CRYPTSY STAKES POS COINS (XST)!!!!!! EXPOSED! w/ links

[moonchaser]

Fine! Thanks for the info.

[defier]

Well something must be working right with the crptsy XST wallet.  It was staking on at least Oct 13.  Since we received our coins in our cryptsy wallets, on maturity, 3 days later.  

The wallet has been down since the shadowcoin fudstorm.  So a couple of weeks now.  That kind of staking while holding all of our coins in an online wallet would build up a helluva lot of minted coins.  Possibly enough to manipulate the market.  IF MP was doing that with the VERI wallet before the hack, it would sure explain why so many weren't in cold storage.

Since the XST wallet is in permanent maintenance we can't do anything except let cryptsy mint money off of our coins.  Artificially pushing down the value with so many being minted, on hostage coins.

I generally try to not go all tin foil hat like.  But DAMIT even for the day or 2 MP2 was up, they had a working XST wallet.  Cryptsy's had weeks and here we sit... waiting.

[Edit] which sucks as I've staked since POS began, and cryptsy is getting the coins I should be earning.  I keep a round number on the exchanges to buy and sell with the waves.  Sending any extra coins back to my wallet.  So far the only one earning interest on my Cryptsy XST purchases, is Cryptsy.

[mullick]

Well something must be working right with the crptsy XST wallet.  It was staking on at least Oct 13.  Since we received our coins in our cryptsy wallets, on maturity, 3 days later.  

The wallet has been down since the shadowcoin fudstorm.  So a couple of weeks now.  That kind of staking while holding all of our coins in an online wallet would build up a helluva lot of minted coins.  Possibly enough to manipulate the market.  IF MP was doing that with the VERI wallet before the hack, it would sure explain why so many weren't in cold storage.

Since the XST wallet is in permanent maintenance we can't do anything except let cryptsy mint money off of our coins.  Artificially pushing down the value with so many being minted, on hostage coins.

I generally try to not go all tin foil hat like.  But DAMIT even for the day or 2 MP2 was up, they had a working XST wallet.  Cryptsy's had weeks and here we sit... waiting.

We were not staking while the wallet was offline for 3 day. We were trying to sync the daemon.

I had to write a script to restart the daemon every 5 minutes in a infinite loop to get it past all the invalid blocks.

The reason all those blocks popped off is because it was down for so long. As soon as i opened it with the standard staking=0 and not the required stake=0 the blocks flew in until taken offline again

The reason other exchanges didnt have the issue.....They didnt redownload the blockchain

[defier]

Ok we'll be there/here waiting.

[bassguitarman]

Don't keep coins on exchanges.  The end

[Spoetnik]

This is nothing new. When did Cryptsy ever state we do not stake coins? Some coins we do, others do not stake well. Some coins have bugs where even when you turn staking off they stake (XST). Some use so much CPU its not worth staking them.

In our Terms of Service https://www.cryptsy.com/pages/terms

28. Staking Interest

Some Cryptsy wallets may provide staking interest rewards. Any staking rewards, conversions, snapshots, or likewise will become the property of Cryptsy.


Though I wont say how many coins we keep in cold storage. Obviously those do not stake.

Edit:
Would you mind removing Exposed from the title. Since there is nothing exposed. Its always been publicly stated, and is spelled out in the Terms of Service. Do not mind the discussion, but your implying its a conspiracy.

aside from any of my other unrelated past opinions/comments about cryptsy or other issues with them..
i have to agree with BJ here.

#1 = what he said is spot on.

#2 = i commend his effort to 'ask' you nicely to edit the title.
       this is a reasonable request in my eyes.. nothing is being exposed, instead this is pretty much a common sense issue i think.
       and you spelled exposed wrong LOL

a fractional reserve accusation on here is off-topic and going to be unprovable true or not.
so harping on that is really not fair guys.

So yeah i back him on this because it's what seems like the right thing to do.

@OP, i have nothing against you at all and i encourage you to do what ever to keep tabs on the Exchange.
This is actually a good idea people ..for ANY exchange !

I am just trying to throw my 2 cents in here unbiased.

ALSO i find it hard to believe that every single exchange does not operate the same way.
and the other guys comments are spot on too like what about BTC pools or keeping large amounts of coins on exchange sin the first place ?

consider this.. they would prob have to have a float set aside for withdrawals right and then stake what is saved.
other wise guys may not be able to get coins out AND they would have issues staking. with coin age being low with coins moving in an out constantly *automated
most coins need to be in your wallet for a min amount of time etc right ?
..this may explain why all of a sudden deposits are randomly frozen on various exchanges occasionally.
they may be stuck scrambling to move coins from their reserve they are staking on to a float for withdrawals..
and again this i not a Cryptsy issue but a global exchanges system one !

