Bitcoin burglar bags a million bucks

[ymoss]

http://www.theregister.co.uk/2013/11/08/bitcoin_burglar_bags_a_million_bucks/

An Australia developer who goes by the name of “Trade Fortress” alleges a million dollars worth of Bitcoin has been stolen from his virtual wallet.

Trade Fortress made the allegation to ABC Radio, which reports he's “ over 18 but not much over” and doesn't know where about 4100 bitcoin. With Bitcoin exchanges currently offering $US290 or more per coin, that's $US1,189,000 ($AUD1.25m or £738,000).

[Steveia]

http://www.theregister.co.uk/2013/11/08/bitcoin_burglar_bags_a_million_bucks/

An Australia developer who goes by the name of “Trade Fortress” alleges a million dollars worth of Bitcoin has been stolen from his virtual wallet.

Trade Fortress made the allegation to ABC Radio, which reports he's “ over 18 but not much over” and doesn't know where about 4100 bitcoin. With Bitcoin exchanges currently offering $US290 or more per coin, that's $US1,189,000 ($AUD1.25m or £738,000).

Trade Fortress denies any involvement, though many suspect inside job. He has offered to pay for some of the damage with his own bitcoins.

[p2pbucks]

What a sad story , he should learn more about btc before buying tons of them

[elux]

What a sad story , he should learn more about btc before buying tons of them

He didn't lose anything. Tradefortress hosted a one-man MyBitcoin style wallet service. Under cover of anonymity.

He copied Bitcoinica's "ye olde email account hack" into Linode control panel password reset story for "plausible" (HA!) deniability.

He then stole the money.

[TheButterZone]

It would be hilarious and teach people a lesson to never keep BTC at private keys out of their exclusive control, if TF claimed it was stolen, then returned everyone's BTC out of his "personal stash" (mixing the "stolen" BTC back in) after an arduous verification process (like Instawallet did), then "quit" bitcoin, perhaps with a fake suicide to make people feel guilt about being so incredibly stupid to entrust another party with their BTC to be stolen (as no amount of alleged security is EVER enough).

[justusranvier]

Is TradeFortress one of the trustees holding forum donation money?

[TheButterZone]

Is TradeFortress one of the trustees holding forum donation money?

Not under that name: https://bitcointalk.org/index.php?topic=141503.msg1642658#msg1642658

TF didn't get a public response to https://bitcointalk.org/index.php?topic=141503.msg2603014#msg2603014

[BitChick]

Question here.  Can the coins stolen be report as stolen in the block chain and blocked from being spent somehow?  I thought that there was a way to do that so it would at least prevent thefts of BTC in the future.  

[TheButterZone]

No. You can use blockchain.info to embed a public note (only visible on blockchain.info until an API lets the notes be seen elsewhere) by sending a small BTC amount to the thief's address, like we see on the supposed FBI Silk Road Seized BTC address: https://blockchain.info/address/1F1tAaz5x1HUXrCNLbtMDqcw6o5GNn4xqX