month. The rest of the money was lost because it was held as BTC as the price dropped from $673 to $264.

I agree, the title is misleading. TBF didn't spend the $4.6 million. Most of the money "lost" is the fiat book value of the held bitcoins. This is "present value" book keeping method is required for tax purposes. If bitcoin price were to reach $800, TBF would make massive a "profit".
qwk
Donator
Legendary
*
Offline Offline

Activity: 2198
Merit: 2131


Shitcoin Minimalist


View Profile
July 02, 2015, 02:36:06 PM
 #6

TBF didn't spend the $4.6 million. Most of the money "lost" is the fiat book value of the held bitcoins. This is "present value" book keeping method is required for tax purposes.
Correct. The Foundation never established a revenue stream that matched their expenses. They just believed they could overspend because Bitcoin was going to the moon anyway Roll Eyes

If bitcoin price were to reach $800, TBF would make massive a "profit".
Sorry no, they had to sell their BTC to pay for running costs, so they won't make a profit from an increase in BTC price now.

All free men, wherever they may live, can use Bitcoin, and, therefore, as a free man, I take pride in the words "Ich bin ein Bitcoiner!"
Bit_Happy
Legendary
*
Offline Offline

Activity: 1960
Merit: 1020


A Great Time to Start Something!


View Profile
July 02, 2015, 03:49:49 PM
 #7

The Bitcoin Foundation is FAIL.

Can we get rid of it now please? Everyone pretty much ignores it anyway.......corrupt as banks.

Sadly, the media (and sometimes the government) looks to the Bitcoin Foundation as a "voice" representing Bitcoin. Perhaps, someday we can have a much better way to "communicate" with the world.

qwk
Donator
Legendary
*
Offline Offline

Activity: 2198
Merit: 2131


Shitcoin Minimalist


View Profile
July 02, 2015, 04:16:30 PM
 #8

Sadly, the media (and sometimes the government) looks to the Bitcoin Foundation as a "voice" representing Bitcoin. Perhaps, someday we can have a much better way to "communicate" with the world.
Define "we" before even thinking about a better way.
TBF as spokesperson for Bitcoin is the best we have.
Not because they're doing such a great job, but because they exist.
I personally doubt that anyone could do much better.

All free men, wherever they may live, can use Bitcoin, and, therefore, as a free man, I take pride in the words "Ich bin ein Bitcoiner!"
LiteCoinGuy
Legendary
*
Offline Offline

Activity: 1148
Merit: 1001


In Satoshi I Trust


View Profile WWW
July 02, 2015, 05:16:14 PM
 #9

Sadly, the media (and sometimes the government) looks to the Bitcoin Foundation as a "voice" representing Bitcoin. Perhaps, someday we can have a much better way to "communicate" with the world.
Define "we" before even thinking about a better way.
TBF as spokesperson for Bitcoin is the best we have.
Not because they're doing such a great job, but because they exist.
I personally doubt that anyone could do much better.

https://coincenter.org/

they can do it too.

qwk
Donator
Legendary
*
Offline Offline

Activity: 2198
Merit: 2131


Shitcoin Minimalist


View Profile
July 02, 2015, 07:00:55 PM
 #10

Sadly, the media (and sometimes the government) looks to the Bitcoin Foundation as a "voice" representing Bitcoin. Perhaps, someday we can have a much better way to "communicate" with the world.
Define "we" before even thinking about a better way.
TBF as spokesperson for Bitcoin is the best we have.
Not because they're doing such a great job, but because they exist.
I personally doubt that anyone could do much better.

https://coincenter.org/

they can do it too.
Depending on the definition of "we".
I doubt that they will ever speak for me.
Where's the opportunity for participation?
Oh, you can contribute, and you even get a t-shirt Roll Eyes

All free men, wherever they may live, can use Bitcoin, and, therefore, as a free man, I take pride in the words "Ich bin ein Bitcoiner!"
Bit_Happy
Legendary
*
Offline Offline

Activity: 1960
Merit: 1020


A Great Time to Start Something!


View Profile
July 02, 2015, 07:58:08 PM
 #11

Sadly, the media (and sometimes the government) looks to the Bitcoin Foundation as a "voice" representing Bitcoin. Perhaps, someday we can have a much better way to "communicate" with the world.
Define "we" before even thinking about a better way.
TBF as spokesperson for Bitcoin is the best we have.
Not because they're doing such a great job, but because they exist.
I personally doubt that anyone could do much better.

