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Mt. Gox commences bankruptcy proceedings [pdf]
- blacktulip 13y agoSo does it mean my 20 btc is permanently gone?
- jrockway 13y agoGone? Probably not. In the possession of someone who will not give them to you? Probably.
- blacktulip 13y agoTo me they are gone
- serf 13y agoThat's true, but you asked a group of pedantic programmers.
- wmf 13y agoWhat do you think the trustee is going to do? Give all the remaining BTC to himself?
- jrockway 13y agoRight after he invents the quantum computer.
- matthewarkin 13y agoGone sounds so permanent, they're somewhere, will you be getting them back? Probably not. At most you might get ((sum of MtGox assets sold at liquidation prices) - (amount owed to non users, past due bills, etc))/(number of bitcoins they owe their users) * 20. Read: Not much
- InclinedPlane 13y agoYou gave control of "digital cash" to a fly by night internet company. What were you expecting to happen?
- aloksudhakar 13y agoI had 2 BTC and $6000 USD in mtgox.Will I be getting them back after the bankruptcy proceedings? Please someone explain me clearly.!
- crystaln 13y agoUnlikely. Some assets will probably be distributed to depositors, but chances are you'll get less than 10% if anything.
- aloksudhakar 13y agowell, the BTCs are stole, but what about the MONEY (USD) every users had in mtgox? Won't they be paying it back?
- matthewmacleod 13y agoAlmost certainly not.
- AndyJ1972 13y agoIn my experience a lot gets swallowed up my the trustees fees, and by lawyers chasing debts. Although in this case I can't see what debts might need to be chased.
- aloksudhakar 13y agoWell, let's wait and hear from Mtgox Trustee. I am losing my hope.! :(
- aloksudhakar 13y agoWell, let's wait and hear it from Mtgox truste. I am gradually losing my hope.! :(
- matthewarkin 13y agoBasically what happens under bankruptcy is the trustee sells all the assets of the business. From that revenue, the trustee pays any costs related to the administration of the bankruptcy proceeding, whats left over gets distributed to the creditors.
- pearjuice 13y agoThis is the easy way out for them. Instead of battling the unjust done to their users, they simply call it a day and leave millions of people with non-refundable money they were trusted with. I am absolutely certain the owners or at least an elite top at Mt. Gox have made a gain from this. Due to the nature of Bitcoin we will never 100% be certain where the coins exactly went, but it's highly unlikely they just vanished in air somewhere.
- nomailing 13y agoThat doesn't make sense. Due to the nature of bitcoin we might actually be able to know where the coins went. what do you mean by nature of Bitcoin? if someone steals yoir wallet, then due to the nature of your physical wallet we will never 100% be certain where it went. Due to the nature of Bitcoin there is a trace left in the blockchain.
- perlgeek 13y agoPeople keep saying that, and one would think that if it were that simple, and enough people lost money/BTC on the MtGox debacle, then someone would have gone hunting for it, and found it. I have read no report, so if it hasn't happened yet, why should I believe it will happen?
- danbruc 13y agoIt is that simple once you know all of MtGox addresses and transactions. But I doubt you will ever get that information, I even tend to doubt MtGox that MtGox has this information itself.
- eterm 13y agoNo it isn't that simple, because a 1BTC on a MTGox account isn't the same thing as 1BTC on the blockchain, if it were then Gox wouldn't have collapsed the way it did.
- 13y ago
- zo1 13y agoBankruptcy should mean that the individual(s) responsible for the debt need to be held liable for it indefinitely. Regardless if there is a corporation/LLC/company between the responsible individuals and the people that lost their money. As an example, the responsible individuals of Mt.Gox would need to come up with a repayment plan for every single penny/bitcoin that they still owe. The fact that it was "stolen" from them is irrelevant, as the users entrusted the safekeeping of their money/bitcoin to MtGox. If that means that they will continually have X% of their yearly incomes divied up amongst the users, then so be it. And this will continue indefinitely until the debt has been repaid. Sadly, this sort of solution to the problem would never be instituted in our society. Precisely because it exposes flaws in our concept of the relation between debt and slavery. In essence, it would put the individuals responsible for the fraud in a sort of indentured servitude until the debt has been settled. It does sound like quite a scary proposition, I'll be honest. As it's something completely alien to what we're accustomed to when it comes to debt/bankruptcy. But I assure you, if this were ever instituted, and a few individuals got bitten by it: Society as a whole will grow in a much safer direction, both with more security precautions when debt is involved, and with insurance to cover losses such as this. All that, without state intervention/bailout.
- AndyJ1972 13y agoIn the UK, if a company owner (Director) files for bankruptcy (Administration) then their conduct is investigated by the trustee and a report is sent to the Department of Trade and industry. If anything is found, said owner can potentially be held liable for debts, or at the very least be disqualified from running a LLC again. However, the owner can just then declare themselves bankrupt and escape making any payments, and use a puppet director in their next venture.
- danbruc 13y agoNobody would be willing to start a risky business if it could ruin you in case of failure.
- thaumasiotes 13y agoThat was the case for essentially all of human history, and remains largely the case today. Risky businesses have been starting, running, failing, and succeeding all along.
- mschuster91 13y agoWell, they likely want to turn the bitcoin assets still left in cash. But wouldn't a 150k BTC dump on the biggest exchanges literally obliterate the exchange rates, as well as massively devaluate the assets?
- broolstoryco 13y agoit would totally wipe the order books of all the major exchanges. Hopefully they will be sold privately.
- hga 13y agoOnly if the liquidation trustee is an idiot, and courts try to avoid appointing idiots to that position. The concept of suddenly dumping too much "X" on the marketplace is so well known I wouldn't expect this to happen in this context (compared to, e.g., some of the stunts the Congress pulled in the jihad against "junk" bonds and/or trying to "fix" the S&L crisis).