Never halt because of news, this just causes more panic.

Never get lag, the engine must run on many servers alone, perhaps AWS has performance product they can offer you?

New York stock exchange handles more trades in a minute than Gox has ever handled in its life. Bitcoin exchanges are the most terrible thing in the world, they really are trite.

So you need to be designed to handle 10,000 trades a second, if you can't then you just going to be another Gox.

(I don't think you can do this though, there isn't enough money in Bitcoin trades yet to warrant someone designing a real trading platform that can handle real traffic, I would love to proved wrong)

I think instead of building towards a set goal (eg 10000 transactions/second), the goal should be scalability - constructing a distributed engine which will run on multiple servers, so that as new users sign up or volume increases more servers can simply be added. High throughput, efficiency and reliability should be prioritised. In addition, MtGox complained of an influx of new users contributing to the massive lag during the crash. MtGox needs to be aware of the approximate server capacity, and if they can't upgrade quickly enough to handle new registrations, then they should impose a registration delay/waiting list when necessary in order to prepare new servers.

I also agree that security and insurance are high priorities. I personally haven't been affected, and I'm sure that I'm very well protected via two-factor authentication. Nevertheless, the topics here about losing hundreds, even thousands of dollars worth of BTC due to hacks/attacks are worrying, and the community can't just blame people for being lax with their own security: Yes, if you leave an unencrypted wallet on a windows machine with no antivirus or firewall, you're responsible for any losses that result, but an exchange should be a secure place to store and trade money. If a browser exploit or a virus or something infects a user and transacts money from an exchange account, the user should be compensated. At the very least, new safeguards should be used, such as manual/delayed confirmation of any non-reversible withdrawals by a user. Receiving a deposit without verification is fine, no one would object to an unexpected donation But if you wish to send BTC from one address to another then there should be an enforced delay, checks for suspicious activity, and confirmation (e.g. by phone or other). Bitcoins already often take upwards of one hour to transfer due to the enforcement of 6 confirmations before most services accept the payment, so a little longer for added peace of mind would be acceptable and safer. (There are probably people who would object, and would want their transfers ASAP, to them it may be possible to have an override in the account settings to forego any checks/confirmations, but this would likely result in MtGox renouncing all liabilities for any losses). With the addition of these checks, losses would be reduced, however MtGox would also become liable for compensating users whose accounts have been hacked, but I think this would be a positive step for the bitcoin community and help it to gain wider acceptance.

>http://www.huffingtonpost.com/max-keiser/bitcoins-problem-with-liquidity_b_3140557.html
>Have you seen an bitcoin exchange for sale?
>Chad

>Research to build the best trading platform out there and I will
>consider funding it.
>Thanks
>Chad




Anyone got a proposal?  

I would happily run this in Colorado USA without fear of the FED.  There is nothing illegal about buying or selling or mining bitcoin in America.  The process of becoming a "money transmitter" which allows a company to trade in cash is relatively straight forward and quite inexpensive.  

Chad is a buddy who *might* fund it.  Do you have a specific proposal to create the beast?  As I say, I'm happy to host it and run it IN AMERICA.

Not sure how to promote it any more than this:
http://www.reddit.com/r/Buttercoin/comments/1d134o/tired_of_buttercoin_lets_start_again_with_a_team/

and in the comments here:
http://www.huffingtonpost.com/max-keiser/bitcoins-problem-with-liquidity_b_3140557.html

Mtgox is the most trusted exchange right now due to them swimming in commission fees.  If someone has the fund and build a trade platform that provides peace of mine for traders (ie deposit insurance), that someone will be very successful in the long run.

The only reason that I use mtgox is that I know they are swimming in commission fees and so they have no incentive to close down shop and screw their customers.  They have also made enough money to cover potential losses without closing shop.

If another exchange can provide account insurance or just the illusion of safety, that exchange will take most of mtgox's customers. I doubt that any who has used mtgox will stick with them if another exchange can offer the same level of perceived safety.

The transaction fee schedule should be more intelligent than MtGox - their fixed percentage of value charge means they make *more* money the higher the price of bitcoin, which is a horrible conflict of interests.

The way to do it might be something like a fixed spread on top of order-book entries like the ECN Forex brokers have. Maybe.

Cheers, Paul.

Let me put myself out there, as well: I have a lot of love for bitcoin and I've been a professional software developer for well over 10 years.

If you find some investment for this project I would be interested in working with you because I believe the market is crying out for a better exchange than MtGox.

Cheers, Paul.

Mt Gox are doing Litecoin shortly aren't they? Or is that not what you meant.

On BTC-E the new currencies have generally tanked when they've been added, but Mt Gox may be different.

It will be realy interesting to see what they roll out.