$380 Million Virtual Currency Theft from MtGox Sparks Debate: Bitcoin or 'Sh*tcoin'?

$380 Million Virtual Currency Theft from MtGox Sparks Debate: Bitcoin or 'Sh*tcoin'?

The world’s largest bitcoin trading exchange shut down on Tuesday, sparking a massive sell-off that calls into question the long-term viability of the nascent virtual currency trade.

“This is extremely destructive,” risk-management expert and former Federal Reserve Bank Examiner Mark Williams told the Los Angeles Times. “What we’re seeing is a lot of the flaws. It’s not only fragile, it’s fragile as eggshells.”

The halt in trading occurred when reports hit the Internet that the Tokyo-based Mt. Gox bitcoin exchange suffered the theft of 744,000 bitcoins worth an estimated $380 million.

Internet currency forums are now asking the question whether “bitcoin” has morphed into “shitcoin.”

Others expressed optimism that the crisis will spawn better measures.

“I think it’s a significant event, but I think there’s a decent chance that it is part of what we would call this sort of shaking out of the industry as it matures and slowly becomes a little more regulated,” New York state’s top financial regulator Benjamin M. Lawsky told the New York Times.

Read More Stories About:

National Security, Reuters, New York Times


Comment count on this article reflects comments made on Breitbart.com and Facebook. Visit Breitbart's Facebook Page.

Like Breitbart on Facebook

BREITBART VIDEO PICKS

FROM THE HOMEPAGE