> And fiat currency starts looking better all the time. The fact that the most powerful security mechanisms aren't even applicable to digital currency should be

> And fiat currency starts looking better all the time. The fact that the most powerful security mechanisms aren't even applicable to digital currency should be a huge red flag. You could make similar arguments about security on the internet compared to physical security in the real world. The recent Target credit card theft, for instance - it's unlikely that the thieves could have appropriated 40 million credit card numbers by physically taking them! > Short the exchange rate + significant DDOS attack on the exchanges = millions in free money. That's just a for example. It doesn't even require explicit crime on the bitcoins themselves, and can be done at a safe remove through multiple cutouts. Sure, but you could achieve a similar effect by attacking an internet retailer and shorting their stock. It's also a lot easier to short stock, which is a shame, as shorting typically reduces price volatility.