Jun 19, 2011

[BREAKING] BIT-CON: Biggest Bitcoin exchange hacked. User database leaked. Bitcoin market flash-crashed. Great revelation on phat rich Bitcoin "pwner"!

This is bad news, but also a great revelation about the distribution of Bitcoin possession: Some hacker tried to cash out half a million of bitcoins, at least 261k of it at $0.01 from a single stolen account crashing the bitcoin market from about 17 USD to 0.01c in a few minutes. Now MtGox is locked to everyone until further notice.

Here is a direct download link to the Mtgox user database as a proof of the above:

This seems some serious hacking attack, especially in its potential consequences, possibly by some evil entity hostile to the bitcoin project.
Alternatively, someone suggested the possibility of a "false flag" by Mtgox
Recently however, several Mtgox users lamented funds stolen from their accounts and/or ppl locked out from their Mtgox accounts:
Mt. Gox: If your coins were stolen, please write here

If your Mt. Gox account has been compromised, PLEASE READ.

It seems that MtGox refuses to assume responsability for such events, so IMHO it may be better to stay at large and use only alternative, widely reputed exchanges or traders OTC.

Moreover the event revealed that a single user owned about 8% of the 6.63 millions of currently existing bitcoins, so this person had quite some power to move the Bitcoin market around as he pleased, while it remains a mistery how he acquired a such large sum (likely not by just "mining").     

Just to have a scheme of reference for how immense the inequality in BTC distribution this means, consider this:

Bill Gates Net Worth: $56 Billion: 2011
Total global wealth: USD 195 trillion

That is several orders of magnitude (thousand times) less than the 8% of the pie owned (pwned) by the mysterious, obscenely rich Bitcoiner (Bitconner?).

I've been quite enthusiastic about Bitcoins until I knew this. Too much advantages for "early adopters" to not smell, sound, and taste like a Ponzi, where insiders "early adopters" of "monies" pulled out of their asses backed by nothing but the processor cycles of others who pay the electric bill, get 90%+ of the dough for free just for fooling hordes of suckers wannabe speculators attracted by the price inflation caused by the tulip-mania. 

Consequently, my recommendation is to not touch Bitcoins with a ten foot pole, unless their price collapses to a tiny fraction of dollar cent that they had at their origin. And even then, be very ready to lose all of your investment in bitcoins at any time.


Was any account actually hacked? Or was the system itself compromised? 

George Clooney roils the Bitcoin market

Kevin Day, New Bitcoin Multimillionaire worth 5 Million dollars
This is very interesting. He claims he bought 250,000 bitcoins for .01 each, and

he is not a hacker.
Someone sold 500,000 bitcoins at once, from one account that may have been 


Problems are arising with mt gox story.

Mt Gox wants to rollback, but of course Kevin is against it.
Mt gox claims someone hacked into account A, then sold off coins, then tried 

to buy them back. Apparently Kevin beat them to it.

But Mt Gox claims different. ?


Wait...  there is more incoming:

Someone Offering TradeHill BitCoin User/Pass hashes Now...
tradehill bitcoin exchange user/hash passes out now
unsalted, email for details

 I'm Kevin, here's my side.

 Hacked Account Owner: is a Buddhist Monk

It's obvious MagicalTux is the user who had his account hacked!


Huge crash and compromised data on MtGox

Video: Mt. Gox / Tradehill “press conference” over massive hack and selloff going on right now.


