Paul,
Here's another option. Sell the company - 100% - to the customers for the amount of the shortage. Distribute ownership to the depositors based on what they have trapped in the company. Then reset all balances in cryptsy to 0 and the new cryptsy get a new CEO and reopen. All coins on balance go into the exchange's reserves. Over time, cryptsy can buy shares back using it's profits. You never come back to the US again and you hold no business interest in Cryptsy.
Your liability is with the depositors. Turn the company over to the depositors. You can do this today and nobody has to wait two years for a bankruptcy proceeding.
If you are a depositor and would rather wait 2 - 3 years for a fraction paid at bankruptcy, speak up.
Thanks for expanding on my initial idea that the users who have lost their coins should own Cryptsy. But what I had envisioned would be that these are shareholders who can actually make a profit later now too and keep their BTC and LTC to be paid back over time with trade fees. Divided up but now large holders get larger shares of the profits later once topped up. They deserve this extra profit too since their funds are frozen and they couldn't sell with them in the open markets. And they were lured into an insolvent exchange to top it off.
Obviously someone reputable would have to implement the system and make it so that funds are safe.
An Angel investor won't buy the 10,000 BTC and 300,000 LTC since the funds would just leave the site and never return. And they would have to do business with current management.
Allowing the community to own and operate Cryptsy makes it so that there is a possibility of getting their coins back through trading. Traders could at least risk some exposure at first to test it out and most of the people on the site are those who have BTC stuck there so it is actually a huge market to trade inside. Since all of these users are coming back for sure when controlled and operated properly. You now have stabilized the problem and attempt to grow from it to benefit the people who have their funds stolen. They own the sucker outright as a group right now anyways! It was their funds and there is no FDIC Insured status and Cryptsy would have had to been audited to get insurance and that company would have prevented the entire fiasco since they would have measures in place and possibly be a part of the Multi Sig on the Cold Wallets too.
Gleb could be the new CEO
Peonminer CTO
Spoetnik PR and Snackbar attendant...
A possible reason the BTC hasn't moved is that they can leave the coins there past a statute of limitations and wait it out? Not Moving the funds might have been the smartest play. As they are not traced and could be used years from now when BitCoin is at $2000 per coin and all the heat is off of them.
I also had an idea I call BitMarshal that tracks all reportedly stolen funds (Large Validated Transactions with High Exposure) and can alert any wallet that it has accepted Stolen property. So that they can return the funds and not trade with the sending party, once the funds hit an Exchange they are taken and sent back. Only problem would be if the funds are never spent or only sent to exchanges with wallets that don't use BitMarshal or who don't abide by it. Cryptsy would have to stay open to then disburse the funds back to the rightful owners. So the actual accounts would have to stay as they are but could be earning against their negative balance as time goes on. Big problem was that trading was allowed to continue and more people got stuck in the middle as time went on.
Any insider could have used the opportunity of not coming forward with the Hack to get their coins out on the incoming BTC deposits, leaving unsuspecting depositors holding the bag. Technically it doesn't even have to be an insider just luck that they leave during that period of time and someone else takes their place. Not coming forward makes it seem like Cryptsy had to let their insiders get outside first.
