[Bitfinex Hacked] So , learned the lesson ?

[TastyChillySauce00]

gladly never save any money on exchanger because it's like gambling,you can lose anytime even it's rarely happening

trade only the necessary, can you use api to send fund automatically, after you take profit?

well this is not going to work,every withdrawal need confirmation and every confirmation need time,and trading don't tolerate you about the time

[Lauda]

Do you have any suggestion on how to margin trade without keeping the coins on the exchange? Please don't answer "don't margin trade"

Unfortunately, no. I wouldn't know a good way to do this if you're a trader. Users can and should stay away from both web wallets and exchanges (and other online services), as in they shouldn't keep their coins there. As far as 'normal' trading is concerned, the only good(?) alternative seems to be (I haven't tested it myself): Bitsquare.
I guess (and hope) that this event will further evolve the systems that are being used by exchanges.

[dloghwak]

People are too addicted to margin and liquidity to listen. Bitfinex is a special case though considering how many times they've ballsed up and as far as I know they've never compensated people who were margin called purely because of Bitfinex's fuckup.

Bitcoin does need active traders. Without them not a great deal happens. But there has to be a way they can trade safely.

Ye Bitcoin does need active traders, and that's what all these 'I told you so! You deserve to lose your Coins!' sayers don't understand.
Bitcoin IS speculation, Bitcoin IS trading.

If you take away the speculation from Bitcoin, you have two guys purchasing alpaca socks left.
But then we could also stop the blocksize debate, as there would simply no transactions at all, that's a good thing I guess.


- Never used Bitfinex - lost no funds.

Speculation on exchanges has almost nothing to do with transactions.

The VERY small amount of transactions are simply when you give your BTC to the exchange (yes you are giving it to them) or get some of it back (or in this case none)

I would guess that arbitrage between exchanges and transfering funds to altcoin exchanges and so on (e.g. poloniex) does create significant trafic.
As I don't have numbers for this asumption I might be wrong, but I doubt that it is only a VERY small amount of transactions.

[Taki]

I predict that must be bitcoin lose trust, not totally, but for some people for sure. But the problem was not in bitcoin, the problem was in the site's security and it only shows us that to hold our bitcoins online is not so saved. Does anyone have USB wallet? Not so long time ago my friend received it by post from some campaign he took part in. Maybe that way is more saved, it has some personal security protection that you create yourself. If anyone have it say your opinion, please.

[sotisoti]

Lesson learned, don't use exchange, don't trade bitcoins, put all your money in the bank.

[GreenBits]

Lesson learned, don't use exchange, don't trade bitcoins, put all your money in the bank.

Exchanges are fine. Just understand the inherent risk of having your coins in a wallet to which you don't have some key access.

If you don't have the key, you don't have the coins.

[mk3000]

is there an actual way to keep bitcoins safe? I mean, that's the price you pay for all the benefits bitcoin brings and not having a centralized from of control.
People there took that risk and now they are paying for it, plain and simple. if you want your money to be "safe" you should use a bank instead.

[Nahl]

yes i have been learn it since cryptsy got hacked and my friend lost his funds on those exchange i have strong reason to not trust them 100% and currently i personally more prefer to save all of my bitcoin to my own wallet because i could get full access and control all of my funds but in exchange i could not able to do that

[OmegaStarScream]

is there an actual way to keep bitcoins safe? I mean, that's the price you pay for all the benefits bitcoin brings and not having a centralized from of control.
People there took that risk and now they are paying for it, plain and simple. if you want your money to be "safe" you should use a bank instead.

I assume banks don't get robbed or hacked ?
It's possible to secure your bitcoins , even more secure then putting them into a bank If you know what you are doing of course. Paper wallets could be an option .however, don't run a desktop wallet and download some "Bitcoin-generator.exe" then expect it to be safe.

[philipma1957]

yes i have been learn it since cryptsy got hacked and my friend lost his funds on those exchange i have strong reason to not trust them 100% and currently i personally more prefer to save all of my bitcoin to my own wallet because i could get full access and control all of my funds but in exchange i could not able to do that

if everyone does this BTC will simply die.


Most of the reason BTC works is exchanges like this stand to turn some profit on trades and speculators.

This is very simple  btc  transactions  run 300,000 per day on average on the actual blockchain.


What happens here on this is exchange is  I give a btc.  It is 1 transaction  my address to the address on the exchange.  That shows on the block chain.


On the exchange servers  that btc is chopped diced and converted  to other coins cash what ever  with next to zero   transactions on any blockchain of any coin.

this is how btc still works as a commodity  that is tradable.  If every transaction my 1 btc did was on a chain  it moves to slow to trade.


