WHERE IS OUR MONEY: $473 Million In Bitcoins Vaporized As Mt. Gox Exchange Files Bankruptcy
February 28th, 2014
Due to inherent problems within the exchange mechanism used to trade the Bitcoin crypto-currency, the Mt. Gox exchange has closed up shop and filed for bankruptcy. Some $473,000,000 worth of BTC has simply vanished in what could be one of the largest digital heists in history. Investigators in Japan are inquiring into the unregulated exchange and the U.S. Federal government is also looking into it, but because of the nature of Bitcoin itself the money is, for all intents and purposes, gone. The operator of the exchange Mark Karpelès, who may or may not be involved in the disappearance of user funds has apologized for “causing trouble.”
If you don’t hold it in your hand, there is always the possibility of counter party risk, as is clearly the case with the Mt. Gox Bitcoin debacle.
Thus, we urge readers to take steps to, at the very least, diversify their personal portfolios into some form of physical goods, be it food, gold, productive real estate or other assets that will maintain some semblance of value in the midst of a crisis, lest you end up facing this: