What happens to bitcoins that are abandoned on exchanges and pools

[bitcoin_n00b]

Hi everyone,

I'm curious about what happens to coins that are abandoned on exchanges and pools. For example, if I left a fraction of a namecoin behind on btc-e because they never reached the withdraw limit, can anyone tell me what might eventually happen it? Or if I joined a pool to mine bitcoin and moved on without taking the btc with me? Are those coins out of circulation or will the exchange or pool eventually capture them?

Thanks!

n00b

[Vod]

Hi everyone,

I'm curious about what happens to coins that are abandoned on exchanges and pools. For example, if I left a fraction of a namecoin behind on btc-e because they never reached the withdraw limit, can anyone tell me what might eventually happen it? Or if I joined a pool to mine bitcoin and moved on without taking the btc with me? Are those coins out of circulation or will the exchange or pool eventually capture them?

Thanks!

n00b

Coins on an exchange or pool don't belong to you - they belong to the website.

If you don't request they send you coins you have earned - they will simply keep them.

[bryant.coleman]

If you don't request they send you coins you have earned - they will simply keep them.

In that case, I have a question. Are they allowed to sell these coins? Or are they legally obliged to keep them secure, in case at some point in the future the original owner asks them to return those coins?

[Yakamoto]

If you don't request they send you coins you have earned - they will simply keep them.

In that case, I have a question. Are they allowed to sell these coins? Or are they legally obliged to keep them secure, in case at some point in the future the original owner asks them to return those coins?

They do what they want with the coins, from what I know.

No laws related to bitcoin? Taxes or otherwise? Free reign over what you do with all the coins you get.

[activebiz]

They should remain in ur account as long as the exchange is in business

[shorena]

No laws related to bitcoin? Taxes or otherwise? Free reign over what you do with all the coins you get.

Just because bitcoin is new does not imply that there are no rules. In germany bitcoin is considered a unit of account and thus there are laws. I imagine other countries have similar laws. Its not like bitcoin is the first kind of currency besides the official currency of a country. There are several other examples.

On the other hand the exchange can just declare bankrupcy like Gox.

[TrailingComet]

The xchanges and pools pocket these coins
In the end there is always beneficial ownership with somebody

[Flashman]

They are out of circulation for now. Some exchanges have a dead account policy, if you don't use it in xx months they charge a fee... which would probably eat a small balance first shot, and then the account would be closed. Some others, it could possibly just sit there for a couple of years until the place is dead or you log back in and claim it somehow. I think it will probably still be there in a year on BTC-e.

One way to claim some of the value may be to buy TRC or FTC and send that out. The withdrawal limits are somewhat based on that particular blockchains tx fees. (Sometimes what they were months ago, because they didn't change it)

[Divinespark]

They are lost forever, presumably

[bryant.coleman]

They are out of circulation for now. Some exchanges have a dead account policy, if you don't use it in xx months they charge a fee... which would probably eat a small balance first shot, and then the account would be closed. Some others, it could possibly just sit there for a couple of years until the place is dead or you log back in and claim it somehow. I think it will probably still be there in a year on BTC-e.

With bigger exchanges such as Bitstamp and BTC-E they might be OK. But smaller exchanges usually closes down within 6 to 12 months. The coins in them will be gone for ever.

[PerrythePlatypus]

They are lost forever, presumably

Not lost but rather given to the pool/ exchange owner.

[marife01]

I think those BTC left on abandoned accounts will remain there as long as it was not hacked. Also as long as BTC  is still online.