Wednesday, February 26, 2014

Bitcoin Exchange Goes Missing

Timing is everything, as the saying goes. On Tuesday, February 25, exactly one week after I ran my blog about the risks of Bitcoins,  Mt. Gox, one of the larger worldwide exchanges, turned off the lights on its website exchange. For those who kept their electronic accounts with Mt. Gox, this is equivalent to me wandering over to my local Wells Fargo Office ATM and discovering it and the bank were no longer there and there is no FDIC insuring my savings.

Here’s an article from Reuters with a bit more information, but by the time you read this, it may be out of date.

This may be a temporary situation done to protect the website from hackers. Or it may be something worse. I have not a clue. Regardless of the final outcome, my conclusion from the earlier article stands: “While I’m waiting to see how that turns out, I won’t be holding bitcoins. Too much risk.”

~ Jim

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