pretty sure that was a dig on bitcoin consultancy
if not, it should be taken as one
if not, it should be taken as one
That as well
Topic: bitfloor needs your help! - page 36. (Read 177467 times)
That as well
Maybe if he hired a team of security experts *cough* 
or maybe not...
With what money? Bitfloor was netting 0.3% per transaction, and its monthly volume was like 60k BTC. So it was profiting 180 BTC per month. That's not enough to hire even one security expert, let alone a whole team. or maybe not...pretty sure that was a dig on bitcoin consultancy
if not, it should be taken as one
Maybe if he hired a team of security experts *cough* or maybe not...
With what money? Bitfloor was netting 0.3% per transaction, and its monthly volume was like 60k BTC. So it was profiting 180 BTC per month. That's not enough to hire even one security expert, let alone a whole team. or maybe not...I know. Running an exchange with these financials is untenable. They should team up and go on IPO in order to get proper server infrastructure and staff, and ramp up to cover cost.
If they can't raise enough they shouldn't be running an exchange IMO. The same thing would happen. The standards for exchanges cannot be lowered this much, people expect their money not to go away and solvency to cover possible eventualities.
Personally didn't have enough bitcoins with BitFloor to warrant me pursuing this myself.
I would be surprised that nobody else cares though.
I would be surprised that nobody else cares though.
Technically you are correct. However I can verify that Roman is in regular contact with his largest depositors, and while I cannot speak for all of them, I do believe this will be resolved without a bankruptcy. give the guy a chance to make some calls and look at his options to bring in capital.
I am not sure if I could call myself his largest depositor, but I was trading on bitfloor regularly until the incident happened and I second opinion that he always acted in good faith so far (as far as I could tell), and he deserves a second chance
Maybe if he hired a team of security experts *cough* or maybe not...
With what money? Bitfloor was netting 0.3% per transaction, and its monthly volume was like 60k BTC. So it was profiting 180 BTC per month. That's not enough to hire even one security expert, let alone a whole team. or maybe not...
Crap, my entire bitcoin holdings down the drain (only 24BTC but still). And to think I was going to withdraw it all yesterday but procrastinated..
Please note that I have taken the website offline. I am consulting legal council about the current situation and will post once I have more details. I want to make sure the matter is handled appropriately given the financial situation the exchange is currently in.
The website was causing too much confusion in the current form and once I have more details I will post a very clear message for all users.
The website was causing too much confusion in the current form and once I have more details I will post a very clear message for all users.
Thank you for allowing ACH withdrawals.
Could you please allow trading to resume?
Could you please allow trading to resume?
Right now, any USD withdrawals are subject to the funds being clawed back if BitFloor is insolvent. So someone trading and then withdrawing bitcoins is better off (as bitcoin reversals are not reversible) than the party that withdrew USDs.
I hope for Roman's sake he either comes up with sufficient capital or if BitFloor is insolvent he gets legal advice before processing a single withdrawal.
Thank you for allowing ACH withdrawals.
Could you please allow trading to resume? Then the people who really want to get out will be able to sell their bitcoins (for a fraction of their price outside of bitfloor). And people who are speculating that things will turn out will be able to buy up those bitcoins and potentially make money.
I think this will reduce the amount of customer discontent.
The problem with this is that there isn't enough coins to cover all (any?) withdrawal requests.Could you please allow trading to resume? Then the people who really want to get out will be able to sell their bitcoins (for a fraction of their price outside of bitfloor). And people who are speculating that things will turn out will be able to buy up those bitcoins and potentially make money.
I think this will reduce the amount of customer discontent.
People can withdraw USD.
Say, I had 100 BTC sitting on bitfloor before the hack. You had 100 USD. I give you the claim to my BTC, you give me your USD. I withdraw your USD (since that part was not compromised, right?). You have the claim to the 100 BTC. If, at some point in the future, some or all BTC will be paid out, you will get paid for that claim. If not, you lose. But you went in knowing that it was speculative. So we're both happy (or happier).
Sorry to hear about that.
If security is verified by a trusted 3rd party I'd be interested in bonds should you choose to go that way.
+1 If security is verified by a trusted 3rd party I'd be interested in bonds should you choose to go that way.
Thank you for allowing ACH withdrawals.
Could you please allow trading to resume? Then the people who really want to get out will be able to sell their bitcoins (for a fraction of their price outside of bitfloor). And people who are speculating that things will turn out will be able to buy up those bitcoins and potentially make money.
I think this will reduce the amount of customer discontent.
The problem with this is that there isn't enough coins to cover all (any?) withdrawal requests. Could you please allow trading to resume? Then the people who really want to get out will be able to sell their bitcoins (for a fraction of their price outside of bitfloor). And people who are speculating that things will turn out will be able to buy up those bitcoins and potentially make money.
I think this will reduce the amount of customer discontent.
Knowing that they had an unencrypted wallet somewhere with ALL the funds, and ran the whole thing on a Linode VPS despite all past happenings, I find it really hard to consider a potential investment in Bitfloor other than extremely high risk.
This translates to an AA- rating in Harnettopia, so buyer beware
Thank you for allowing ACH withdrawals.
Could you please allow trading to resume? Then the people who really want to get out will be able to sell their bitcoins (for a fraction of their price outside of bitfloor). And people who are speculating that things will turn out will be able to buy up those bitcoins and potentially make money.
I think this will reduce the amount of customer discontent.
