Topic: The Bank of Bitcoin- The World's Most Secure Bitcoin Service- Unhackable! - page 8. (Read 6864 times)

An interesting idea, but it goes against some of the protections of having a paper wallet in the first place. The paper wallet idea is that the key exists only as a barcode on a piece of paper and has never been exposed to the internet at all. The best way to generate one of these is completely offline on a dumb printer. The best way to use them is as a savings account, and when you do a withdrawal, you pull the entire thing out all at once, transfer the part you want to spend to an active wallet, and put the rest back into a new paper wallet.

With this, your private key is probably seen on the internet at least once when it is created, and if they were unscrupulous they could store it there when that happens. Also, every time you spend money it has exposure to the internet. This is where the unhackable thing falls apart. If someone did get into their systems or into the system you use to scan your private key paper wallet in, then they can spend anything that you don't use from your wallet in that transaction.

So, if it's legitimate, it could be a slightly more secure version of the current online wallets. If not, they could be accumulating private keys until they get enough stored up that it's worth filching them all. The only way to be sure it's the former and not the latter would be offline generation of the paper vaults.

Kohloe, thanks for your input. "Bank" does have meaning outside of government control. I appreciate that you see the value. There are those who have failed- we are ready to demonstrate how we're doing it better.

Prs- Would love to answer that question.

You mentioned the Bitcoin client. Yes, you can download and install the Bitcoin client and do it that way. Here are the disadvantages:

Running Bitcoin software on your own computer or other device typically requires downloading the full Bitcoin "block chain". The block chain is the full history of all Bitcoin transactions which have occured since the inception of Bitcoin. This is currently about 7GB of data and growing quickly. Maintaining a full copy of the block chain requires an ever-increasing allocation of memory, and the constant downloading of new transactions makes it impractical (and essentially impossible for slower Internet connections).
Our solution is to download and store the block chain on our server. We use our memory and bandwith, thus freeing up your resources, making Bitcoin easily accessible to all.

Another major drawback of using Bitcoin is that if you want to spend or transfer Bitcoins to someone else, then you would have to do this from the same computer or device that they were stored on. If they were stored on your computer at home, you would not be able to send them from your computer at work, for example. If they were stored on a laptop or smartphone, then you would have to carry that with you in order to spend them from different places...and the loss, malfunction or hacking of that device would mean the loss of your Bitcoins.
Our solution is to provide an online service which allows you to spend you Bitcoins from any Internet-connected device (desktop, laptop, tablet, smartphone) anywhere in the world. You could receive Bitcoins using your laptop and later send them from your smartphone, for example, using the user-friendly seamless interface that the Bank provides. You simply log on and send the Bitcoins where you want them to go, without transmitting your Private Key over the internet.

An even larger drawback is the issue of security. As mentioned above, if you are running Bitcoin software on your own device and that device malfunctions, is hacked or is simply lost, then your Bitcoins are lost. Also, running the software yourself can expose your IP address to hackers, making yourself a target for their attacks.
The Bank of Bitcoin solution is to move your Private Keys to a form of storage which can't be hacked. If you decide to use an online service that does not give YOU complete control of the Private Keys necessary to access your Bitcoins (Mt. Gox, for example) there is always the possibility that the site can get hacked or shut down for any number of reasons (even by an unscrupulous site owner or employee) and your Bitcoins would be lost. This has actually happened many times to many Bitcoin services.

You can send Bitcoins to other Bank Members instantly and for free, and we are adding Merchant Services so online merchants can easily accept Bitcoin payments. The Bank of Bitcoins aims to provide user-friendly, convenient, and secure Bitcoin access and storage to the masses.

It's a Idea with value some others already had. And failed.

However. Please stop calling it "bank". No one wants to associate a bank with decentralised bitcoins.

Yep, my message was to a earlier post.

So what services does this site offer? I can't find any. It seems to just be a client-side wallet with the ability print your private key. Nothing the standard bitcoin client doesn't already do.

If you really see what's going on, you'll see there is no scam- just a good idea, and one that can inspire confidence in the Bitcoin fear-mongering skeptics, especially the ones that have no idea from a technical standpoint what they're talking about.

Kruncha- This is actually my first account, but my partners have been registered which is how I knew to post here. For the record, I did not do all of this by myself, but they want to stay behind the scenes for now. It's argued that because it was my idea, I have to be "the face".   As you can see, it's a joy as expected.

Scab- I'm not really clear on why lots of previous posts equals legitimacy, perhaps that reflects my noob status. And I'm not a dude!

Welsh- Check out the site, that's exactly what we allow you to do. Unlike other Bitcoin services, you and only you store your Private Keys. Most people don't use Bitcoin, let alone know how to use it. The Bank of Bitcoin provides a seamless, user-friendly way to create Paper Wallets and to accept payment, spend Bitcoins, and to transfer to other members out of your Paper Wallet (what we call Paper Vaults). We don't claim to keep them, we don't (and can't)! The idea is that you keep your Private Keys safe. At the same time, you don't have to run Bitcoin software, and creating the Paper Vaults takes seconds. Furthermore, as a Bank Member, you can spend your Bitcoins from any internet-connected device, given you have your Private Key on you. Convenience, security, and control of your Bitcoins. That's the idea.