"We" (still undefined, for now) might not need any type of Bitcoin Foundation. If there is a legit need, then (in theory) "the market" will fund an efficient organization, since any corrupt, inefficient group cannot compete (long-term) with a clearly better one.
Isn't that how a 'free market' is supposed to work?  Tongue

unamis76
Legendary
*
Offline Offline

Activity: 1456
Merit: 1001


View Profile
July 02, 2015, 09:58:24 PM
 #12

Sadly, the media (and sometimes the government) looks to the Bitcoin Foundation as a "voice" representing Bitcoin. Perhaps, someday we can have a much better way to "communicate" with the world.
Define "we" before even thinking about a better way.
TBF as spokesperson for Bitcoin is the best we have.
Not because they're doing such a great job, but because they exist.
I personally doubt that anyone could do much better.

https://coincenter.org/

they can do it too.

Suddenly many people are having the need to be or to replace a the Foundation... After what's happened I'm always going to doubt such kind of organizations, I don't see a bright future for these things. They'll most probably either end up doing nothing or doing wrong. And it's not just because Garzik is there that they're going to make a good job...
lucaspm98
Sr. Member
****
Offline Offline

Activity: 280
Merit: 250


View Profile
July 03, 2015, 03:18:17 AM
 #13

Although these numbers are totally exaggerated given the huge price drop in bitcoin that year, it still goes to show that central governing authorities quickly go towards lavish spending and corruption when given the chance.
p3yot33at3r
Sr. Member
****
Offline Offline

Activity: 266
Merit: 250



View Profile
July 03, 2015, 06:40:34 AM
 #14

It seems many people are confused about what the definition of Foundation actually is, as well as what it's purpose is. A Foundation is called such because it is funded:

"an institution financed by a donation or legacy to aid research, education, the arts, etc".  Profit or loss does not enter into the equation at all.

In other words, they are being funded to live lavish lifestyles, flutter away funding, have meetings behind closed doors & make decisions that affect us all & generally do what they want without any recrimination from anyone whatsoever.

The voice of Bitcoin?  I think not. What a joke  Roll Eyes
bryant.coleman
Legendary
*
Offline Offline

Activity: 2156
Merit: 1023


LiveCoin - is a modern stock exchange


View Profile
July 03, 2015, 06:18:43 PM
 #15

Although these numbers are totally exaggerated given the huge price drop in bitcoin that year, it still goes to show that central governing authorities quickly go towards lavish spending and corruption when given the chance.

What did you expect when ex bankers were rushed to the top positions in the Bitcoin Foundation? Jon Matonis worked many decades with institutions such as the Sumitomo Bank and Visa. Old habits die hard. It is not surprising at all, to see these people throwing away money, just like what they did when they were with the banks.

█████████▄           ▄█
▀██▄         ██
▀██▄    ▄▄ ██
▀███ ███ ██
█████████▄        ▀▀ ██
▀██▄      ▄▄ ██
▄█████████ ███ ██
▄██▀          ▀▀ ██
████
█▀            ▄▄ ██
▄██ ███ ██
▄██▀   ▀▀ ██
▄██▀        ██
███████████▀          ▀█




▄▄█
█████
█████
█████
█████
█████

█████

█████

█████


▄▄█
█████
█████
█████
█████
█████
█████
█████

█████

█████

█████
▄▄█
█████
█████
█████
█████
█████
█████
█████
█████
█████

█████

█████

█████
█▄           ▄█████████
██         ▄██▀
██ ▄▄    ▄██▀
██ ███ ███▀
██ ▀▀        ▄█████████
██ ▄▄      ▄██▀
██ ███ █████████▄
██ ▀▀          ▀██▄
██ ▄▄            ▀█████
██ ███ ██▄
██ ▀▀   ▀██▄
██        ▀██▄
█▀          ▀███████████
p3yot33at3r
Sr. Member
****
Offline Offline

Activity: 266
Merit: 250



View Profile
July 03, 2015, 06:58:39 PM
 #16

Although these numbers are totally exaggerated given the huge price drop in bitcoin that year, it still goes to show that central governing authorities quickly go towards lavish spending and corruption when given the chance.

What did you expect when ex bankers were rushed to the top positions in the Bitcoin Foundation? Jon Matonis worked many decades with institutions such as the Sumitomo Bank and Visa. Old habits die hard. It is not surprising at all, to see these people throwing away money, just like what they did when they were with the banks.

+1  Wink
jorjito25
Hero Member
*****
Offline Offline

Activity: 490
Merit: 500



View Profile
July 04, 2015, 05:25:39 AM
 #17

There simply was a collision by values of the cypher-punks/early adopters/fans and the values help by those brought into the Foundation. BTC is not ready to be treated as your normal growing start-up company.
Pages: [1]
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!