Could you please allow trading to resume? Then the people who really want to get out will be able to sell their bitcoins (for a fraction of their price outside of bitfloor). And people who are speculating that things will turn out will be able to buy up those bitcoins and potentially make money.
I think this will reduce the amount of customer discontent.
Knowing that they had an unencrypted wallet somewhere with ALL the funds, and ran the whole thing on a Linode VPS despite all past happenings, I find it really hard to consider a potential investment in Bitfloor other than extremely high risk.
It's sad because shtylman sounds like a really nice lad and the interface is well done, but obviously he's punching above his weight with the exchange idea.
Maybe if he hired a team of security experts *cough* or maybe not...
It's sad because shtylman sounds like a really nice lad and the interface is well done, but obviously he's punching above his weight with the exchange idea.
Maybe if he hired a team of security experts *cough*
or maybe not... Personally didn't have enough bitcoins with BitFloor to warrant me pursuing this myself.
I would be surprised that nobody else cares though.
I would be surprised that nobody else cares though.
Technically you are correct. However I can verify that Roman is in regular contact with his largest depositors, and while I cannot speak for all of them, I do believe this will be resolved without a bankruptcy. give the guy a chance to make some calls and look at his options to bring in capital.
I have put the website back online for users who have USD to request a withdrawal via ACH. If you choose to leave your USD funds in the account they will be available for trading once it resumes. I hope to resume trading later in the week.
If you had outstanding orders they have all been cancelled.
Once trading resumes, I hope to be able to start repaying BTC losses using the proceeds from fees. More information about this will be provided later.
If you had outstanding orders they have all been cancelled.
Once trading resumes, I hope to be able to start repaying BTC losses using the proceeds from fees. More information about this will be provided later.
wow, sounds like he's found an angel backer, maybe it's the hacker, at least that would help sort out basic security issues as he wouldn't want anyone else running off with his new golden goose
What makes you think that.
"repaying BTC losses using the proceeds from fees".
Well I hope he has found one or at least enough interest to expect one otherwise it would take forever to pay back from fees - I just don't think that would be realistic without someone buying in to the company
I have put the website back online for users who have USD to request a withdrawal via ACH. If you choose to leave your USD funds in the account they will be available for trading once it resumes. I hope to resume trading later in the week.
If you had outstanding orders they have all been cancelled.
Once trading resumes, I hope to be able to start repaying BTC losses using the proceeds from fees. More information about this will be provided later.
If you had outstanding orders they have all been cancelled.
Once trading resumes, I hope to be able to start repaying BTC losses using the proceeds from fees. More information about this will be provided later.
Who will cooperate in filing an injunction?
Unless an injunction is filed, there is about a quarter million USD worth of customer funds from BTC balances that are going to disappear as Roman is out of the country and he has announced plans to process USD withdrawals. i.e., those USDs are going to be leaving the BitFloor bank accounts very soon unless action is taken.
At least with an injunction, cents on the dollar (at the same level as USD depositors get) would be returned on those BTC balances.
Personally I don't have enough bitcoins with BitFloor to warrant me pursuing this myself.
I would be surprised that nobody else cares though.
+1 I agree with BitPay(Tony?)
On another note, it might be possible to raise funds with a bond or equity (preferred shares, maybe?) issue. Not sure about the legality, regardless BitFloor will absorb the lost coins but at least your customers will be satisfied imo.
Yes that's me.
Multiple options are being considered. First and foremost, Roman needs a written security plan. This is just processes and procedures, not passwords.
Beyond that, I have given Roman some ideas on how he can restart or rebuild Bitfloor stronger, but I will wait for him to review and circulate those ideas himself. Taking outside investment capital is not out of the question. He has the best technology of any exchange, and that is worth something to people looking to invest in this area. He also needs to learn from this and have the best security of any exchange.
Replace word "bitcoins" by "potatoes" and any judge will figure out on the spot what to do.
Potatoes aren't a digital construct thinly traded only on unregulated exchanges. I do agree that Bitcoin will need to be regulated eventually. It simply can't co-exist with fiat currencies without definition. However that day isn't today.
Of course. However, potatoes have value, they can be stolen too. Imagine a commodity exchange where you can deposit bags of potatoes that you and other customers have "farmed". Those potatoes can be sent to the exchange as well as fiat money (legal tender btw). Someone have stolen all the potatoes, exchange goes BK... Effectively a judge has only two choices:
1. Distribute all fiat back to depositors and leave potato sellers to hold the bag (an empty potato bag no less).
2. Value all the lost potato deposits in fiat, distribute whatever fiat left proportionally.
I bet it will be 2.
* ErebusBat steals the idea and runs off to create Potatoe-ville for facebook.
I have put the website back online for users who have USD to request a withdrawal via ACH. If you choose to leave your USD funds in the account they will be available for trading once it resumes. I hope to resume trading later in the week.
If you had outstanding orders they have all been cancelled.
Once trading resumes, I hope to be able to start repaying BTC losses using the proceeds from fees. More information about this will be provided later.
If you had outstanding orders they have all been cancelled.
Once trading resumes, I hope to be able to start repaying BTC losses using the proceeds from fees. More information about this will be provided later.
wow, sounds like he's found an angel backer, maybe it's the hacker, at least that would help sort out basic security issues as he wouldn't want anyone else running off with his new golden goose
What makes you think that.
"repaying BTC losses using the proceeds from fees".
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