O lawd how the mighty fall. Hilarious to watch.
Funny how people think of something that could potentially be nefarious for bitcoin as hilarious.
Mtgox losing market share is hardly nefarious. Its great.
You are not still holding funds on Mtgox are you? Please say no.
Outside of Japan, only the bravest day trader (not the brightest, because they aren't even trading with margin) would spend anytime on Mtgox. It is the most expensive exchange with the worst customer service and obviously the worst underlying banks behind it.
There is no justifyable reason to trade or buy there.
A lot of USD users have funds stuck in Gox, whether they like it or not. Not everyone is able to precisely time the market to get out with a minimal loss. Nor can whales justify selling at a big loss on bitstamp. If they were to go down, a lot of funds would go with them, and that would only confirm the dangerous nature of ANY bitcoin exchange to potential newcomers, scaring them off. So yes, I think it would be nefarious to bitcoin as a whole if the largest exchange were to go down. Maybe you should look at the bigger picture of all this.
I personally applaud Gox for sticking through all of this. Even though they are not transparent, I believe they have no choice in doing so. If they were to make an announcement detailing all of the bank problems/lawsuits they are tangled up in, it would most probably cause a market panic. I believe that behind the scenes, they are making strides to solve all of this. Remember, Bitstamp is in just as big of a danger to have their accounts closed at the whim of new regulation coming through in regards to bitcoin. From what I've read Gox is trying to obtain bank status, which could potentially solve all of their problems. Contrary to Bitstamp, which is operating in conjunction with a bank.
A lot of USD users have funds stuck in Gox? Why? They have had ample time to buy BTC, move the BTC to another exchange and sell for a profit. The market is up over $100 in the last month. If they have $$ in Mtgox its because of a combination of greed and/or stupidity.
Whales can't justify a big loss? A big loss of 5% (a loss that is actually off the top of their profits, not an actual loss)? Really? Come on. Again, only greed and or stupidity would make that true.
The exchange going down? Why would that happen? They are making profits every day. There are helluva lot of Japanese traders in Mtgox getting their money within 3-5 days. I've personally spoken to many of them.
As far as Bitstamp is concerned, I believe they have already stated that they have redundancy in their banking.
I see you guys saw my post in reddit
Upvote for more visibility http://www.reddit.com/r/Bitcoin/comments/1pn16k/the_tide_is_turning_3d_average_volume_1st/
