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That's when the bank goes out of business. Banks are hacked all the time the government does not (usually) bail them out.
by bitJericho 13y ago
That's when the bank goes out of business. Banks are hacked all the time the government does not (usually) bail them out.
- danielweber 13y agoYeah, normal robbery is handled with normal insurance. The police are called, a police report is made, forensic accountants determine how much got swiped, the insurance company writes a check. (I am not a banker.)
- stephenr 13y agoAh you are correct, FDIC/CDIC/etc do not in fact provide theft insurance, but you help with the point I was making though - Banks have been robbed for years, and individuals don't lose money when that happens (how could they? your deposit doesn't sit as cash somewhere waiting for you to claim it) According to the FDIC, for most banks theft is covered by the banks insurance policy (they refer to it as a "banker's blanket bond") which also covers loss (of money) by fire, flood, and even things like embezzlement etc. So until BTC exchanges/etc actually have insurance policies (literal policies, not figurative "insurance policies") the risk seems higher. Also worth considering - I remember reading about a bit coin site that uses a Safe Deposit Box to store the majority of its holding "offline", but safe deposit boxes aren't insured by either FDIC (even in the event of bank failure) or by the bank, so if their safe deposit box is breached (either as a theft or just damage) there is no safety net.