MtGox suspends BTC withdrawals

[Sonny]

Remember Mt Gox's previous "temporary pause"?

Statement Regarding Temporary Hiatus on U.S. Dollar Withdrawals

TOKYO - JAPAN - June 20th, 2013
      
Over the past weeks Mt. Gox has experienced rising volumes of deposits and withdrawals from established and upcoming markets interested in Bitcoin. This increased volume has made it difficult for our bank to process the transactions smoothly and within a timely manner, which has created unnecessary delays for our global customers. This is especially so for those in the United States who are requesting wire transfer withdrawals from their accounts.
      
We are currently making improvements to process withdrawals of United States Dollar (USD) denominations, and as a result are temporarily suspending cash withdrawals of USD for the next two weeks.

Please be reassured that USD deposits and transfers to Mt. Gox will remain unaffected, as will deposits and withdrawals in other currencies, and we will be resuming USD withdrawals once the process is completed.

We apologize for any inconvenience this causes our U.S. customers in the meantime, and look forward to resuming withdrawal service as well as debuting a dramatically improved trading engine which will be launching very soon.

Regards
Mt.Gox Co. Ltd Team.

Mt.Gox Contact press@mtgox.com

"temporarily suspending cash withdrawals of USD for the next two weeks."
lol 

[1714668327]

1714668327

[1714668327]

1714668327

[1714668327]

1714668327

[1714668327]

1714668327

[1714668327]

1714668327

[Nagle]

Bloomberg has a good writeup on the Mt Gox debacle. They look at this as they would look at a broker in trouble: "Bitcoin Price Plunges as Mt. Gox Exchange Halts Activity". "Mt. Gox ... promised an “update” -- not a reopening -- on Monday, Feb. 10, Japan time." "Trouble at Mt. Gox demonstrates “a clear need for a U.S.-based, regulated, compliant and trustworthy Bitcoin exchange."

In the real financial world, vague "technical difficulties" don't cut it as an excuse. The only justification for a shutdown is something like 9/11 or lower Manhattan being flooded. Even in both of those cases, everything was up and running within days, and customers could still get money out of brokerage accounts.

[windjc]

I will give 60% on the dollar up to 100 BTC. For every 1 Gox BTC and I will give you .6 non-Gox BTC.

Willing to use escrow.

[Bitnicity]

I will give 60% on the dollar up to 100 BTC. For every 1 Gox BTC and I will give you .6 non-Gox BTC.

Willing to use escrow.

i wll offer to buy at 80% of gox btc for real btc, pm me

[mp420]

I can't understand why gox is even still in business. Surely this has to be the deathblow for them now.

Gox is still in business because their business is EXTREMELY PROFITABLE. I don't know why anyone has sent fiat to Gox in the last 6 months but they have. Gox takes about %1 of each trade (when both sides are counted), so they've made about $250k in fees in the last 24 hours already. Makes sense that they don't halt trading when their other systems are down and traders panic.

Even if we account for their (likely high) legal costs and all the seized funds, they probably have more than enough to pay everyone back in full.

If they manage to solve their BTC withdrawal issues, they'll probably regain some of their lost market share and a lot of trust.

[Nagle]

I will give 60% on the dollar up to 100 BTC. For every 1 Gox BTC and I will give you .6 non-Gox BTC.

Willing to use escrow.

But how do you transfer ownership of a "Gox BTC?"

[sd]

If they manage to solve their BTC withdrawal issues, they'll probably regain some of their lost market share and a lot of trust.

Even if they fix the BTC withdrawals before I hit Post they still have not been processing cash withdrawals in any reasonable manner for months. The only people that could still be trusting them are those willing to take the risk to profit on arbitrage and newbies who don't know better.

[keithers]

I will give 60% on the dollar up to 100 BTC. For every 1 Gox BTC and I will give you .6 non-Gox BTC.

Willing to use escrow.

But how do you transfer ownership of a "Gox BTC?"

Was kinda wondering the same thing

[Aditya]

I will give 60% on the dollar up to 100 BTC. For every 1 Gox BTC and I will give you .6 non-Gox BTC.

Willing to use escrow.

But how do you transfer ownership of a "Gox BTC?"

Internal Goxcoin transfer are not routed to blockchain

[alfabitcoin]

Gox has not other choice then to fix the issue. Now their compnence are one the line, this is not some ddos attack.
I think they will fix it, dont forget that many users agree with suspending withdraw as stuck coin was even worse then not and to able to exchange in fiat and wait for market to settle.

[daburone]

Guys I'm willing to take on the risk for 20%.

In other words, for every coin you send to a designated MtGox account, you will receive 80% at your designated address.

Of course we'd need to agree on a suitable escrow and larger transactions might need to be broken into smaller chunks.

PM to discuss more.

[guybrushthreepwood]

If they manage to solve their BTC withdrawal issues, they'll probably regain some of their lost market share and a lot of trust.

Even if they fix the BTC withdrawals before I hit Post they still have not been processing cash withdrawals in any reasonable manner for months. The only people that could still be trusting them are those willing to take the risk to profit on arbitrage and newbies who don't know better.

I think it's just been newbs who have propped them up for so long. Gox still seems to have a big name despite its shitty service.

[keithers]

Since it looks like gox needs new deposits to process withdrawals, i would not be surprised if gox starts offering some sort of bonus for new deposits. Like get 0.25 btc free for each 10btc deposited. Or some sort of trap like that.

[PirateHatForTea]

I'm offering 1.5 realBTC for 2 GoxBTC. PM me if you're interested. This price will likely go down after today's announcement if there is one (I don't believe withdrawals will be enabled today).

[infoman]

I'm offering 1.5 realBTC for 2 GoxBTC. PM me if you're interested. This price will likely go down after today's announcement if there is one (I don't believe withdrawals will be enabled today).

and how do you plan to execute this if lets say I sell you my coins from MtGox?

[TheButterZone]

I forget where I read this, but Gox internal private key transfers (customer to customer) aren't shut down, as they don't occur on the blockchain.

[usabitcoinbuyer]

Has anyone successfully done an internal Gox transfer?  If so, can you describe what the exact procedure is?  There doesn't appear to be a way to do this through the web interface, so... what... email support and say I want to transfer all the coins from account XXX to account YYY?

[PirateHatForTea]

Withdrawals sent to a Gox deposit address don't go through the Blockchain - they are done as internal transfers.

After Mondays announcement I am no longer interested in buying GoxBTC. I don't expect them to be enabling BTC withdrawals any time soon. I would consider taking a gamble if the rate were particularly good, say 25%.

I am fairly convinced after that deliberate attempt to crash the BTC price with their outright inaccurate and FUDdy announcement that they definitely lacked the BTC to pay everyone out. My only question now is whether the crash they caused was enough for them to buy back what they lack. I personally doubt it, and expect to see further weaking in BTC price on Gox as people realise they cannot get their BTC out. Gox is actually emphasizing this with comments about how people can still withdraw cash.