Bitcoin Forum
April 16, 2024, 09:51:34 AM *
News: Latest Bitcoin Core release: 26.0 [Torrent]
 
   Home   Help Search Login Register More  
Bitcoin Forum > Bitcoin > Bitcoin Discussion > Was flashcrash orchestrated to get around MtGox withdrawal limit?
Pages: [1]
« previous topic next topic »
  Print  
Author Topic: Was flashcrash orchestrated to get around MtGox withdrawal limit?  (Read 1746 times)
shads (OP)
Sr. Member
****
Offline Offline

Activity: 266
Merit: 254


View Profile
June 20, 2011, 12:41:00 AM
 #1
Hacker steals x thousand BTC.
Hacker tries to withdraw and hits limit $1k USD limit.
Hacker starts dumping BTC to crash price.
Number of bitcoins he can withdraw equivalent to under $1k USD increases dramatically.
Hacker withdraws all remaining BTC.
PoolServerJ Home Page - High performance java mining pool engine

Quote from: Matthew N. Wright
Stop wasting the internet.
1713261094
Hero Member
*
Offline Offline

Posts: 1713261094

View Profile Personal Message (Offline)

Ignore
1713261094
1713261094
Reply with quote  #2
1713261094
Report to moderator
1713261094
Hero Member
*
Offline Offline

Posts: 1713261094

View Profile Personal Message (Offline)

Ignore
1713261094
1713261094
Reply with quote  #2
1713261094
Report to moderator
Unlike traditional banking where clients have only a few account numbers, with Bitcoin people can create an unlimited number of accounts (addresses). This can be used to easily track payments, and it improves anonymity.
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction.
1713261094
Hero Member
*
Offline Offline

Posts: 1713261094

View Profile Personal Message (Offline)

Ignore
1713261094
1713261094
Reply with quote  #2
1713261094
Report to moderator
1713261094
Hero Member
*
Offline Offline

Posts: 1713261094

View Profile Personal Message (Offline)

Ignore
1713261094
1713261094
Reply with quote  #2
1713261094
Report to moderator
imperi
Full Member
***
Offline Offline

Activity: 196
Merit: 101


View Profile
June 20, 2011, 12:43:11 AM
 #2
It could have been an attempt to do this, yes.
flug
Sr. Member
****
Offline Offline

Activity: 280
Merit: 250



View Profile
June 20, 2011, 12:48:17 AM
 #3
aaaaahhhhhhhhhhhhhhhhhhhhhhhhhhh!!!!!
grue
Legendary
*
Offline Offline

Activity: 2058
Merit: 1431



View Profile
June 20, 2011, 12:52:59 AM
 #4
obviously
It is pitch black. You are likely to be eaten by a grue.

Adblock for annoying signature ads | Enhanced Merit UI
lizthegrey
Newbie
*
Offline Offline

Activity: 56
Merit: 0


View Profile
June 20, 2011, 12:53:29 AM
 #5
Seems like the simplest defense against this would be to use a moving average to base the withdraw limits off.
BeeCee1
Member
**
Offline Offline

Activity: 115
Merit: 10


View Profile
June 20, 2011, 12:55:34 AM
 #6
Quote from: shads on June 20, 2011, 12:41:00 AM
Hacker steals x thousand BTC.
Hacker tries to withdraw and hits limit $1k USD limit.
Hacker starts dumping BTC to crash price.
Number of bitcoins he can withdraw equivalent to under $1k USD increases dramatically.
Hacker withdraws all remaining BTC.



I wish I'd thought of that.  Oh wait, I did. http://forum.bitcoin.org/index.php?topic=19672.msg246725#msg246725  (Not sure that you read that post though.) 

Clearly, that $1,000 withdraw limit for bitcoins should use some sort of moving average price, maybe over 7 days or so.
shads (OP)
Sr. Member
****
Offline Offline

Activity: 266
Merit: 254


View Profile
June 20, 2011, 01:04:28 AM
 #7
No hadn't read it, woke up about a hour ago and there was a lot of threads to go through...
PoolServerJ Home Page - High performance java mining pool engine

Quote from: Matthew N. Wright
Stop wasting the internet.
BeeCee1
Member
**
Offline Offline

Activity: 115
Merit: 10


View Profile
June 20, 2011, 01:27:02 AM
 #8
Quote from: shads on June 20, 2011, 01:04:28 AM
No hadn't read it, woke up about a hour ago and there was a lot of threads to go through...
That's ok, the irony is that while I was writing that someone else posted the moving average idea and I inadvertently repeated it.  I guess these ideas aren't as novel as we think they are.
iCEBREAKER
Legendary
*
Offline Offline

Activity: 2156
Merit: 1072


Crypto is the separation of Power and State.


View Profile WWW
June 20, 2011, 01:50:03 AM
 #9
Quote from: lizthegrey on June 20, 2011, 12:53:29 AM
Seems like the simplest defense against this would be to use a moving average to base the withdraw limits off.

That would be the 2nd simplest defense.

The most simple defense would be a circuit-breaker that automatically halts trading in the event of a flash crash or other anomalous event.

I'm absolutely sure that I'm the very first one to suggest that MtGox and the rest implement this.

*files with patent office*

██████████
██████████████████
██████████████████████
██████████████████████████
████████████████████████████
██████████████████████████████
████████████████████████████████
████████████████████████████████
██████████████████████████████████
██████████████████████████████████
██████████████████████████████████
██████████████████████████████████
██████████████████████████████████
████████████████████████████████
██████████████
██████████████
████████████████████████████
██████████████████████████
██████████████████████
██████████████████
██████████
Monero
"The difference between bad and well-developed digital cash will determine
whether we have a dictatorship or a real democracy."  David Chaum 1996
"Fungibility provides privacy as a side effect."  Adam Back 2014
Buy and sell XMR near you
P2P Exchange Network
Buy XMR with fiat
Is Dash a scam?
Pages: [1]
  Print  
Bitcoin Forum > Bitcoin > Bitcoin Discussion > Was flashcrash orchestrated to get around MtGox withdrawal limit?
 « previous topic next topic »
 
Jump to:  

Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!