Topic: Getting used to frequent down-time and exchange closures (Read 655 times)

The "new" reality of Bitcoin seems to be frequent down-time at all exchanges and that one has to expect them to close down completely at all times.

Not that this is new, it just seems to be happening very quickly and more frequently than before.

We still don't have any exchanges seeking anything close to a transparent business model.

All of the exchanges are dubious as in they could be run away with the btc, get closed down by governments or be engaging in serious market manipulation at any time, if they are not already in the process of doing so. Bitfloor is closed, Bitcoin-24 is closed, Mt.Lag's Polish bank account is frozen along with Bitcoin-24's.

At the same time, enough people have come to realize the potential of Bitcoin and it's irrefutable logic. For the last few days the balance between a creaking infrastructure and an astronomical future valuation seems to be $120-$130 - about halfway between the peak and the old long term price.

I think Mt.Lag should go public with a very large portion (eg 75%+) of their shares on a reputable stock exchange. This would prove valuable transparency and make it extremely difficult for anyone to simply run away with the BTC. Also I imagine it would be a solid move away from a magic the gathering exchange towards a real high-powered currency exchange.

If either Mt.Lag or another company does this it would be easy to monitor them, it would be easy to transfer new skills, new CEOs, , CFOs, CTOs or any staff as needed - not to mention something like a $20m+ of capital in one swift go. Bitcoin has already proven it could easily reach $2bn (of which $20m is only 1%) in total value...with good infrastructure there is little stopping it from going way beyond. But we need a solid company with plenty of money that is run as transparently as possible to be ensure the main hurdle - exchanging between fiat ant BTC.

If not Mt.Lag then some other exchange, but it has to be a publicly listed company with a diverse ownership submitting to all the rigors of law and the regulations of major stock exchanges. Also being able to raise capital through issuing stock is the only way to be ahead of market demand for BTC exchange. Only relying on transaction fees means that one will always need more volume to get more money, but more volume will cause down-time and exacerbate the process.