Why the price difference between Mt.Gox and other exchanges?

[Raffles]

Hi,

I'm just looking on http://bitcoincharts.com/markets/ and can't help noticing the large gap between Mt. Gox and e.g. BTC-E. Mt. Gox is currently trading at > USD106 / 1BTC. BTC-E is currently trading at around USD94.5 / 1 BTC. Why is there such a large gap (over 10% difference)?

Thanks in advance.

Raffles

[OnkelPaul]

Because it is currently next to impossible to get dollars out of Mt.Gox. So essentially Mt.Gox dollars are worth less than those at other exchanges.

Onkel Paul

[Raffles]

OK thanks (and presumably any other fiat currency too?). That sounds pretty serious.

Is there any problem moving BTC into and out of Mt. Gox?

[OnkelPaul]

AFAIK moving BTC into and out of Mt.Gox works without problems (banks are not involved in this so they can't mess it up).
For more info, you should search the forum with keywords such as mtgox, withdrawal, delay, dollar etc.
I can't reproduce the weeks of discussion around this here...

Onkel Paul

[Raffles]

Thanks for the info.

[Dimrain13]

Yes good info, do you have any other suggestions for places to cash out of?

[DannyHamilton]

Yes good info, do you have any other suggestions for places to cash out of?

https://localbitcoins.com

[errge]

Yes, currently it's impossible to withdraw bitcoins from MtGox as OnkelPaul says.

And unfortunately, MtGox is not very open about this issue.  For example if you ask for a monthly/daily limit change for USD withdrawal, they will just approve you without saying that BTW all of the withdrawals are currently impossible.

So everybody is just guessing around if they are insolvent or this is just a temporary hickup.  Since they already survived a lot of previous issues, this might be temporary.  But there are good chances that it's not, so be careful!

[traffic_22]

Yes, currently it's impossible to withdraw bitcoins from MtGox as OnkelPaul says.

And unfortunately, MtGox is not very open about this issue.  For example if you ask for a monthly/daily limit change for USD withdrawal, they will just approve you without saying that BTW all of the withdrawals are currently impossible.

So everybody is just guessing around if they are insolvent or this is just a temporary hickup.  Since they already survived a lot of previous issues, this might be temporary.  But there are good chances that it's not, so be careful!

I think these problems really do have the potential to downgrade MtGox' importance in the bitcoin environment at some point in time in the future
It's just a big hassle.