It's the fair price for lack of regulation, as it creates the maximum possible levels of innovation but also allow the maximum possible levels of risk.
What kind of innovation is brought forward by a market system, where con artists can create new exchanges, steal their customers money and do it without any form of obstacles? Where is the innovation in the market system where the customer doesn't have any security in knowing if a certain exchange is a scam or not?
Failures are annoying or painful but like in nature, they are required to assert the survival of the fittest.
Yes, and failure to act will be the end of the bitcoin world. Bitcoin users won't be fit enough to survive, since their idea in fixing problems is just to sit on their ass and wait for problems to fix themselves.
The only troubling detail (IMHO) is that players in these unregulated markets apparently often don't see these risks and somehow believe they were entitled to or assume some form of protection - which doesn't exist.
Lack of survival instinct I'd call it, some others may just be unlucky (wrong time wrong place).
That's life. Unregulated, cruel, in some cases deadly.
Not lack of survival instincts but lack of information. The majority of society are not experienced in obtaining information through channels like this forum. Without experience, it's very hard to distinguish disinformation from information.
The majority of society will get their information on most known and simple information channels like bitcoin.org, that to this date, recommend MtGox as the nr. 1 exchange that should be used.
Elitist snobs of the bitcoin community like to say "If they can't extract information here, then they are stupid and to hell with them". But they are forgetting that this is the same as saying "to hell with bitcoin", because that majority of society would be the future of bitcoin, if bitcoin can survive. Without these people, there is no future for bitcoin and all the elitist snobs have to play their bitcoin game in singleplayer mode.
Noteworthy that the BTC world - by design - lacks any form of police or any form of group that could punish criminals/scammers etc. that exploit the system/harm other users.
Outside of verbal support in forums etc. it's everyone for themselves. Lonely individuals in a very hostile world.
IMHO this lession should be a bold, red, flashing Point 1 of every BitCoin education/information material presented to new members of the community.
Arguably not exactly good advertising material - but the tough, cruel truth.
There should be a central review system of different exchanges. An organization that does quarterly audits and check-ups on all the exchanges and then will post the results how cooperative and transparent were a particular exchange.
This all could be organized if there would be will to do so..
I myself am losing faith in the bitcoin community more and more every day. It seems like the get-rich-quick mentality is irreversibly dominant and the majority aren't willing to do any work for bigger gains. Most create illusions that all the problems will solve themselves and they can get rich just by buying low and selling high, while not spending a minute on something that would actually develop the bigger picture.
It was natural that bitcoin was the financial wild west when it's biggest utility was illegal activity in the tor network. Now when bitcoin wants to reach the threshold in being a serious financial tool, there also has to be some responsibility and order. Considering the current status, it's very unlikely that bitcoin will exceeds this threshold and it will probably be an temporary phenomenon. The little coin that could've been something, but sadly didn't live up to it's potential...
