MtGox withdrawal delays [Gathering]

[crazy_rabbit]

So I logged into Gox today and when I go to my funding options, I get this message:

Your account has been restricted from accessing funding options. Please contact support@mtgox.com for additional information on why your account has been restricted.


I was pretty surprised, I know they wanted to stop BTC, but I'm not allowed to withdraw fiat or deposit fiat? I've always been completely verified in good standing- so I don't really get what the problem is. It seems pretty dramatic that I'm forbidden for accessing my funding options all together.

Have you ever used Bitistant?

Yes I did use BitInstant back in the day when they were functioning, do you think that has anything to do with it?

[coini]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

[Hen0xyd]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

That's what i've been wondering (if this massive flow off bitcoin transaction would be a problem).

Because of :
- the reason you clearly explained (blocksize limit and miners process)
- the fact MtGox isnt willing to see every bitcoin go away in 2minutes plus the hot/cold wallet problem (they would either need to have an enormous hot wallet or multiple refills from cold storage)

=> I think they are going to use a queue or any kind of restraining rule for btc withdrawals, better for them... and us "lol".

[gizmoh]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

You just hinted Karpeles an excuse to severely restrict withdrawal.
Expect 1 withdrawal per week maximum 100 btc, in force tomorrow..

[FrictionlessCoin]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

How does a newbie (with a max total of 3 posts) come up with a credible post about the impact?

[mgroenouwe]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

How does a newbie (with a max total of 3 posts) come up with a credible post about the impact?

Not everybody has to be active on this forum to have the knowledge...

[donk4u]

Are they making an announcement toomorow ? I missed that there was going to be an update from gox tommrow, thanks in advance

[mgroenouwe]

Are they making an announcement toomorow ? I missed that there was going to be an update from gox tommrow, thanks in advance

https://www.mtgox.com/img/pdf/20140215-BTC-transfers.pdf

[Hen0xyd]

Are they making an announcement toomorow ? I missed that there was going to be an update from gox tommrow, thanks in advance

Yeah, check : https://www.mtgox.com/img/pdf/20140215-BTC-transfers.pdf
Probably only an announcement, some 5% for btc withdrawals

[coini]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

How does a newbie (with a max total of 3 posts) come up with a credible post about the impact?

I am a newbie in the forum, but I am no newbie to bitcoin. Actually I figured out the exact reason for the MtGox problems before they even did.

http://www.heise.de/newsticker/foren/S-Ich-vermute-geaenderte-TXIDs-von-MtGox-Transaktionen/forum-274449/msg-24755394/read/

This is my post in the german heise forum 3 days before MtGox came up with their anouncement. Use google to translate my post, and see that it describes the problem very well.

[raskul]

International wire goes on same day or next day for me.  Speed and security are worth the 2000jpy fee IMHO.

just noticed, the company plus500 uk ltd, who previously took their bitcoin prices from mtgox, have now switched to btc-e.

[rpietila]

does anyone know if the withdrawal on bitstamp is working now?

Yes it is working.

Attempting to pull a larger amount of money, the same as MtGox  
I'll wait for money 3-4 month or much more.

I tried to withdraw $1.5 million from BS, and ran into a previously unannounced KYC check. After completing it, they let me withdraw the whole amount. They always acted very rapidly and courteously. I have not tried BTC withdrawal now, I have sold all my BTC there because it is ridiculous to think price can stay >600 for long.

You are obviously a troll. Just wanted the others to see that Bitstamp gives out the money as promised.

[igorr]

does anyone know if the withdrawal on bitstamp is working now?

Yes it is working.

Attempting to pull a larger amount of money, the same as MtGox  
I'll wait for money 3-4 month or much more.

I tried to withdraw $1.5 million from BS, and ran into a previously unannounced KYC check. After completing it, they let me withdraw the whole amount. They always acted very rapidly and courteously. I have not tried BTC withdrawal now, I have sold all my BTC there because it is ridiculous to think price can stay >600 for long.

