Topic: Mt GOX starting to die? - page 2. (Read 4197 times)

Yes, first you throw them sticks between the legs and then you close it because they hobble. 

When people start filing complaints with the US SEC and the Japan Financial Services Agency, that will happen.

Gox is neither a car nor a bicycle; it is an Undead, a Zombie. It is an analphabetic construct that is not able to give support and informations to their customers for weeks and months.
If I would serve my customers this way with robotic copy/paste 'answers', I would be forced into bankruptcy long before.
Companies with such service have a high probability to go bankrupt.



Pure guessing. You should write: If Gox will be able to solve its problems ....

When I read these threads about Gox, then I guess that the smart money left this place already. The remaining money is the dumb money.

Think what you want, but you only concerned with relative values. The market volume is very small at the moment.   

In some situations a bicycle is faster than a car in city traffic. But no one would argue that a bicycle is generally faster than a car.

As soon as we are back on the highway, you will understand what I mean. Once Gox has solved its problems, we will have again trading volumes as seen earlier this year. Bitstamp missing the money and the trading engine for that. Bitstamp's just a bike.

For Gox it is crucial that they can work with their old business partners together again. Especially with Dwolla. This can happen very quickly. I think later this year. They are now registered and once all the formalities are cleared it continues.

It's not the others; it's you. The volume of the past is irrelevant. More and more market share is travelling from Gox to Bitstamp - the last 30 days Bitstamp had already nearly half the volume of Gox - if you still didn't realize it.

If they use Gox, they either have exclusive contracts for getting their fiat out, or they have deep investor pockets and are trying to cash in on the spread.

What are the other possible explanations for these services continuing to use Gox?

 


That's exactly what I've written.

They all no longer use Gox, but they do not produce obvious volume on their new places of activity. => quod erat demonstrandum  

Coinbase, Bips and Bitpay simply have no appreciable volume. All what they have are loud-mouthed press releases which make clear how important they are.  

I am aware of both. But the volume changes rapidly while the USD ratio in contrast remains constant. And as long as this is so, nothing changes. Gox had from January to April more volume than Bitstamp throughout its whole lifetime. As long as the ratio does not change and (much) more FIAT is flowing to Bitstamp you'll never see large volumes on Bitstamp. It's amazing how little you and others know about very basic economic effects. The trading volume is just almost irrelevant, except for the fact that it is very low.

What we see at the moment in economics it's called the "network effect". Everyone is waiting for Gox. And as long as that is the case there will be no increase in trading volume.

See:

http://en.wikipedia.org/wiki/Network_effect

And yes, "everyone" is now working with Bitstamp. Bitpay and all the others. The strange thing is that the volume still remains puny. Could it be that there is no real businesses with Bitpay and all the others? How much volume do they have in a month? It must be a subset of the volume of Bitstamp ... oh my god ...

Could it be that Bitcoin is used 90% for speculation?

For sure: 90% of speculative fiat employed is lying on Gox.

I still can't believe you are talking about order books.... look at VOLUME or better said, ACTUAL TRANSACTIONS!

You're a few months late, but welcome to Bitcoin nevertheless.

You can bet on it. The cumulated bids from the order books:

Mt.Gox: 14,433,186 USD
Bitstamp: 1,324,419 USD

GoxUSD/BitstampUSD Ratio: 1:11

I felt like they had their chance, and their fate is a result of their performance.  I think they could've handled the business much better.

I actually developed a lot more confidence in Mt. Gox when they were notably hassled, and would be happy to see them remain a strong player if they can pull it off.

Just recently I decided to cash out a small fraction of my BTC and decided to bite the bullet and trust them with my identity documentation.  Unfortunately since my drivers license contains a P.O. box in addition to my physical address (common in my rural area where people use the local post office due to mail theft and vandalism) Mt. Gox rejected my verification.

I'm not sure if Mt. Gox overlooked my that my physical address existed accidentally or purposely wish to have excuses for rejecting verification.  In any event if they cannot help me I will have little choice but to take my business elsewhere.

I feel for Mt. Gox and the heaps of trouble foisted upon them by the powers that be, but whatever their actual disposition, the fact that they are under pressure makes it dangerous to keep either fiat or BTC on account with them.  Nothing personal, but one must watch their own asses in this business.

I only submitted documentation last night and got a rejection response in a timely manner which I appreciated.  I've asked them to look again and it is not realistic to bitch about a delay and poor communications yet.  I've seen a lot of complaints about delays from Mt. Gox (and others) and there are only some many weeks in a year so it does not make much sense to defer taking action on looking around for alternatives.  If indeed Mt. Gox is not anxious to verify people and thus allow them to proceed with actual fiat withdraws it is not a good sign.

---

BTW, anyone who wants to buy BTC in the 100-200 range (for now), see my post in currency-exchange section.  I planned to do it person-2-person if I can find a counter-party, but with appropriate escrow it could work to go with a remote transaction of some sort.  I'm in no giant hurry and can accept transaction latency as long as it is theoretically impossible for there to be theft or fraud.

Good to hear, sounds like a lot of people are moving away from Mt Gox, seems they are holding the market far too much.

Hmm, indeed it appears bitstamp US volume has skyrocketed eating Gox share (I haven't been paying attention)
However that press release says they won't use gox to "determine the exchange rate" doesn't say they aren't using them at all. They may have gigantic darktrades with Karpeles still.

Anyways this can only be good news if Gox is actually dying

If they allowed the deep pockets to withdraw USD or EUR, CAD, AUD etc in a timely manner we would not have the spread because of arbitrage. Furthermore this would actually help the little guy who has fiat trapped in MTGox since they could purchase BTC, withdraw and sell somewhere else without having to pay a 10-20% penalty. If volume is really the issue then expediting the "deep pockets" will go a long way to solving this problem.

I doubt it, if anything they get more idiots everyday singing up to use the service. I'm guessing they have fast fiat transfers for their big customers like bitpay and other 6 figure daily traders, then just screw all the little people looking to get out small change because it's too much work for them to push some buttons and send a xfer.

    ..

It is all based on faith.  If everyone lost faith in Gox tomorrow, the price would skyrocket on Gox, while depress prices on other exchanges.

Interesting