MtGox Files For Bankruptcy Protection Today, Says May have Lost All Customer Bitcoins

A tragic end to the down-spiraling MtGox saga, as the company has today filed for Bankruptcy protection, and said it may have lost all of its investor’s Bitcoins due to hackers cracking into its faulty computer network systems, dispelling rumors that they may have access to a portion of the funds.

The firm’s CEO Mark Karpeles said at a Japanese news conference regarding the companies demise, point blame at “a weakness in our system,” as quoted by Rueters, and told the news conference that MtGox wanted to file criminal complaints against the alleged hackers but had no specific means to make a basis for the charges.

The Tokyo-based exchange was once the world’s largest Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term venue, and the events of recent weeks that have now led to the company’s bankruptcy had sent shockwaves through the bitcoin community and through the crypto-currency world as other leading digital currency contenders seek to build credibility in the acceptance of the new-age method of electronic currency.

According to the filing MtGox had liabilities of 6.5 billion Yen or roughly $63.67 million, and assets of only 3.84 billion yen (nearly half its liabilities), and 127,000 creditors in the bankruptcy, a thousand of which are Japanese customers. An un-confirmed document circulating on the internet claimed that nearly 750,000 bitcoins could be at stake at Mt. Gox, worth over $400million at current rates, a loss that could ripple against clients involved who may now become creditors seeking a settlement.

The filing isn’t’ exactly like a Chapter 11 under US code, as in this case it’s filed under Japanese Law, and may be worked through for some sort of resolution between affected parties.

Just yesterday Japanese Vice Finance Minister Jiro Aichi had said, “any Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term of the bitcoin crypto-currency should involve international cooperation to avoid loopholes.” In addition, on Thursday, in front of a Senate committee, Federal Reserve Chair Janet Yellen said that the fed has no jurisdiction over bitcoin but that Congress should consider ways to regulate such virtual currencies , also quoted in the press.