You are obviously a troll. Just wanted the others to see that Bitstamp gives out the money as promised.

Please proof, screnshot ?

[ImI]

does anyone know if the withdrawal on bitstamp is working now?

Yes it is working.

Attempting to pull a larger amount of money, the same as MtGox  
I'll wait for money 3-4 month or much more.

I tried to withdraw $1.5 million from BS, and ran into a previously unannounced KYC check. After completing it, they let me withdraw the whole amount. They always acted very rapidly and courteously. I have not tried BTC withdrawal now, I have sold all my BTC there because it is ridiculous to think price can stay >600 for long.

You are obviously a troll. Just wanted the others to see that Bitstamp gives out the money as promised.

Please proof, screnshot ?

lol

[leopard2]

coini you are a prophet 

now tell us if the 1MB block limit will kill BTC, because it does not allow a large number of transactions? how can btc work 5 years from now when the normal throughput of transactions will be much higher than today?

[McKinley]

What is a story behing this new btc withdraw queue?
I think they wont limit btc withdraw but introduce this new delay tactic. Horrible. When will nightmire end.

I don't know what the story is, but whenever bitcoin withdrawals on MtGox are open again (better to say: if ever), you will probably face the impacts of another technical problem of the bitcoin protocol much sooner as expected: the blocksize limit of 1MB. The protocol can't handle a flood of transactions right now. Even under normal conditions 500kb blocks have not been a rare case in the last months. When 1MB is reached even for a small period of time, transactions will pile up, miners/mining pools will have to restart the daemons every once in a while to clean up the memory pool, and valid transcations will get lost or not be processed. Transaction fees will eventually rise sharply. Furthermore, you won't be too happy when MtGox stops the service. Tranfers made between MtGox wallets don't go through the bitcoin network. A missing MtGox will result in much more real transactions and this will push the network nearer to the limit. I hope MtGox will be wise enough to make a withdrawal queue for bitcoin, wich carefully stacks up transcations and broadcasts them in a decent manner... but on the other hands, when have they ever been wise?

You just hinted Karpeles an excuse to severely restrict withdrawal.
Expect 1 withdrawal per week maximum 100 btc, in force tomorrow..

If he intends to keep Bitcoins working he should be exactly doing this. Put a slowly increasing limit on BTC withdrawals.

Plus: Persons, who are informed before a public announcement about the starting time of BTC withdrawals have to - depending on which country laws apply - wait a certain amount of time unless they are allowed to trade. Otherwise using this information is an insider trading which again in many countries is usually a crime that is penalized.

Needless to say that all mtgox employees, contractors and partners would be in that potential "crime group". I hope they are aware of legal consequences. This then is a honey pot for any governments who want to shut down Bitcoin. They follow some big transactions, search the person - and if he/she could be having insider information - start a prosecution. If these are  Bitcoin developers, who had been clueless about financial rules or implications, by loosing them, Bitcoin as a whole will suffer again another big blow.

So i hope that mtgox and Karpeles actually publicly announces the number of hours required by law before the start of BTC withdrawals. And imposes a withdrawal limit within a time period, which increases every week. This could make - even if they happened - insider tradings so much less profitable with a certain chance they will not be investigated. And taking reasonable measurments to prevent insider trading, increases the trust in Bitcoins and Mtgox. Karepeles, the mtgox management, their employees, partners, associates, etc. could really get on a legal edge here that could quickly turn out with a criminal record.

I really hope they master their obstacles and proove enough financial know how to stick to legal laws. Otherwise the next blow to Bitcoins is pre-programmed.

[McKinley]

coini you are a prophet 

now tell us if the 1MB block limit will kill BTC, because it does not allow a large number of transactions? how can btc work 5 years from now when the normal throughput of transactions will be much higher than today?

