Never?
Why it should implode? Especially now that it is having huge success?
The fact that you cannot long what you want on them doesn't means they are "broken". It's like saying your internet connection is broken because you are limited in speed and you cannot download faster. Or the hard disk is broken because it only allow you to put 2TB of data on them (it's a 2TB one of course)
You obviously speak from a rich set of metaphors built from a broad life experience. I am awed by your attempt at reasoning. Awed.
Never mind that such an act by a licensed broker-dealer in the U.S. or U.K. could result in shutdown by the relevant regulatory agency. Of course, from the viewpoint of an investor in Bitcoinica it could certainly be construed as a technical act of bankruptcy, which would give them some out.
I don't know what the equivalent legal requirements would be in Singapore, would the operators of Bitcoinica be caned if they couldn't pay off the right officials?
We don't have a fully developed money market in the Bitcoin world, so technically we're not equivalent to a brokerage in the real world. We're brokerage-like.
Also, being shut down is not equal to bankruptcy, at all. We are still making profits everyday and we are more solvent than ever.
The red flag is a promised thing at the very beginning.
