Topic: Proof of Keys is coming. One exchange is going to fail. Stay safe, take action. (Read 329 times)

They've been wounded, but let's make sure it is the death blow.

74 BTC and dwindling. More trading pairs going offline.

SPREAD THIS.

An interesting development. But it can make a positive contribution. Hitbtc has recently been wounded in this regard. Everyone has to pay more attention to security. New developments are happening but there is another issue The intentions need to be good. Blockchain is a revolution or the mainstay of new ponzi systems.

There's an easy way if the melts bother you. Choose Dex Exchanges. Your money stays in your wallet!

If you think this isn't resulting in anything, you're wrong: https://twitter.com/Raindropactual/status/1206413497925390337

HitBTC's BTC wallets have continually drained over the past days, currently under 90 BTC collectively. There has also been a huge uptick in selective scam reports from people on Twitter, Reddit, and their own Telegram channel. Also, some trading pairs have mysteriously "gone down for maintenance" -- AKA, HitBTC liquidating those shitcoins to get a little more BTC to pretend to be operational.

With a strong push from the community, we could make HitBTC too insolvent to even pretend to be functional.

Strike now.

None of the exchanges you cited are more scammy than HitBTC.

I'm not doubting your commentary on Yobot, but Bittrex is far from "scammy." Provide anything to dispute that and I'll review it. Same for Poloniex -- and I have my disagreements with some of their recent decisions, but if "scammy" is defined as insolvent/selective scamming, no.

Apathy of others isn't an excuse for yours. Make people not blind to the warnings. I seem to have more faith in your abilities than you do.

you are focusing too much on a single exchange while there are so many more exchanges that are a lot more scammy than HitBTC such as Yobit, bittrex, poloniex,... and there are indisputable proof of their scams. but guess what, nobody cares and they still keep going back to these exchanges and get scammed!
events like Proof of Keys are just social media drama that achieve nothing as long as people are blind to the warnings.

The amount that participate depends upon the amount that care enough to spur such participation. If I had to guess, if 10% of the wider industry/cryptocurrency users were aware enough to participate, it'd be the end of HitBTC. It's totally achievable. This isn't isolated to Proof of Keys, either. If more people were warned about Bitconnect (and heeded those warnings earlier,) the fraud wouldn't have gone on as long and less people would've been burned.

It sounds like you disagree with some elements regarding Proof of Keys, which would be a whole other debate. However, if you can't get behind folks running the hell away from HitBTC, well... oof.

i am talking about the market disruption that such actions would cause and the fact that it will not solve anything at all. it is not about "moonlamboprice" but it is about price. lets take a look at the event.
what is it trying to prove? insolvency of exchanges. how many would participate? 1%? 5%? 10%? 100%? i'd say it is small around 5%. even the worst exchange at the brink of extinction could pay that many users and fool everyone that everything is OK! so what would be the result of the event? it proved that an insolvent exchange is not insolvent! all the while create some unnecessary transactions on the mainnet (ie. spam) twice, once when they withdraw and another time when they re-deposit.

now lets say bigger percentage like 80% participated. the result would be to prove a single particular exchange is insolvent but also it will create chaos in the market as now the remaining 20% control the price. they can easily push it in any direction they want, you can wake up and see price has gone up to $18k or has dropped to $3k because there is no support or resistance anymore as 80% of the market has abandoned it.
and not just that, every single exchange out there would start having problems as they can't pay all their users right away since they keep most of their coins in cold storage that takes time to retrieve.

that is why i don't see anything good coming out of this... but i guess we will see once again how the results of it are going to be in a month from now like last year

Over/under on "partners" of HitBTC bailing over the next month? 

Nobody is saying to stop trading completely, or to disavow from all exchanges.

Proof of Keys suggests to withdraw from exchanges, sure -- but does not say to do so permanently, nor to stop trading.

The particular undertaking I'm advocating for is a lot more specific.

The fact "nobody cares" (which isn't true -- this has gotten a fair bit of traction, but perhaps you're remarking on the ratio of interest on this topic relative to moonlamboprice talk) is a problem in the industry.

