Online wallet service mybitcoin.com disappears with $250k+ worth of bitcoins, claims hack
 

"Who is Tom Williams? MyBitcoin.com, which disappeared without explanation from the internet about a week ago, is back up with a messages ?From the desk of Tom Williams, operator of MyBitcoin.com.? The statement, labeled an ?incident report,? is the only live page on the site. MyBitcoin noticed a large amount of BTC missing, the statement says, realized its security had been breached, and pulled the site immediately. After investigating the hack, the statement says, the ?we? behind MyBitcoin realized it was bankrupt and ?would have to go into receivership.? There will be a claims process for reimbursing users, the statement says."

[...]

"MyBitcoin is based out of the popular off-shore banking hub of St. Kitts and Nevis, but vigilantes have fingered a group of Canadian hackers and the handles ?dalin,? ?nanaimogold,? and ?themadhatter.? The group has not responded to an interview request as of yet."

Full article:

http://www.betabeat.com/2011/08/05/m...with-bitcoins/

Wonder how much total bitcoins are gone, i've heard one account had 25000 BTC stored on there which is nuts.

kind of scary, why anyone would keep that much in there is nuts. There is an article from the guy that had all his transactions reversed for a serious amount of money when it crashed.

I closed the program after that.

I think that's probably what the $250k figure the article mentions was based on. There's no way to know the total sum of coins stored there, but some people came forward and revealed the large amounts they had stored there.

I wouldn't trust a third party with 25,000 BTC, if you're that incompetent pay someone $200 to install a bitcoin client and show you how to use it... :thumbsup

BTW, you still mining? I'm making about 1BTC every 5-6 days, and it's been consistent for about 4-5 weeks now, so I'm wondering if the difficulty levels are starting to stabilise. Is there somewhere to see a history of past difficult level changes?

secure bitcoins...

Bitcoin itself and its network is pretty safe and secure. The issue in all these incidents is personal and web based services security vulnerability. Bitcoins must be treated as cash, if your wallet is sticking out of pocket in crowded mall, you can be sure it will be gone. people never had to deal with security because previously there wasn't much to steal from their computers, with Bitcoin - not any more, if you keep stash of cash on your computer you better be sure it's safe, and be wary who you trust with your money.

the transaction reversal you are mentioning has nothing to do with bitcoin itself, bitcoin transactions are irreversible. there was hacker rundown on exchange and some of executed orders were fraudulent in nature - they were reversed. from my understanding this is also common practice in all other real world exchanges.

good excude for stealing money

i still dont even know what a bitcoin is..lol

Thank God I'm not the only one.

But I am smart enough not to leave a full wallet anywhere near the internet.

.

Wow, just noticed BTC is down to about $10.50. I haven't been keeping up with the market since I'm using a dedicated computer for mining, I just put my finger on the graphics card every now and then to confirm it's warm. Seriously. :1orglaugh

i'm taking summer break from mining lol, stopped somewhere between 1.3-1.5M difficulty. what's your hash rate?

i got on to exchanges and seeing if I can produce any little gains with trading - so far so good, i'm in the green *knock on the wood* =)

Bitcoins in "motion"

Wtf is bitcoin?

sure it was a "hack." thanks for the money suckers.

:1orglaugh

Another bitcoin success story

Hmmm...

http://propercloth.com/blog/wp-content/hmmm-254x300.jpg

MTGOX was an online marketplace for trading cards lol

this could easily happen with any of the pseudo banks floating around gfy too. watch out people...remember epassporte?

in motion !

This industry makes me laugh over and over. All of you stupid morons claiming that bitcoins were legit are owned. Dumb fucks. Trusting idiocracy. Stupid fucks.

ok let's try egold... :D

Any webmasters have a bitcoin payment method and an affiliate program? I'll promote. Talk to the guys at bit-pay.com to get a shopping cart set up. Instant payouts in cash or bitcions if you'd like from what I understand. no chargebacks.

but unlike cash, can't every bitcoin and transaction be tracked?

and now he'll take the price down on all markets until he sells all that BTCs for cash...

Bitcoins are equivalent to cash.

If you give your cash to someone else to look after, there's a risk they may never give it back.

It's the exchanges and third party wallets that are having all of the "security" problems, not the underlying bitcoin network itself.

you all shrug off the idea that the fatal flaw in bitcoin is the exchanges, but it is true .... as proved yet again.

you know that the cops will be running their own exchanges as well. if they don't already.

Anyone can be an exchange. Once bitcoins are spread around more you'll be able to buy and sell locally. You don't absolutely need exchanges for bitcoins to exist.

P.S.: my bitcoin wasn't an exchange.

I just updated my personal financial statement for my bank, there was no line for bitcoins. I'll bring this up next time we talk.

.

Haven't heard any stories yet where thief was found and stolen bitcoins returned to their owners.
I read in other forum that fbi cybercrime division is following mybitcoin story though, we'll see how it's going to pan out.

Bitcoin transactions are public, but they're just a bunch of numbers. There is no identifying information attached to them, so there's no guaranteed way to find out who the sending and/or receiving parties are in a transaction.

http://www.dw-world.de/dw/article/0,,15276051,00.html

Bitcoin not so anonymous, Irish researcher says

So whats your solution to the current monetary circus? (crickets)

bitcoin isn't anonymous at all if you want it to be worth something

as soon as you exchange the money and take it out you link it to yourself and leave a trail that's easy to see for example

http://blockexplorer.com/address/1DV...9MCxeGEtmMmQCh

you can see what wallets the money is going into and coming out of and if you follow it long enough you would be able to see them arriving at an exchangers bitcoin and thats who would have the info on identity

It's funny seeing all these bitcointards still raving about how great it is in a thread that just proves one of its hundreds of flaws.

Better than seeing someone faceplant off a bicycle.

What if you exchange your bitcoins with someone locally in a coffee shop?

like there never been runs on banks or like there never have been shady companies, billers, etc. before? so what exactly it proves? that whole currency is illegitimate because someone run away with bunch of money?

BTC now down in the $7's

I think it might be time to turn off my mining rig. :(

This. :2 cents:

This thread makes me smile.

The stupid thing is that people trusted mybitcoin.com with their bitcoins instead of having them on their own computer.

ha haha haha

if the trading gateways continually fold, get hacked, disappear the currency is all but dead.

you guys will never get that because you are not just using a currency you are part of an online cult. :2 cents:

Really wonder why there is so much hatred towards the bitcoin idea. Is it because you guys don't understand how it works? Whats wrong with another method of getting sales? Whats wrong with no chargebacks? The way bit-pay is set up, you dont even need to ever touch a bitcoin.

Looks like some people in adult are using bitcoins to their advantage. :)
https://bitcointalk.org/index.php?topic=32428.0

expand your mind idiot. just because you don't like a doesn't mean you like b. maybe i prefer c?

i hope to see more bitcoin like currencies in the future but bitcoin has some serious flaws that will cause it to fail. use some critical out of the box thinking that you guys always say that separates you from the "sheeple."

Obviously you're one of the people who don't understand how it works, since you think mybitcoin was an exchange. (yawn)

there is no flaws with bitcoin like many like to think, otherwise it would not lift of the ground at all.
people, services, exchanges - imperfect; does not mean cannot be improved upon.

yeah i got that wrong. i don't obsess about this shit like you do. sorry.

Thats pretty obvious, you remind me of this guy. lol
https://youtube.com/watch?v=R0CtyUKUbSw