Has this coin and its stated purpose been officially backed by anyone legit trying to address the Empty Gox situation, or by any big players who lost lots of BTC in the GOX crash?
I notice how this question was ignored, just like my question earlier.
If you are really trying to do right by the victims of gox and not just trying to exploit the tragedy to line your own pockets, please explain to me how exactly this is supposed to help anyone who lost coins at gox.
3rd time I've asked you now. It's a simple enough question.
Hi acidwing,
I too am interested to know the answer to your questions and I too had BTC in MtGox. Although I’m not comfortable disclosing how much, sufficed to say it is considerable by most standards.
Whilst I’m not much more informed than you, from what I understand MtGox Coin is not dependent on any formal relationship with MtGox - this obviously has its pros and cons.
Without such a relationship it becomes more difficult to validate the BTC balance of claimants, whilst all at once placing a big question mark over the value of GOX, as they won’t be underwritten by BTC in MtGox. That said, any 3rd party crypto that does rely on cooperation from MtGox could be waiting just as long as anyone holding out for MtGox to remedy matters themselves, that is if they ever cooperate, which they are unlikely to do as it would confirm their ineffectiveness, thus causing their own demise. All in all this kind of approach carries too great a risk of edging closer and closer to failure over a long and frustrating period of time.
Conversely, if an attempt at aid is free from reliance on MtGox it can begin taking action much sooner, as GOX is already doing. The key factor for MtGox BTC holders is how GOX will verify their balance. Some may already have sufficient documentation to prove this, whilst others may have to procure such evidence when MtGox is in a position to provide it, which may take time but is much more possible than MtGox providing it to any 3rd party crypto team. Furthermore, claiming/receiving GOX does not invalidate any compensation we could get from MtGox, so in this sense GOX can be seen as intermediate aid, afforded to us by the efforts and opportunists of the community. No, we don’t as yet have all the details, but why should that be of significance to anyone not mining or investing in GOX, for such people have no liability contingent on GOX - if the dev team run off with the premine we’ll be no worse than we currently are. Speaking of which, pulling off such a stunt would be extremely difficult and stupid, as I’ll explain now.
The value of GOX is contingent on how useful it is as an aid to those who’ve lost BTC in MtGox, therefore there will come a critical time for the dev team to begin releasing GOX to victims, which must be at the latest in line with progress from MtGox. If they don’t, price will plummet; if they do and continue to do so such concerns will be quelled and price will rise. If the dev’s plan is to sell up around the peak preceding the beginning of supposed payouts (which would be significantly less than once payouts had begun), they face the monumental problem of selling a sufficient quantity of GOX without causing price to fall to levels that would render such a ruse futile.
Even if these fictional devs managed to sell 375,000 GOX without the market crashing beneath them, and on top of that managed to get rid of them at an average of 0.0007, they’d make a measly $170,000, which when shared amongst even 3 people is hardly the heist of a lifetime. Obviously they wouldn’t put in an ask order for all GOX at once, they’d attempt to distribute asks across different exchanges, with varying prices, over as long a time as possible. Now let’s say price has matured to a satisfactory start level in 10 days time with a plan to have sold all 375,000 GOX 30 days from now, that’d give them 20 days to sell the equivalent of 65% - 29% of the GOX in circulation from mining without causing the price to falter, in fact amidst a rise in price. In reality the market would react as though it was the GOX in circulation that were being sold and would crash to the floor in the most spectacular fashion. If they tried to start the process later or extend it over a longer period of time they’d quickly fall foul of the critical time factor highlighted above.
On the flip side, if they really are what they say they are, they’re in for big time success. They’ll become the underdog heroes amid a half a billion dollar catastrophe. By simply buying in themselves, now whilst the price is low, because they’re sure of their honour and confident of their success, they’ll glean more than a handsome profit. If each dev bought 2.5 BTC of GOX at roughly the current price, say 0.00005, they’d end up with 49910 GOX (taking into account CryptoRush fees). If they then held out until after the release of GOX to victims was in full swing, they could slowly sell off their investment for the feasible price of 0.0015, wait for BTC to get back up to $800 and make off with more than they would of if they’d played the risky game of scam. Beyond that they’ll achieve significant status, future opportunity, and profit via streams other than their personal GOX holdings as other businesses seek to take advantage of the coin’s success. When totalled up I wager they’d make substantially more by fulfilling their stated objectives than trying to run off with the premine.