[Spoetnik]

It's the Dumbass PoS supporters/developers fault. PoS=Piece of Shit and rightly so.

This.

Oh, PoS so so good, yummy yummy in my tummy... people just don't want to decentralize... bitcoin is wasted on their puny minds...

These people are the ones voting for socialists to raise their pension. They just don't understand that quantity != value.

Let's just sit around doing nothing, surely that merits rewards...

can you tell that part i quoted and underlined to the HYP IPO'd coin guys harping it's so great  

[Spoetnik]

bittrex doesnt stake?

unless they stated pubclicly they do NOT i think it's safe bet they do in fact stake coins like any exchange would.

i have no problem with them doing it so long as i can get coins in and out of the exchange in a timely fashion.

and if they are caught sinking coins with 51% attacks then oh well they will get caught eventually maybe and ruin their rep.

[defier]

bittrex doesnt stake?

unless they stated pubclicly they do NOT i think it's safe bet they do in fact stake coins like any exchange would.

i have no problem with them doing it so long as i can get coins in and out of the exchange in a timely fashion.

and if they are caught sinking coins with 51% attacks then oh well they will get caught eventually maybe and ruin their rep.

Agreed, other than the possible massive conflict of interest.  IE: XST takes 3 days to mature.  It was #1 in volume for several days on trex.  Hard for coins to reach maturity, with all that volume flying about.  Maintenance would be a sure way to stabilize the wallet for a few days, and start staking.  "Hey don't mind us, we're just working on the wallet... for a few weeks."

The wallet has been locked down since that sdc rampage almost 3 weeks ago.  Coincidence?  I hope so, but wikilieaks has destroyed any trust I once gave people.  Anyone is capable of anything and then lying about it.  Especially those in charge.  Cryptsy has been known to ninja add coins for no apparent reason.  So there's obviously some kind of a back door there somewhere.  Could that that door be used to cause harm?  Only they know.

Even self admitted noobs claim this was a very easy wallet upgrade.   And the Stealth devs stepped up personally, to help those that needed extra attention.  Didn't take but a couple of hours and Mintpal 2 had a working XST wallet.  Nothing else worked, but they did have that.


Was Mintpal staking VERI, before the theft?  Is staking the reason they had 8 million of their customer's coins in an online wallet?  
Anything can happen.  From "good ole boy" business practices, to bad security, to a disgruntled employee.  

The takeaway?  Once sent to an exchange, "your coins are belong to them!"  They can do with them as they please.  As has happened many times already, You may never see them again.  Trading = Much Risk.  Not just selling low.

[worle1bm]

Kudos to Cryptsy for getting on here and handling the criticism, nicely done.

[MetaMorphius]

This is complete and udder bullshit that these exchanges risk other people's coin on online wallets and such to stake the coin to get free interests. They get enough in their transaction "fees".

[Bolomir]

BitJohn mullick and Spoetnik, you have prepared answers for everything, the problem is that your answers are matching only partially.
BitJohn is blaming a xst "bug" (which by the way is total BS) mullick partially admits that they should have followed the documentation in proper manner and Spoetnik says that BitJohn is "spot on".
The real facts are that no other exchange had this problem and if they had any, certainly it didn't take them weeks to fix it and the xst accounts were not frozen for so long.
Second you claim to know where the problem is for 2-3 days now...and still xst is frozen along with the wallets.
This looks more like you've been staking xst coins in your wallet and you linked users accounts to that wallet and all the mess is solely your own fault.
I have no problem with you staking that coins (I don't know how ethical is that) but at list stop blaming XST for this mess and take all the blame on yourself as you should from the beginning.
There is no need for me to prove my words. The prove is out there. No exchange has this huge problem with XST, but you, meaning that you are the only exchange that messed up things and there must be a reason for that known only by you.
Not even at this moment you are able to say when the wallets will be back. All you give is ambiguous answers.

[omegaflare]

Why are you shocked?

Of course they'll get free stake of millions of pos coins'.

Because most of idiots keep their coins at exchanges....

^^

QTF!

[efoxxi]

I still have this issue. Deposited on 11th October 2014. My ticket:
https://cryptsy.freshdesk.com/support/tickets/162246

My transaction in blockchain:
http://explorer.argakiig.us/tx/388a2082205407efbe53b9ec36a849dc5ce5a394a76d5a7a35e330172686baf0