Changes that MtGox could implement to improve their functionality/security

[coastermonger]

Going forward, theft is one of the absolute biggest problems facing bitcoin.  It's prevalence will greatly impact the number of people able and willing to use it, as well as the overall price of BTC.  MtGox (or any exchange or wallet service) can use features like these:

1) Locked withdrawal destinations: Give users the option to "lock in" a particular withdrawal address. I only ever want my BTC coming out of MtGox to arrive in a particular wallet that I control.  Allowing users the the ability to select such an option (which can only be changed with significant due process) will make BTC much much harder to steal from MtGox, and make users there less of a target.  If a request is ever made to transfer BTC to another address, it will be denied.  

2) Delayed withdrawals: Allow users to specify a time frame that must pass after a withdrawal request is made.  Transfer-outs do not happen instantaneously, they go to pending and a notification is sent to the users email, possibly also text, telling them that a withdrawal has been requested.  An option is given to cancel the request at any time.  Instantaneous thefts that transfer-out BTC are not possible. In my case I might specificy a 24-hour window that must pass before transfer outs are processed, giving me ample time to intercept an unauthorized withdrawal.

3) Logging:  Allow users to see when various IP addresses have attempted to log into their account (similar to the blockchain interface).  Even better, allow the option to "lock-in" logins to a particular computer or set of computers.

4) Stop loss orders: give users the option to define a point where they can buy or sell BTC for a limited loss, rather than further going into the red.  Seriously.

5) Credit Cards: Allow verified and trusted users the option to purchase bitcoin with credit card with the specific warning the chargebacks would likely result in their account being frozen.  Since verified and trusted users already have their information on file, it becomes difficult for individuals to successfully defraud MtGox with a chargeback without repercussion.  For honest users, It would become SO MUCH EASIER to fund accounts.  

6) Limit the frequency and/or number of trades that relatively new and unverified accounts can make. There must be some kind of check in place to prevent aggregately linked accounts from hyperspamming and clogging the trade engine.  Their activity is distinctly different from normal users attempting to make trades.

I'm curious what other ideas you guys have.  I'll add them in to the list

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[FullLife]

Something simple like having to enter a PIN before making withdrawals or changes to the account would be nice as well.

[luffy]

Well 2 factor authentication should be enough (i don't know if it can be also hacked)
but it would be nice for BTC withdrawals to ask for email confirmation like BTC-e does

[farlack]

4) Stop loss orders: give users the option to define a point where they can buy or sell BTC for a limited loss, rather than further going into the red.  Seriously.

5) Credit Cards: Allow verified and trusted users the option to purchase bitcoin with credit card with the specific warning the chargebacks would likely result in their account being frozen.  Since verified and trusted users already have their information on file, it becomes difficult for individuals to successfully defraud MtGox with a chargeback without repercussion.  For honest users, It would become SO MUCH EASIER to fund accounts.  

I'm curious what other ideas you guys have.  I'll add them in to the list

4) This will make the price crash even more, get a trading bot.

5) You have to have a merchant to accept them, probably high risk, and high risk have a 9% fee, +$1 per transaction with 10% rolling reserve for 6 months. You cant just walk into a bank and get a CC processor that will approve BTC.


They need to have a system set up that charges like $1 to withdrawal a certain amount and you get a phone call to confirm the transfer.

[repentance]

5) Credit Cards: Allow verified and trusted users the option to purchase bitcoin with credit card with the specific warning the chargebacks would likely result in their account being frozen.  Since verified and trusted users already have their information on file, it becomes difficult for individuals to successfully defraud MtGox with a chargeback without repercussion.  For honest users, It would become SO MUCH EASIER to fund accounts.

But you're not buying Bitcoin from MtGox, you're buying it from other users.  I'm not seeing any upside for MtGox in letting people use credit cards to fund their accounts.  You're just adding more risk and more fees to the process.  Why would MtGox essentially lend you the funds to trade for however long it takes for them to receive the money from your CC transaction? 

[TimJBenham]

2) Delayed withdrawals: Allow users to specify a time frame that must pass after a withdrawal request is made.  Transfer-outs do not happen instantaneously

From reports they seem to have this down already.