Silk Road 2.0 hacked through malleability, ~4000 BTC STOLEN

[darkmule]

Silk road wasnt hacked. The owners took off with the coins, were duly exposed and now the forum is awash with thread after thread of distraught memmbers who are understandably after his blood. admin and mods tried to blame transaction malleability and  alleged the entire funds had been stolen under their noses.

you know, I really hate it when people come on here and start threads without checking the facts first.

It'd be nice if a mod would change this stupid subject line, which is a complete lie.  SR2 was not hacked.  You morons just got your money stolen, which was entirely predictable, you stupid dope fiends.

[1714491977]

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[1714491977]

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[1714491977]

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[hilariousandco]

Silk road wasnt hacked. The owners took off with the coins, were duly exposed and now the forum is awash with thread after thread of distraught memmbers who are understandably after his blood. admin and mods tried to blame transaction malleability and  alleged the entire funds had been stolen under their noses.

you know, I really hate it when people come on here and start threads without checking the facts first.

Well this is the explanation they gave and how it was reported. Only time will tell what truly happened.

[guybrushthreepwood]

So is the jury out wether this was a hack or inside job yet?

bitcoin is like the homosexual to currency (don't get my wrong 1000 BTC is good, but peercoin is the way to go long term)

What the hell does that mean?

[darkmule]

So is the jury out wether this was a hack or inside job yet?

bitcoin is like the homosexual to currency (don't get my wrong 1000 BTC is good, but peercoin is the way to go long term)

What the hell does that mean?

I think, attempting to translate the poster's original comments, that it means "I am really dumb." 

I could be wrong, though.

[smoothie]

I took it as the silk road 2 owner seen what was going on with exchanges and TM issue with the bit coin source then thought "Hmm if I claim I got hacked because of the TM issue" then I can steal people's coins and get away with it easily.

VOILA.

[roslinpl]

I wish Silk road 1.0 and 2.0 never exists.

[Lauda]

I took it as the silk road 2 owner seen what was going on with exchanges and TM issue with the bit coin source then thought "Hmm if I claim I got hacked because of the TM issue" then I can steal people's coins and get away with it easily.

VOILA.

Alleged hack, yes.

[crazy_rabbit]

I took it as the silk road 2 owner seen what was going on with exchanges and TM issue with the bit coin source then thought "Hmm if I claim I got hacked because of the TM issue" then I can steal people's coins and get away with it easily.

VOILA.

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

[raskul]

I took it as the silk road 2 owner seen what was going on with exchanges and TM issue with the bit coin source then thought "Hmm if I claim I got hacked because of the TM issue" then I can steal people's coins and get away with it easily.

VOILA.

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

it begs the question, which is more trustworthy - the dealer or the market.
I'd say the dealers are far more trusting, and if you want to buy your goods, always FE because there is less risk in FE than letting the market hold escrow for you. it's probably already been said.

[guybrushthreepwood]

I took it as the silk road 2 owner seen what was going on with exchanges and TM issue with the bit coin source then thought "Hmm if I claim I got hacked because of the TM issue" then I can steal people's coins and get away with it easily.

VOILA.

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

it begs the question, which is more trustworthy - the dealer or the market.
I'd say the dealers are far more trusting, and if you want to buy your goods, always FE because there is less risk in FE than letting the market hold escrow for you. it's probably already been said.

Neither. You can't trust anyone - it's the nature of the business.

[arousr]

No self-respecting Bitcoin thief values fiat over holding Bitcoin.

'self-respecting thief'? That's an interesting concept.

[darkmule]

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

It's hard to understand why someone would pay someone to send them illegal drugs through the U.S. mail, often to their actual physical home address, turning what would otherwise be a minor possession misdemeanor into a major federal felony subjecting them to following a state jail term with a trip to Club Fed.  

What conceivably makes this look like a good idea?  People are stupid, I guess.

[nairb131]

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

It's hard to understand why someone would pay someone to send them illegal drugs through the U.S. mail, often to their actual physical home address, turning what would otherwise be a minor possession misdemeanor into a major federal felony subjecting them to following a state jail term with a trip to Club Fed.  

What conceivably makes this look like a good idea?  People are stupid, I guess.

Likely because they realize that very little of the actual mail is checked and they feel that means it won't happen to them. Companies like FedEx and UPS have their own contracted Customs agents to check a random sampling of about 0.02% of all packages unless something suspicious is reports. USPS checks some as well but only international and reported packages from my understanding.

[StevenS]

5) before it's confirmed, Vendor A changes the txid (using malleability)
6) Vendor A broadcasts this transaction to the bitcoin network
7) Since, the inputs are the same, bitcoin network code sees this as a double spend
8 ) bitcoin marks the orignal transaction as dead (no miners will include it in a block)
9) SR2 escrow receives notification that the oridinal txid is dead

Why does the network invalidate the original transaction and confirm the second? Does that happen every time, the newer transaction with the same inputs wins? That does seem like a flaw in the protocol if that is the case.

Vendor A (the attacker) sends the cloned tx to a different node in the network, before that node sees the original tx. There are now two txs in the network, and there is no way to tell which one is newer (because the timestamps are exactly the same). There is some luck involved, as the attacker can't guarantee that his cloned transaction will be confirmed in a block (or seen by more nodes) before the original tx, but the attacker can just keep trying with multiple withdrawals.

[sgk]

After Massive Hack, It’s Pay Back Time for Silk Road 2.0

Online black market Silk Road 2.0 has announced via reddit that it will forego paying its staff until it reimburses users for the more than 4,000 BTC that was compromised last week.

http://www.coindesk.com/pay-back-silk-road-2-0/

[Waramp22]

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

It's hard to understand why someone would pay someone to send them illegal drugs through the U.S. mail, often to their actual physical home address, turning what would otherwise be a minor possession misdemeanor into a major federal felony subjecting them to following a state jail term with a trip to Club Fed.  

What conceivably makes this look like a good idea?  People are stupid, I guess.

Also receiving and signing for an un-opened package at your door is not against the law. Unless someone can prove that you ordered illegal drugs online they have nothing to charge you with. 

[darkmule]

Of course. I mean, given how often this happens- its hard to understand why someone would deposit funds on these things.

It's hard to understand why someone would pay someone to send them illegal drugs through the U.S. mail, often to their actual physical home address, turning what would otherwise be a minor possession misdemeanor into a major federal felony subjecting them to following a state jail term with a trip to Club Fed.  

What conceivably makes this look like a good idea?  People are stupid, I guess.

Also receiving and signing for an un-opened package at your door is not against the law. Unless someone can prove that you ordered illegal drugs online they have nothing to charge you with. 

Yeah keep telling yourself that.  If you don't think there are plenty of people behind bars for much less you are literally retarded.

[Bit_Happy]

They claim to intended to pay it all back, wow, that will take a while!

[Beliathon]

allow me to translate:

"i took your coinz lol!"

QFT ROFL!

How many times are people going to get burned by Silk Road before they learn their lesson?

[j3steven]

They claim to intended to pay it all back, wow, that will take a while!

yep, best of luck to anyone with moneys in there!

http://www.coindesk.com/pay-back-silk-road-2-0/