Wall Observer BTC/USD - Bitcoin price movement tracking & discussion

[Newar]

Another news report on the mycoin.hk mining ponzi below[...]

Another random news post:  BitXChange.ro, [...]

Both without influence on the price.

[1715533199]

1715533199

[ChartBuddy]

Coin
Explanation

[JorgeStolfi]

Another news report on the mycoin.hk mining ponzi below[...]

Another random news post:  BitXChange.ro, [...]

Both without influence on the price.

Well, before closing for good, mycoin.hk had set the price of bitcoin to ~1.5 USD for the purpose of calculating client payouts. 

The BitXChange.ro case highlights another kind of risk of the exchanges.  While their servers may be replicated and protected against external hackers, they may still have a single programmer who could do similar damage.  Indeed, like MtGOX and several other examples, their software team often consists of only one programmer.  Blockchain.info seems to be another example, given that they uploaded the buggy RNG without any internal review of the code.

[Elwar]

Another random news post:  BitXChange.ro, a Bitcoin exchange in Romania, fired their chief programmer last October, and he has been holding their servers and user account hostage since then.  Exchange owners advised clients to withdraw everything, and claims to have been processing all withdrawals by hand since then.

https://www.btcxchange.ro/news

That was early December when that happened.

They were hoping to have it back up in January but it looks like it will not return.

[Newar]

Another news report on the mycoin.hk mining ponzi below[...]

Another random news post:  BitXChange.ro, [...]

Both without influence on the price.

Well, before closing for good, mycoin.hk had set the price of bitcoin to ~1.5 USD for the purpose of calculating client payouts. 

Doesn't show on the charts.

The BitXChange.ro case highlights another kind of risk of the exchanges.  While their servers may be replicated and protected against external hackers, they may still have a single programmer who could do similar damage.  Indeed, like MtGOX and several other examples, their software team often consists of only one programmer.  Blockchain.info seems to be another example, given that they uploaded the buggy RNG without any internal review of the code.

Anything you don't control the private key are IOUs at best. Nothing new here.

[JorgeStolfi]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

[JorgeStolfi]

before closing for good, mycoin.hk had set the price of bitcoin to ~1.5 USD for the purpose of calculating client payouts.  

Doesn't show on the charts.

Well, that is what the news article claimed.

[sherbyspark]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

[brg444]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

It was not an exchange. It was a good ol Ponzi scheme using a Bitcoin facade to lure suckers in.

[ChartBuddy]

Coin
Explanation

[readysalted89]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

It was not an exchange. It was a good ol Ponzi scheme using a Bitcoin facade to lure suckers in.

This is the first article about it that I have found in English. It's still very vague about what the facts actually are. It's not clear exactly how much money has gone missing yet, but it says some customers are taking action on Wednesday. Maybe we will find out more concrete facts by then.

http://www.coindesk.com/hong-kong-exchange-mycoin-disappears-387m-reports-claim/

[JorgeStolfi]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

It was not an exchange. It was a good ol Ponzi scheme using a Bitcoin facade to lure suckers in.

Sorry for the confusion...

MyCoin.hk is the new Hong Kong mining ponzi scam, that collapsed last December and broke the news yesterday; estimates (based on mycoin.hk statements) are still 3 billion HKD = 385 million USD.

GLB was a Hong Kong exchange that closed and stole all client funds in November 2013.  One newspaper yesterday said that the loss was 4.1 billion USD, but it was actually 4.1 million, it seems.

[brg444]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

It was not an exchange. It was a good ol Ponzi scheme using a Bitcoin facade to lure suckers in.

Sorry for the confusion...

MyCoin.hk is the new Hong Kong mining ponzi scam, that collapsed last December and broke the news yesterday; estimates (based on mycoin.hk statements) are still 3 billion HKD = 385 million USD.

GLB was a Hong Kong exchange that closed and stole all client funds in November 2013.  One newspaper yesterday said that the loss was 4.1 billion USD, but it was actually 4.1 million, it seems.

Estimates that are most likely erroneous

[fonzie]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

It was not an exchange. It was a good ol Ponzi scheme using a Bitcoin facade to lure suckers in.

Sorry for the confusion...

MyCoin.hk is the new Hong Kong mining ponzi scam, that collapsed last December and broke the news yesterday; estimates (based on mycoin.hk statements) are still 3 billion HKD = 385 million USD.

GLB was a Hong Kong exchange that closed and stole all client funds in November 2013.  One newspaper yesterday said that the loss was 4.1 billion USD, but it was actually 4.1 million, it seems.

It´s hard to keep track and not to be confused with all those big bitcoin scams and frauds that appear almost weekly.

[JorgeStolfi]

MyCoin.hk is the new Hong Kong mining ponzi scam, that collapsed last December and broke the news yesterday; estimates (based on mycoin.hk statements) are still 3 billion HKD = 385 million USD.

Estimates that have been demonstrated to likely be false

Have they?  The mining contracts were ~52'000 USD minimum, so the uncertainty is only in the number of contracts that they managed to sell.  The "3000" figure may be inflated, but it is not too high for an MLM scheme

[Newar]

It´s hard to keep track and not to be confused with all those big bitcoin scams and frauds that appear almost weekly.

And even the fiat scams! http://www.consumer.ftc.gov/scam-alerts
It boggles the mind!
 

[Newar]

MyCoin.hk is the new Hong Kong mining ponzi scam, that collapsed last December and broke the news yesterday; estimates (based on mycoin.hk statements) are still 3 billion HKD = 385 million USD.

Estimates that have been demonstrated to likely be false

Have they?  The mining contracts were ~52'000 USD minimum, so the uncertainty is only in the number of contracts that they managed to sell.  The "3000" figure may be inflated, but it is not too high for an MLM scheme

3000 and only 30 want to go to court?

[brg444]

Correction: the "4.1 billion USD" for the GBL scam seems to be a newspaper error.  Other sources say "4.1 million",  with is of course much more plausible.

is this for the exchange in HK that apparently stole funds and goxxed users ?

It was not an exchange. It was a good ol Ponzi scheme using a Bitcoin facade to lure suckers in.

Sorry for the confusion...

MyCoin.hk is the new Hong Kong mining ponzi scam, that collapsed last December and broke the news yesterday; estimates (based on mycoin.hk statements) are still 3 billion HKD = 385 million USD.

GLB was a Hong Kong exchange that closed and stole all client funds in November 2013.  One newspaper yesterday said that the loss was 4.1 billion USD, but it was actually 4.1 million, it seems.

It´s hard to keep track and not to be confused with all those big bitcoin scams and frauds that appear almost weekly.

Especially went we have frauds the likes HSBC enabling hundreds of billions of dollars of tax evasion on an international scale plastered all over the news.

One has to dig deep to find relevance in the miniature scams involving a mere 3 billion dollar market!

[seleme]

No way that shit I never heard off had 385 million of user funds.

[JorgeStolfi]

3000 and only 30 want to go to court?

I understood that 30 victims contacted a local Councillor because they had no proof of investment and thought that the police would not take up their case.  The Councillor directed them to the police, let's see what comes of it.