News - Compromised Bitcoin account leads to run on market

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Major exchange sees price drop from dollars to fractions of a cent.

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Read more.

I'm surprised more accounts were not used as part of the fraud - since I got this email this morning:

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Originally Posted by mt.gox

Our database has been compromised, including your email. We are working on a
quick resolution and to begin with, your password has been disabled as a
security measure (and you will need to reset it to login again on Mt.Gox).
<snip>
Please accept our apologies for the troubles caused, and be certain we will do
everything we can to keep the funds entrusted with us as secure as possible.


The leaked data includes the following:

- Account number
- Account login
- Email address
- Encrypted password

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Now to remember exactly which password I used for my account and to start changing it..for the second time this year now after the Sony Fiasco!

I'm confused.. what is Bitcoin? Some sort of internet currency that can be exchanged for cash?

Yes.

i still don't understand why people pay cash for it, whole thing just seems loopy!

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Originally Posted by Biscuit

i still don't understand why people pay cash for it, whole thing just seems loopy!

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Allegedly because it's an anonymous currency, with which it's easier to get hold of illicit material.

And some people probably made a fortune, buying at approx $7 and selling at $30.

I wouldn't, but I can see why people have done and will do.

Think of it as like cash but that you can send it internationally in about 1 hour.
It's hard to trace but not impossible like cash. It can be laundered like cash. It can be used for good and bad things like cash.
Like many things you can buy with cash, it is going through a huge speculative bubble. Like any speculative bubble, there are those that are insistent it isn't. and those that keep predicting the pop tomorrow.

Hmm fascinating. Not for me though!

Saying it's worthless is just like saying cash is worthless, which it actually is; people give it a value and accept that value. Are you loopy for selling £1000 worth of hardware for some inked paper?