No one knows how much our MtGox BTC will be worth when all is said and done, but what we can say is that so far it’s been a devastating downward slope. The last sale on Bitcoin Builder was 0.064 and that was only due to a spike in price before it ceased trading, before that it was bobbing along around 0.045. Let’s be optimistic and say that we get 0.25 back once MtGox has been squeezed dry as a bone, that’s where any extra help will be warmly welcomed and that’s where GOX comes in.
GOX is very very unlikely to reach the dizzy heights of 0.25, even 0.025 is wildly optimistic, but every little helps in a time of need and more than anything GOX has the potential to represent something incredibly powerful for the future of cryptocurrency in general, and in turn the value of whatever BTC we get back from MtGox - this is the power of the community upon which BTC’s fundaments are based. Crypto being peer-to-peer is its strength and weakness - when times are good it protects us from the many problems that riddle centralised systems, but when times are bad it’s the very corner stone of criticism and crippling fluctuations in price, all because there’s no one other than ourselves to step in and sort things out. Yet if we can show the world that this community of peers is autonomous whether the sine shines or the rain pours we can go some way to fortify the longevity of cryptocurrency. If GOX succeeds, confidence in the crypto community will rise, BTC investment will be de-risked by a small but noticeable amount, and price will have a greater probability of rising.
In addition, much like the many protocols of crypto, there are elements of GOX’s success that don’t require participants to know each other or trust each other. If GOX fulfils its objectives it will become valuable, which means miners and traders who had no BTC in MtGox will mine and trade it, thus pushing up the price and benefiting holders of GOX whom received it for having BTC in MtGox. When you add this effect to that of those who invest effort by reason of simply wanting to help those in need, GOX has the potential to become a crypto of worth on every level.
I understand you have concerns, as do I, for times of late have taught us nothing else, but if we think of GOX as intermediate aid for victims whom are waiting for the lion’s share of their compensation to come by the hands of law suits, authorities and MtGox themselves; and furthermore place that thought in context with the logic expounded above, it’s much better to support GOX than give it a hard time. If anyone can’t justify or bear investing any more effort into anything relating to what has been a terrible ordeal, then my advice is to clear the path for those who’ll happily plough on whilst you take the time you need - but in that time, keep a gentle eye on GOX, because it may well be the very thing that puts fire back in your belly, and when it does, they’ll be a place saved just for you.
I only say what I say to try and help… hopefully it has and my apologies if not.
EDIT:
Ok, so I’ve been digging around and I’ve read up on one of the 1st posts by MtGox Coin from their website’s forum.
It says:
“MtGox Coin is not affiliated with MtGox Co., Ltd. in any way. We don't have, nor do we intend to acquire the user database with balances from Mt.Gox or anybody who may have stolen it from them because we consider that private information. The Mt.Gox fail affected the whole crypto community to certain extent, therefore we intend to make up for it by giving away MtGox Coins to everybody equally.”
http://mtgoxcoin.com/forum/14This creates an even more immediate remedy to the situation than my previously mentioned hypothesis that MtGox Coin might verify balances by individual submissions of proof, as opposed to formal acquisition of MtGox’s database.
GOX have stated they’ve premined 927,000, and let’s say there’s 750,000 of those left for sharing once bounties, promotion and maintenance are taken care of. If 7,500 individuals make a claim via GOX’s website, which for the record is 10 times more than subscribers on the Auroracoin’s subreddit, that’d be 100 GOX per person.
Now, I appreciate that in order to fully reimburse you of your lost 6 BTC the value of GOX would have to be 0.06, which is outlandishly optimistic, but do you know what, with a lot of people likely loosing a similar amount to you surely this gives us all some incentive to push GOX beyond expectation. If our support could see it to 0.006 you and many others would see a 10% return, which ain’t to be sniffed at. That plus whatever we get from MtGox might just be enough to ease the pain above unbearable.
Yes, this ultimately means that the larger holders of BTC (like myself) are unlikely to see sufficient return to heal the wound, but the biggest bag holders are the ones who’ve probably got the most resources to battle harder with MtGox and at least get to the front of the queue.
GOX’s method makes it a coin for the masses, those whom in many cases lost the most when you scale things relatively. If I were you I’d get myself signed up on their website and keep you’re eye out for the next giveaway, which I now realise was officially part of the plan stated above. Just so you know, early supporters got 150 GOX, of which there were only about 150.
Regarding the niggling worry that the devs will run off with the premine, well my previous points are even more prevalent given we don’t have to wait on outside forces for GOX’s intentions be verified. Many could end up with 10 times as many GOX than they had BTC as well as having it sooner than if we had to prove our balance, and all by simply signing up to GOX’s website.
Hope this helps.