Your analogy has zero foundation.

nobody in the community cares about this event because it is very flawed, verging on idiotic.
it is one thing to tell newbies not to "store" their coins with third parties when they don't control the keys, but it is another to tell "everyone" including traders to stop trading and pull their coins out of exchanges for no reason!
it is like telling everyone not to go out of the house because they may have a car accident!!!

More and more people on Twitter have had fraud prevented by many people (possibly including some of you) sharing this piece.

Let's keep up the momentum. This is our moment to demonstrate our industry is no longer in infancy. Take the 30 seconds and do something for our industry that will echo in eternity.

Fair observations about the apathy demonstrated by many cryptocurrency users in past years. Why not change it this year, though? HitBTC is likely at a level of insolvency where an adequate amount of action could be the final nail in their coffin.

Coinbase actually started to move its cold wallet holdings around the time proof of keys was announced. It happened well before the actual event, probably to let people know they are in control of all people's funds so that they don't have to withdraw any funds themselves.

https://blog.coinbase.com/notice-of-blockchain-movements-b09cb1ec46dd

I find it hard to believe that it was coincidence. It could be, but the timing was very suspicious. I however don't think we'll see them do something similar this year. They must have noticed that there isn't much community support for such an event. You'll only see so called Bitcoin maximalists bark on social media, but I'm quite sure they aren't withdrawing funds themselves.

For the record though, here is a nice discussion on previous proof of keys event.

Tomorrow is "Proof of Keys Day".
Proof of Keys / Proof of Trust / Bitcoin Independence Day

And yes, after this event, nothing will happen eventually, people will continue to go on with their 'normal lives' here in crypto. As for HitBTC, it has a lot of accusations in the past, so I don't know why people continue to trade on it.

Nothing happens until something happen just like the case of cryptopia. P2Pb2b is something where the group of users finally found something to nail the owners because they were caught having fake member profiles in their website. This is a sure way to see they can potentially scam people. HitBTC I guess can defend itself because if they were up to exit, they would have done it while BTC was $20k. But its true we see scam accusation to hitBTC, not sure if it were proven.

it's a nice idea, but i don't think proof of keys has ever had much of an impact. in fact, i recall a scandal around this year's event where hitbtc froze accounts the day before: https://bitcoinist.com/hitbtc-trace-mayer-john-mcafee-keys/

but after a couple days, everyone forgot about it and things went back to normal.

i've been warning people away from hitbtc for a while, but experience has taught me that most people won't learn until an exchange fails or exit scams with their money. until that happens, people just don't understand the gravity of the risks they are taking by storing funds on exchanges.

Last time this was done, no exchange went down. So it was either not successful in it's goal or the exchanges outsmarted the customers.    You

cannot do this without the support of a LOT of people or the whole experiment would be useless. It also expose a lot of people to a lot of harm,

because these exchanges has to pull more coins out of cold storage and it makes these exchanges more juicy targets for hackers. So, be careful

with all the withdrawals, it might do more harm than good. 

Can't remember the last time I use HitBTC, I can't say they are scam because I got all the funds I have. No more no less. Since the time exchanges asks KYC I started using two exchange only and hitbtc isn't one of them. But I might just need them one day.

I'm curious how they scammed OP though because if its his $150K that's been frozen, I wanna hear what HitBTC had to say.

This.

At this point, it's not just on HitBTC -- but as the publication discusses, the entire industry.

If a blockchain project (ICO or otherwise) lists on HitBTC, now that this is public knowledge, they're essentially saying "we don't care about the risks to users of our coin/token, nor the problems HitBTC poses to the industry."

There are numerous other listing options, some of which are cheaper. It's fairly likely, at this point, if a project can only get listed on HitBTC, it's because they failed/would fail due diligence of reputable exchanges. A red flag in and of itself.

HitBTC is one of the worthless exchange in this industry full of fake trades and volume. It's so shameful how people are taking advantage of the blockchain industry to commit all these scams. Project managers should make the necessary research about exchanges before listing their coins over there because so many coins have lost their value when listed on HitBTC because of its low fake trading volume.