Coming from a dude with 12 posts il pass

Haha, they maybe "unhackable" but that doesn't mean they can't be stolen, private keys have to be stored somewhere, and I HOPE they don't have them on their computer in a database, because they are hackable then.

A bit of friendly advise, I wouldn't trust a bank for Bitcoin, this is my personal opinion.
But I think it's a valid argument, I believe Bitcoins are very safe if you store your paper wallets yourself.
Why would you trust another person who claims to keep them 100% safe.
Yet, this person could just run off with your coins, when really there is no need for this.

Let's face it, most people have enough logic to use paper wallets and store them safe, either in your personal safe or in a EVEN more secure location.

Cranky? You wouldn't like me if I'm cranky. 

Apologies oh cranky-one :p

So what presence have you been using on this site? - would go a long way to proving your credibility.

K.

Good to be sceptical but even better if you could provide some reasoning for why you think it's a scam.

OpenYourEyes-

I hope to open your eyes in time! 

I wasn't expecting trust, but as a skeptic myself I know that is healthy. Keep checking in!

OnlyC- Only if you store your Private Key properly.

Bitcoin is secure enough.

The password rules, to my understanding, were set to thwart hacking attempts- though I will have to check on exactly why those particular characters aren't allowed. It may be a technical or security issue. 

The website, our server, your PC indeed can all be hacked. That is why it is so important to 1) Have access to your Private Keys (something that other Bitcoin services do not provide) and 2) Store those Private Keys in your Paper Vaults (similar to the Paper Wallet, learn more here: https://en.bitcoin.it/wiki/Paper_wallet)

When we say "You can't hack paper", it is meant to convey that you are not storing your Private Keys on a PC or on a server. Doing so is exactly how so many have lost their Bitcoins.

I think once more people understand how to safely store their Bitcoins, the less critics will have to say about Bitcoin as a currency. The Bank of Bitcoin will hopefully not only serve you, but serve to enlighten the media and the masses about how Bitcoin ownership should work and to assuage their fears. 

This screams "scam" to me, but hey I could be wrong.

Why do you disallow ' and \ even in passwords? And a 32 char password is also not allowed because it doesn't contain a special char?
No website / server / pc is unhackable. Thats technically not possible...

Just wondering about your password policy and "marketing slogan", maybe i'll give it a try

Regards,
BK

Explodicle, there are two types of storage: Active Storage and Paper Vault. Although the Active Storage provides ultimate convenience, we advise keeping as little of your Bitcoins there as possible (or to transfer Bitcoins to Active Storage out of your Paper Vault only when you need to) for the simple fact that those Bitcoins are indeed handled by the Bank, and if the Bank server is hacked (despite our best efforts at security) they could be lost. Active Storage is appropriate for storing smaller amounts of Bitcoins, much as you would typically keep smaller amounts of spending cash in a physical wallet.

More here: https://thebankofbitcoin.com/docs/storage_types.php

Our website supports the highest level of encryption available and we hope to increase security as word of mouth spreads, and membership increases. We always advise keeping your Bitcoins in the slightly less convenient Paper Vault, for the same reasons that got BitFloor hacked. The trade-off is the time it takes to manually enter your Private Key.

The Bank of Bitcoin keeps the block chain on our server. You never have to download the client, but you can always verify transactions in the blockchain.
"Running Bitcoin software on your own computer or other device typically requires downloading the full Bitcoin "block chain". The block chain is the full history of all Bitcoin transactions which have occured since the inception of Bitcoin. This is currently about 7GB of data and growing quickly. Maintaining a full copy of the block chain requires an ever-increasing allocation of memory, and the constant downloading of new transactions makes it impractical (and essentially impossible for slower Internet connections).

Our solution is to download and store the block chain on our server. We use our memory and bandwith, thus freeing up your resources, making Bitcoin easily accessible to all. " - from  The Bank of Bitcoin website, article "Why You Need Us"

Inedible, great advice that I will not take lightly. As this was my idea, I am determined to see it through at least as much as the others involved. The Bank of Bitcoin does has a physical address, but tying up some loose ends on the legal side before I start making that public.

Greyhawk, my work experience is in financial services. I have never sold a product like that in my life.

One of the most telling bits about what we're doing is that we have no control over your Bitcoins in the Private Vault. It's not like other services who have been allegedly "hacked" with nothing more than a "Sorry!" to give. We can't take your money if we wanted to - which I understand we have to prove as much as humanly possible that we don't want to. We'd rather be in business. But, it's up and running and anyone can see for themselves exactly how it works.