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back to article Bitcoin bank Bitcoinica still titsup after cyberheist

Bitcoin exchange Bitcoinica remains offline following a hack against its systems last week that resulted in the theft of digital currency valued at approximately $90,000 (£56k). The digital currency exchange took its servers offline on Friday following the discovery of a breach on Friday, as a statement on Bitcoinica's website …

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Anonymous Coward

"Bitcoin exchange Bitcoinica remains offline following a hack against its systems last week that resulted in the theft of digital currency valued at approximately $0 (£0)."

There, fixed it for ya.

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Hey, there's a multi-million pound market for Warhammercraft stuff with people playing tons of cash for stupid spells and other guff.

What was my point again, err.. damn kids and their gameboys these days.

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Anonymous Coward

Still a load of nonsense

It was a load of nonsense when it started and it's still a load of nonsense.

Every time these big losses/hacks occur, it just reinforces what a stupid idea bitcoins are.

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Just like the stockmarket

You do realise that people buying guff based on hype about it's value is pretty much the same system as the stockmarket. You think Facebook has $100 billion in assets or potential earnings?

This is why our economy is in such a state at the moment because bankers are playing a game with virtual items that don't have the tangible worth to back up their value.

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WTF?

Bitcoinica a bank? WTF?

Bitcoinica isn't a Bitcoin bank - it was an exchange that offered shorting of bitcoins. Sheesh, get it right.

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(Written by Reg staff) Silver badge

Re: Bitcoinica a bank? WTF?

The article clearly states it's an exchange. For the purposes of a punchy headline, it's a bank.

C.

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Joke

Re: Bitcoinica a bank? WTF?

Surely it's only a bank when the taxpayer has to bail it out for cock-ups like this?

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Coat

I heard that

It was virtually possible to rob this bank!

Mines the one with...whaddya mean it's gone?

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Sir

Can anyone explain (as if to a 2 year old please) *exactly* what has been stolen.

Are they little text files with 'I promise to pay the bearer 50 BitCoins' and digitally signed or something?

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Anonymous Coward

Re: Sir

Yes. In exactly the way that £20 in your wallet is a little paper note saying "I promise to pay the bearer £20".

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Anonymous Coward

Re: Sir

Yes, but government backed currencies are just that, the promise means something. (I accept it doesn't mean you're getting gold, as most countries don't operate gold standard, but you will get your money back if a bank crashes or is robbed.)

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Bronze badge

Re: Sir

Pretty much. Basically they stole the digital keys that prove they own the Bitcoins. At which point, they would have no doubt used those keys to send them to another account. So it's kind of like if someone hacked into a bank and made an unauthorized wire transfer. Except with Bitcoin, being peer-to-peer, no central authority has the power to say "Whoa! Stop that put 'em back."

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Re: Sir

" Yes, but government backed currencies are just that, the promise means something. (I accept it doesn't mean you're getting gold, as most countries don't operate gold standard, but you will get your money back if a bank crashes or is robbed.)"

A promise from government means something? Thats news to me.

If money is stolen from your wallet, you aren't getting it back unless you catch the thief. Having the bank or FDIC insure money you keep in the bank is a service issue, not a currency issue. Here, bitcoinica will absorb the loss, and the customers won't lose anything, as long as it isn't bad enough that they go out of business. And its not a good idea to keep all of your coins on an exchange, it is for trading, not a bank.

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Anonymous Coward

£90k of bitcoins stolen ... sounds like the Greeks just got their Euro replacement ready!

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Happy

Anyone else get the image of Snake from the Simpsons wandering up to a PC, inserting a USB stick and uttering his line, "Oh yeah, download to papa!"?

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Happy

I would have had that image had this been 1997 and not 2012 - in my eyes the Simpsons started to suck ass as they say, around that time!

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WTF?

Why?

Could someone explain why I would want to purchase a BitCoin. is there a purpose to it other than finding new ways to lose money.

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Bronze badge

Re: Why?

Well no. It's a currency, the only purpose is to spend it.

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Re: Why?

It has the same purpose as any other form of money - to buy things with it. And it's usefulness depends on how easy that is and the range of things you can buy with it. It's still in beta though, the latest version of the bitcoin software is at version 0.62 I think. Unless you like playing with new software, you might want to wait a bit till they get the bugs worked out.

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Thumb Up

Once again, an article shows us just how completely retarded the concept of bitcoins is.

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Anonymous Coward

They're only 'retarded' if you treat them like a stable government backed currency. If you treat it like a peer to peer paypal service it makes a lot more sense. Only convert cash to bitcoins when you need to pay for a service and if you receive them for a service you provided, cash them out straight away. Don't store your life savings in bitcoins and don't try to make cash by playing the exchange rate game.

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Upside

What I see as a good thing here is that these operators cannot rely on feds with guns hunting the intruder, but rather have to invest in proper security practices. And give example to the rest.

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Holmes

Guess who else is anonymous

Want anonymity? Well... you're not the only one getting it. The bad guys get it too. Now go find them. Oh, that's right: you can't. You could camp at all the exchanges and see how converts your stolen bitcoin to cash, but that's not enough to declare the seller as being the thief. And you can't even get 4chan ( http://gawker.com/5626105/4chan-on-the-hunt-for-puppy+throwing-girl ) to hunt them, nevermind the authorities.

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Trollface

They might as well rename them Lolcoins

Also hang a sign up at the exchange "Days since last pwning"

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Windows

Can you spare a few bitcoins for a 69'er?

Mine were stolen when I was jumped at the Beuna Park Red Roof Inn (CA, USA), after I met a lady at the bar. We went to my room for some "entertainment". When I came to, she was gone and so were my bitcoins!

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bc are useful...

...for buying things that you would prefer nobody could ever find out that you had bought. Simply, like bit torrent, it is a perfectly good system that can be sued for anything but one that is best used for less than legal transactions.

If your in favour of anonyminity then bit coins are for you.

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Meh

Re: bc are useful...

You obviously don't mind not being anonymous do you mr...bexly is it?

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no crime

I do not think the bit coin was made legal tender yet?

Untill then how can it be a crime?

But maybe a lawsuit could be made against the person who hacked a computer to steal information.

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