Anyone that says don't leave money on an exchange is correct if you simply want to convert the coin to another coin or to cash.

But if you have any desire to buy and sell and trade you must leave the coin in the hands of the exchange.

Frankly the owners of this company should be put to death by Chinese government since Hong Kong Belongs to China last that I heard and China still has the death

penalty.

I only say this because they are guilty of murdering crypto coins due to insanely stupid security. If people think the ETH fork into ETH/ETC was bad this is worse. Since killing off  a huge exchange makes the coins closer to worthless ness.   Without a safe way to trade and without a larger on blockchain transaction limit BTC is going to die.
This is where we are today.  Exchanges crash and burn time and time again.  Plus the blockchain transaction cap stays the same.

To those that say traders should not trade crypto coins  I will forgive you for lack of understanding  why the coins exist in the first place.
Hint  sitting in a few addresses doing nothing is not the  correct answer.

[kokojie]

Prior to the recent breach, Bitfinex was claiming that they were using secure cold storage and multisig.

They claimed that they had used cold storage? Source?

I've found that claim as well on their website, which can be viewed though Google Cache.
Source: https://webcache.googleusercontent.com/search?q=cache:UvrqjyGeBZYJ:https://www.bitfinex.com/posts/30

But I've also read a couple of articles that claim they were not using any cold storage.

They were legally prohibited from using cold storage by the CTFC of US government. That's why they went to the next best thing BitGo. Which turns out to be a disaster for them.

[kokojie]

Can we stop with these "don't keep your coin at exchange" talks? without exchange traders, there would be no liquidity in Bitcoin. There's no way for traders to not keep coin at exchanges.

There are ways to secure an exchange, with cold storage, and so far 0 cold storage has been hacked, so it works. Bitfinex didn't use cold storage, and got hacked, end of story. In the future, refuse exchanges that doesn't PROVE it has 95%+ customer funds in cold storage.

Unless you're trader, there's no reason to keep your bitcoin at exchange, but many people don't care about it at all.
It might be rude, but this must be great lesson for those who still dare to keep their bitcoin at exchange.

[chickenmie]

people who too lazy to move their funds to their own wallet should be considered as lazy ass

[BestWebCreator]

The only real successfull option would be running a decentrialized exchange.
I heard and see upcoming projects like these and hope they will be a big succes, so "hacks" will not happen anymore.

[lolxxxx]

I never keep my coin on any exchange nor in my bitcoin address from last couple of months i have heard too many bad news about bitcoin so whenever i get payment i immediately cashout it to my local currency. I don't trust any exchange.

Sorry for your loss everyone.

[Cereberus]

It is not a hack obviously. I would like to speculate that this is an "inside job".The amount adds up to 60 mln dollars in bitcoin some they say. Do you think that with this amount of bitcoin in dollars in their pocket Bitfinex gives a damn about their users ? I really think no and everyone who had some coins in there should stop hoping and learn the lesson everybody is talking about to never keep your coins in exchanges or even on online wallets as they too can disappear one day.

[OROBTC]

...

Perhaps we will just have to get used to the occasional robbery of BTC from exchanges (etc.).  It looks like these thefts will not stop.

There is risk of theft of most assets, including gold.

Many of us can improve our security however: hide gold well and store BTC in hardware wallets.  Those are simple steps to better secure your holdings.

[Kprawn]

These exchanges are fucking things up for Bitcoin with this piss ass security breaches and hacks. I wonder how many of these hacks are genuine .... many of these looks like inside jobs or stupidity of

the people hosting these services. It blows my mind that a exchange with a daily 10k+ bitcoin volume, can be this unprofessional and prone to attacks. I would only start using these services, if we can

find a decentralized exchange that solve the fiat problem for the conversion.   

[Harph]

What is the point of having Bitcoin if you can't use it?
This is no different than any other transaction done with Bitcoin, you have to trust the receiving party to do there part. I don't care if you are purchasing product with bitcoin or using an exchange. Yes things can be hacked and precautions need to be taken. I don't get why most of the comments are about exchanges, are any other provider of services any different?
   This is the whole problem with transactions to known or unknown parties. They have the responsibility to handle things correctly. If you drop your car off for maintenance and it get stolen who's problem is it? It's not the shops right, you were stupid enough to take it to the shop. Any shop can get jacked/hacked.
   Is this really a valid argument about leaving your bitcoin on exchanges? You have to know who you are transacting with or take out insurance. As we all know things happen. Your cold storage can get destroyed, bitcoin gone.

[Sierra8561]

Maybe waiting upwards of 100 confirmations on deposits and withdrawals similar to mining. Once the deposit hit required confirmations it could be traded freely on the exchange until withdrawn. It would definitely buy some time in the event of a hack.