"backyard" "bank holiday" "Change" "Jewish Achievements" 1984 1st Amendment 2nd amendment 4GW 4th Reich 7/7 9/11 abiotic oil abuses of power ACTA Afghanistan AfPak Africa AFRICOM agenda 21 al-CIAduh alternative currencies American revolution anarchy apocalypse Argentina ARTICHOKE Asia Asian Energy Security Grid assassinations asteroids austerity AWOL ballistic missiles B/S backfire bad cops bailout bailout scam bank nazionalization banksters big oil big pharma Bilderberg Bin Laden biofuels biological warfare biological weapons biological weapons research bioterrorism bird flu bitcoins black ops Blackwater Brazil BRICs Brzezinski bubbles cap and trade capitalism carbon credits carbon tax carbon trade cash nexus cass sunstein casus belli CDS Central Asia central banks CFR Cheney China CIA CIA assets civil wars class conflicts class structure class warfare climategate COINTELPRO collapse Color revolutions COMEX default communism community currencies Congo conspiracies conspiracy theories Constitution Copyright corporate "personhood" corporate law corporatocracy corruption countercoup counterinsurgency Coup D'etat covert agents covert operations covert ops covert war covert warfare coverup crazy lone gunmen crimes against humanity currencies currency war dancing israelis David Kelly dead microbiologists death squads debt debt bondage debt bubble debt monetization debtors' prisons deep politics default deficit deflation deglobalization deindustralization deja vu delocalization democracy depleted uranium depopulation depression deregulation derivatives detentions Detroit devaluation devolution dictatorship Dimitri Khalezov dirty tricks dirty wars disaster capitalism disaster management discovery disinformation dissent diy diy currencies DMCA drones drugs trade DU dystopias eastern europe ECB eco-fascism economic cycle economic hitmen economic warfare Egypt electromagnetic weapons electronic surveillance elite consensus elitist propaganda Ellen Brown emerging markets end game energy engineered clusterfuck Ethiopia EU EU666 eugenics euro eurocracy eurocrats europe fake bonds fake democracy fake gold fake revolutions fake terrorism false flags fascism fascism 2.0 FED FEMA FEMA death camps fiat money Finance Capitalism forecasts ForeclosureGate foreclosures FOREIGN TRADE ZONES Fort Detrick fractional reserve banking France fraudclosures fraudonomics frauds Free books free money free speech freedom Fukushima funny money G20 gatekeepers Gaza genocides geoengineering Geopolitics Germany Ghana ghost towns Gladio global currency Global warming hoax globalization GMO gold gold manipulation gold standard Goldman Sachs golpe google Grand Chessboard great depression 2.0 great game Greece Green shoots greenbackers Guantanamo Gulf of Tonkin gun ban gun control Guns H.R. 45 HAARP habeas corpus hackers Haiti Halliburton happiness health health care bill health care reform hemp heroin high frequency trading historical cycles history hitler hoaxes Honduras House Bill 1796 how-to human organs trafficking human rights Hungary hunger hyperinflation ICC Iceland Illuminati IMF imf riots immigration imperialism incoherence income distribution income tax India inequalities infiltration inflation inflationary depression information war insider trading insolvency instability insurgency intelligence International Criminal Court international political economy internet censorship internet warfare ior IP IPCC Iran Iraq Ireland IRS Israel israeli assets Israeli firsters Israeli killers israeli lobby Israeli Organ Harvesting israeli terrorism italy Ivory Coast jesuits jews JFK Jim Willie JPM k-waves Kazakhstan Keynesianism Kissinger kleptocracy Kosovo Krugman KUBARK Kurt Sonnenfeld Kyrgyzstan Land Grab Large Hadron Collider Larry Summers Latin America LBMA Lee Harvey Oswald legitimacy crisis legitimation lesser evilism Libya lies Limited Hang Out Lincoln Lisbon Treaty lobbying local currencies Lockerbie Logan Act lol looting lsd mafia Mali Manchurian candidates Mandatory vaccinations maquiladoras market manipulations martial law Martin Armstrong Medicare meltdown MENA Mend mercenaries Mexico MI5 Michael Chertoff Michael Hudson Middle East migrations Military Industrial Complex military research military spending military tribunals militias mind control mind tricks Minerva Research Initiative Minot missing nukes missile defense missing pathogens MKDELTA MKNAOMI MKSEARCH MKULTRA money money as debt money laundering money supply Mongolia monsanto Montenegro morgellons mossad msm Mumbai narco-states narcodollars narcotics national debt National Emergencies Act national emergency native Americans NATO NDAA neo-Malthusians neocolonialism neocons neofeudalism neuroscience NGOs Nigeria NLP Non-lethal Weapons Noriega North Korea Norway NSA NSPD-51 nuclear demolition nukes NWO odious debt Oil OKLAHOMA CITY bombing oligarchy OOTW Operation Ajax operation CONDOR Operation Fast and Furious operation Mockingbird Operation Northwoods operation paperclip Operation Strange Man opium Orwell outrages p2p currencies Pakistan Palestine Panama Panarin pandemics paper money Paraguay paranoia paranoia pimping patents Patriot Act patsies pauperization peak oil pearl harbor Pennsylvania pensions Pentagon persuasion Peru pervs philippines Phoenix program piigs pimping Pipelinestan piracy Pirates plagues planned disasters Plum Island plutocracy PMCs PNAC poison pills Poland police state political economy political fakeries polls ponzi schemes pork Posse Comitatus Act pot poverty poverty business power elite pr0n predictive programming prepping primitive accumulation prison industrial complex prison population private debt privatizations problem-solution prohibitionism Project Artichoke Project Bluebird Project Censored Project MK/NAOMI Project Mockingbird project monarch Prompt Corrective Action Law propaganda prostitution protests provocateurs psy-ops psycho-police psychotronic warfare Ptech public policies qe qe2 R2P rabbis crackdown real wages regime change regulations relative disadvantage religion renditions renewable energy reserve currency resistance revolution revolution (how to) revolutions riots robots Rockfeller Roman Empire Rothschilds Rumsfeld Rupert Murdoch Russia Rwanda s510 sabbateans Salvador Option samson option saudi arabia sayanim SCADs scams scandals scares schemes SCO SDR secrecy secret algorithms Secret services sedition self-employment self-reliance serial killers sex scandals sheeple shock capitalism SHTF silver sixties slavery slums social conflicts social currencies social movements social research Social Security social spending socialization of costs somalia Soros sound money South Africa South Caucasus South Korea Southern Poverty Law Center Sovereignty Sovereignty Resolutions spain special economic zones spin spyware stagflation state of exception state secrets state terrorism statistics stimulus stuxnet submarines subprime Sudan suicides superbugs superimperialism suppressed technologies supremacist racist genocidal apocalyptic cults surveillance Survivalism SVADs sweden Swine Flu syria Taliban Tamiflu TAPI taxes tea party technocracy Tennessee TEOTWAWKI terrorism Thailand The Fourth Turning the left The Mogambo Guru Thirdworldization TIPS torture totalitarism toxic assets toxic waste trade deficit trade war treason Treasuries Bubble Tri-Border Area Trickle down trolls tsa tunisia Turkey tyranny uganda UK Ukraine UN underclass upper class US $ US army US bonds seized US debt US elections US gulags US hunger US secessionists US Treasuries US666 useful idiots vaccines VAT vatican Venezuela vets vietghanistan Vietnam violent conflicts virii Voodoo war war crimes WAR CRIMINALS war on drugs war party war pimps war propaganda warfare warfare state wars water WB wealth distribution web bot weed Weimar weird welfare white collar criminals White phosphorous WHO who rules Wikileaks wikipedia witch hunt WMD working poors world bank world economy world hegemony world reserve currency world trade WTF WTO WW3 xe Xinjiang Yemen Yuan Yugoslavia Zimbabwe zionism zionist trolls zious
Protect Your ASSets: Buy Gold or Silver NOW - If you wait you will be late.
(He who panics first, just may salvage something.