Bitfloor status update - September 6, 2012 - page 2.

Joe200

sr. member

Activity: 317

Merit: 252

Quote from: Domrada on September 06, 2012, 07:54:54 PM

Or allow them to be traded for bitcoin.

Also, I don't think it makes sense to suggest that he should redeem them for less than face value. If they trade for less than face value, he can buy them himself at market. As he buys them back over time, they should approach parity.

Right. That's what I meant.

It's a good idea to allow them to be traded for bitcoin but it would require adding a lot of new functionality to bitfloor, since there would be 3 currencies: USD, BTC, and BTC IOU's. Roman probably doesn't have time for that...

Domrada

sr. member

Activity: 254

Merit: 250

Quote from: Joe200 on September 06, 2012, 07:39:37 PM

Roman,

Thank you for the update.

Right now, the bitcoins that people thought they had are really bitcoin IOU's. It's not clear whether and how much you will be able to pay on these IOU's.

Have you considered allowing trading in these bitcoin IOUs? Allow people to buy and sell them for USD. I think this will be good for everyone.

- The people who want to get something now will be able to sell the bitcoin IOU's for USD. You will no longer owe anything to them. And they will be happy they got something.
- The people who believe that you will repay something at some point in the future will buy up the IOU's. They will be happy to wait. Since they know it's a speculative investment, they won't complain if you repay less than face value.
- You will be able to buy back your debt at whatever the market price will be, which will be much less than face value. You'll reduce your exposure from $250k to something much less.

Thoughts?

Or allow them to be traded for bitcoin.

Also, I don't think it makes sense to suggest that he should redeem them for less than face value. If they trade for less than face value, he can buy them himself at market. As he buys them back over time, they should approach parity.

Joe200

sr. member

Activity: 317

Merit: 252

Roman,

Thank you for the update.

Right now, the bitcoins that people thought they had are really bitcoin IOU's. It's not clear whether and how much you will be able to pay on these IOU's.

Have you considered allowing trading in these bitcoin IOUs? Allow people to buy and sell them for USD. I think this will be good for everyone.

- The people who want to get something now will be able to sell the bitcoin IOU's for USD. You will no longer owe anything to them. And they will be happy they got something.
- The people who believe that you will repay something at some point in the future will buy up the IOU's. They will be happy to wait. Since they know it's a speculative investment, they won't complain if you repay less than face value.
- You will be able to buy back your debt at whatever the market price will be, which will be much less than face value. You'll reduce your exposure from $250k to something much less.

Thoughts?

peasant

sr. member

Activity: 272

Merit: 250

Cryptopreneur

I'll wait for that moment. For now my bank account is calling my USD. I have an inflating power bill to pay.

bbit

legendary

Activity: 1330

Merit: 1000

Bitcoin

Good luck! you had a great service!

shtylman

sr. member

Activity: 243

Merit: 250

Quote from: SkRRJyTC on September 06, 2012, 05:49:03 PM

Any idea when trading should resume?

I have USD on Bitfloor but havent sent in ID. Ideally I would want to buy BTC.

There is no estimate on when trading will resume. If you have USD and wish to withdraw it then you should follow the details listed on the website.

Stephen Gornick

legendary

Activity: 2506

Merit: 1010

Quote from: shtylman on September 06, 2012, 03:47:36 PM

I have filed reports with the FBI and the IC3 regarding the theft. It was a cybercrime and as such am following up with the proper agencies to attempt to track down the perpetrator.

I bet they've got someone who has been just itching for a set of blockchain data tied to identities, to use in matching up BTC withdrawals from a U.S.-based exchange against addresses associated with SR:

- http://www.BlockViewer.com
- https://bitcointalksearch.org/topic/announce-blockviewercom-visualize-the-bitcoin-block-chain-103609

SkRRJyTC

legendary

Activity: 1008

Merit: 1000

Any idea when trading should resume?

I have USD on Bitfloor but havent sent in ID. Ideally I would want to buy BTC.

SgtSpike

legendary

Activity: 1400

Merit: 1005

While I don't agree with the decision to allow ACH withdrawals (and I rather doubt its legality), I do appreciate you keeping us informed, and making the choice to do what seems right to you. I do hope that you can keep the site running, and eventually pay back the BTC to those whom it was stolen from.

unclemantis

member

Activity: 98

Merit: 10

(:firstbits => "1mantis")

Quote from: freeAgent on September 06, 2012, 05:33:10 PM

Quote from: unclemantis on September 06, 2012, 05:30:17 PM

For what it is worth I had 1.24564999BTC in my account at the time of the theft. How do I donate these coins to the restart?

I'm pretty sure that's what was stolen.

Anyway, good luck on getting Bitfloor back up and running!

Let me rephrase. I will match the amount that was stolen out of my Bitfloor account twords the restart.

Roman, do you think this is a good idea? Please post an address in response. I am in this for the long haul and these past 24 hours I have been acting very ugly and unfaithful.

Does anyone agree? To me being ugly and the idea I have?

freeAgent

sr. member

Activity: 240

Merit: 250

Quote from: unclemantis on September 06, 2012, 05:30:17 PM

For what it is worth I had 1.24564999BTC in my account at the time of the theft. How do I donate these coins to the restart?

I'm pretty sure that's what was stolen.

Anyway, good luck on getting Bitfloor back up and running!

unclemantis

member

Activity: 98

Merit: 10

(:firstbits => "1mantis")

For what it is worth I had 1.24564999BTC in my account at the time of the theft. How do I donate these coins to the restart?

unclemantis

member

Activity: 98

Merit: 10

(:firstbits => "1mantis")

Quote from: shtylman on September 06, 2012, 03:47:36 PM

The past few days have seen much speculation as to what is going on. I have waited to post updates until I had a clearer understanding of how to move forward.

After careful consideration, ACH withdrawals of USD from Bitfloor will soon be re-enabled, with details to be posted on bitfloor.com. You are welcome to continue keeping your USD funds at Bitfloor if you choose to do so. I feel that this is the first step in rebuilding the reputation of Bitfloor and regaining the trust of the community. As I have previously stated, all USD funds are available as no theft of USD occurred.

I have filed reports with the FBI and the IC3 regarding the theft. It was a cybercrime and as such am following up with the proper agencies to attempt to track down the perpetrator.

Finally, I am pursuing all avenues for keeping Bitfloor operational and serving the needs of the growing bitcoin community. I appreciate the support I have received from many over the past few days and will keep everyone updated as new information is available.

cheers,
~Roman

Giving the OPTION to ACH USD transfers puts my mind at ease. I may just keep my funds with Bitfloor until trading resumes. All i wanted was the option to withdraw and have CONTROL of my USD funds. I have been given this option and I am at ease.

Thank you Roman! Again, if there is anything I can do that falls into my skills set let me know. Pro-bono of course!

jwzguy

hero member

Activity: 868

Merit: 1002

Quote from: TangibleCryptography on September 06, 2012, 04:11:43 PM

We never had any doubts Roman. I hope bitfloor can emerge from this stronger than before.

I can't speak for everyone here (although the trolls and idiots were probably never customers to begin with) but a wholehearted +5 from my corner.

Severian

sr. member

Activity: 476

Merit: 250

Quote from: shtylman on September 06, 2012, 03:47:36 PM

I have filed reports with the FBI and the IC3 regarding the theft.

Highlighting this for the doubters out there.

Thanks for the update. I look forward to doing biz with you all again.

TangibleCryptography

sr. member

Activity: 476

Merit: 250

Tangible Cryptography LLC

We never had any doubts Roman. I hope bitfloor can emerge from this stronger than before.

peasant

sr. member

Activity: 272

Merit: 250

Cryptopreneur

Good luck, and hopefully you can keep the site going. Thanks for the update.

TehZomB

sr. member

Activity: 294

Merit: 250

Quote from: shtylman on September 06, 2012, 03:47:36 PM

After careful consideration, ACH withdrawals of USD from Bitfloor will soon be re-enabled, with details to be posted on bitfloor.com. ... As I have previously stated, all USD funds are available as no theft of USD occurred.

Glad to hear it.

Best of luck resolving your situation!

shtylman

sr. member

Activity: 243

Merit: 250

The past few days have seen much speculation as to what is going on. I have waited to post updates until I had a clearer understanding of how to move forward.

After careful consideration, ACH withdrawals of USD from Bitfloor will soon be re-enabled, with details to be posted on bitfloor.com. You are welcome to continue keeping your USD funds at Bitfloor if you choose to do so. I feel that this is the first step in rebuilding the reputation of Bitfloor and regaining the trust of the community. As I have previously stated, all USD funds are available as no theft of USD occurred.

I have filed reports with the FBI and the IC3 regarding the theft. It was a cybercrime and as such am following up with the proper agencies to attempt to track down the perpetrator.

Finally, I am pursuing all avenues for keeping Bitfloor operational and serving the needs of the growing bitcoin community. I appreciate the support I have received from many over the past few days and will keep everyone updated as new information is available.

cheers,
~Roman

Topic: Bitfloor status update - September 6, 2012 - page 2. (Read 7717 times)