What? Despite the existence of transaction fee's (https://en.bitcoin.it/wiki/Transaction_fees) the Bitcoin network can't cope with bigger throughput of transactions I hardly believe that. Isn't it that way: who pays the most fee will be priorized first. Can anyone agree on Bitcoin either failing with bigger throughputs of transactions or it just creates the need to increase the fee ?

[crazy_rabbit]

does anyone know if the withdrawal on bitstamp is working now?

Yes it is working.

Attempting to pull a larger amount of money, the same as MtGox 
I'll wait for money 3-4 month or much more.

I tried to withdraw $1.5 million from BS, and ran into a previously unannounced KYC check. After completing it, they let me withdraw the whole amount. They always acted very rapidly and courteously. I have not tried BTC withdrawal now, I have sold all my BTC there because it is ridiculous to think price can stay >600 for long.

I don't think it's so ridiculous, however I'm not claiming to have $1.5 Million where even small changes in price can mean incredible sums of money. To me, bitcoin seems stronger then ever- tough times indeed, but it was inevitable that we would need to harden the new generation of newbies that brought so much new money to the system. Each crash slowly teaches a new generation of traders about bitcoin and hardens them to the panic. You are always negative about bitcoin- yet you've profited so greatly from it.  I understanding wanting 1.5 million on cash, but why not stop trying to freak others out? Anyone else with as much money as you will know the risks they are dealing with, everyone will (much) less money that that can afford to ride the waves as they have less to loose, but more to gain.

[smoothie]

does anyone know if the withdrawal on bitstamp is working now?

Yes it is working.

Attempting to pull a larger amount of money, the same as MtGox 
I'll wait for money 3-4 month or much more.

I tried to withdraw $1.5 million from BS, and ran into a previously unannounced KYC check. After completing it, they let me withdraw the whole amount. They always acted very rapidly and courteously. I have not tried BTC withdrawal now, I have sold all my BTC there because it is ridiculous to think price can stay >600 for long.

I don't think it's so ridiculous, however I'm not claiming to have $1.5 Million where even small changes in price can mean incredible sums of money. To me, bitcoin seems stronger then ever- tough times indeed, but it was inevitable that we would need to harden the new generation of newbies that brought so much new money to the system. Each crash slowly teaches a new generation of traders about bitcoin and hardens them to the panic. You are always negative about bitcoin- yet you've profited so greatly from it.  I understanding wanting 1.5 million on cash, but why not stop trying to freak others out? Anyone else with as much money as you will know the risks they are dealing with, everyone will (much) less money that that can afford to ride the waves as they have less to loose, but more to gain.

I don't believe his statement was an intent to make people panic. Merely calling it as he sees it.

[crazy_rabbit]

does anyone know if the withdrawal on bitstamp is working now?

Yes it is working.

Attempting to pull a larger amount of money, the same as MtGox 
I'll wait for money 3-4 month or much more.

I tried to withdraw $1.5 million from BS, and ran into a previously unannounced KYC check. After completing it, they let me withdraw the whole amount. They always acted very rapidly and courteously. I have not tried BTC withdrawal now, I have sold all my BTC there because it is ridiculous to think price can stay >600 for long.

I don't think it's so ridiculous, however I'm not claiming to have $1.5 Million where even small changes in price can mean incredible sums of money. To me, bitcoin seems stronger then ever- tough times indeed, but it was inevitable that we would need to harden the new generation of newbies that brought so much new money to the system. Each crash slowly teaches a new generation of traders about bitcoin and hardens them to the panic. You are always negative about bitcoin- yet you've profited so greatly from it.  I understanding wanting 1.5 million on cash, but why not stop trying to freak others out? Anyone else with as much money as you will know the risks they are dealing with, everyone will (much) less money that that can afford to ride the waves as they have less to loose, but more to gain.

I don't believe his statement was an intent to make people panic. Merely calling it as he sees it.

Well, I guess it means cheaper bitcoin for me. :-)