Saturday, October 8, 2011

Free State Project Now Accepts Bitcoin Donations

The Free State Project is a movement that seeks to bring 20,000 "freedom loving" individuals to move to the state of New Hampshire and collectively create a society in which the maximum role of government is the protection of life, liberty, and property. New Hampshire was chosen as "the land of milk and honey," so to speak, because "a vote that ended in September 2003, FSP participants chose New Hampshire because it has the lowest state and local tax burden in the continental U.S., the second-lowest level of dependence on federal spending in the U.S., a citizen legislature where state house representatives have not raised their $100 per year salary since 1889, the lowest crime levels in the U.S., a dynamic economy with plenty of jobs and investment, and a culture of individual responsibility indicated by, for example, an absence of seatbelt and helmet requirements for adults." The FSP has received favorable commendation from the likes of Dr. Ron Paul, Penn Jillette, and Dane vonBreuchenruchardt, President of the United States Bill of Rights Foundation.

Recently, the FSP has started accepting Bitcoin donations, via the BTCinch eWallet service.

Do you want more information about the Free State Project? Read the Intro to the FSP.

Wednesday, October 5, 2011

Bitcoin7.com Bitcoin Exchange Gets Hacked

Bitcoin7.com, one of the medium-sized Bitcoin Exchanges posted this message on their website today: Dear User,
Please read carefully the following critical announcement.

On Oct 5th 2011 Bitcoin7.com became the victim of a number of pre-planned hacker attacks. While our investigation is still going, evidence reveals that the attacks originated from Russia and Eastern Europe.

The attack itself took action not only against the bitcoin7.com server but also against other websites and servers which were part of the same network. Eventually the hackers managed to breach into the network which subsequently lead to a major breach into the bitcoin7.com website.

As a result of the hacking, unknown individuals managed to gain full access to the site's main bitcoin depository/wallet and 2 of the 3 backup wallets.

In addition the hackers gained access to our user database.

Even though our faith in the bitcoin project and community remains as strong as it ever was, it is our responsibility to admit that the scale of the damage is far beyond our financial and physical capabilities.

This is why we have decided to cease the operation of bitcoin7.com and instead of investing in new technology and personnel that could possibly help us overcome this unfortunate situation, we decided that we'd rather gather all possible finances through all possible means and initiate a crisis plan for reimbursing the lost balances of our users.

This is also an open invitation to all interested investors which have interest in taking over the site at the only cost of recovering the stolen bitcoins.

The crisis plan will take action over the next 90 days. On behalf of the management of bitcoin7.com we want to apologize for this extremely stressful situation.

More specific updates will follow within the next 24 hours with detailed instructions about how to withdraw your funds.


Bitcoin7.com was registered via a proxy service, so not much is known about the true owners at this point. Purportedly, it was managed by a gaming software firm, XS Software, in Sofia, Bulgaria. Users of Bitcoin7 would do well to follow the BitcoinTalk thread about the incident.

Sunday, September 25, 2011

Bitcoin Startup Incubator, CoinLab, Launches in WA

Several enthusiastic Seattle entrepreneurs have banded together to form what most certainly is the first startup incubator specifically tailored to the Bitcoin niche.

CoinLab is the handiwork of Peter Vessenes, Mike Koss and Tihan Seale and shares a space within Mike Koss's co-working space (StartPad) located in downtown Seattle, Washington. CoinLab is already hard at work on BitSent, which aims to solve the problem of making transactions "in the wild" without a smart phone.

This has been a plan in the works by both Vessenes and Koss, who had both met with Nefario (alias), a Bitcoin developer (owner and maintainer of the Bitcoin Global Stock Exchange) and English teacher in a Chinese University, who was also interested in creating a hackerspace for startups revolving around Bitcoin. However, United States customs prevented the meeting from taking place, and Nefario had to return to China. Bitsent

Sunday, September 18, 2011

Recovering Lost (Due to Format) Bitcoin Wallets

It seems to be more commonplace than one would think to hear about someone formatting their hard drive and forgetting to take a backup of their Bitcoin wallet. Well, if you are one of those unlucky users, you might be in luck! (As long as you didn't zero write your hard drive.)

Bitcointalk user, makomk, has created a utility that scans a hard drive looking for any indications of the missing Bitcoin wallet and the private keys stored within it. Right now this process is somewhat restricted to users who can operate Linux, as you'll need to boot to a live Linux operating system to use the recovery tool.

So, if you've gotten yourself into this precarious situation after formatting your hard drive, to recover your lost Bitcoin wallet, boot to a live Linux distribution and execute the following commands in a command prompt:

  • wget http://makomk.com/~aidan/wallet-recover
  • chmod +x wallet-recover
  • sudo ./wallet_recover recovered-wallet.dat

Hopefully, the recovery tool finds its mark(s) and outputs lots of public and private key combinations. If it is successful, it will also generate a file called recovered-wallet.dat, which is a usable Bitcoin wallet containing all of the Bitcoin addresses and private keys the tool could find. It is recommended to take this file, load it onto a USB drive, and open it on another system to check if you recovered your wallet and Bitcoins.

View Bitcoin Wallet Recover source code.

Read the Bitcointalk thread.

Saturday, September 17, 2011

Bit-Pay Mobile Checkout Will Change Everything

Bit-Pay Mobile Checkout will allow brick-and-mortar merchants to accept Bitcoin payments via a point-of-sale application on a mobile smartphone. Combined with Bit-Pay's instant cash-in feature, retailers no longer have to worry about the fluctuating Bitcoin price, they can just charge their regular dollar amount and receive exactly that.

Bit-Pay Mobile Checkout is currently being piloted at several businesses in Orlando, Florida. It offers any retailer a brandable point-of-sale mobile application, and a dashboard to track all sales. Now there's absolutely no reason for a merchant to not accept Bitcoins, it's just turning down money!


Sales Dashboard Bit-Pay Mobile Checkout

Check out Bit-Pay Mobile Checkout today!

Tuesday, September 13, 2011

Bit Address Makes Offline Wallets Easy For You & Me

How do you protect yourself (and your wallet.dat) from hapless predation?

Creating an air-gapped cold store for your Bitcoin is one of the most crucial steps you can take to ensure their livelihood. Having an active wallet.dat file or even mentioning your use of the Bitcoin currency can possibly turn you into a target for attack. Securing your Bitcoin is as easy as creating a Bitcoin wallet offline, initiating a transaction with it via an active wallet, and verifying this transaction on BlockExplorer, or another similar website. You can then denote the wallet address for this secure, offline wallet and tuck away the private keys to authenticate it in a nice, safe place. Sounds complex, right? Well now, it's not.

Bit Address is a simple tool that allows you to generate the private keys and public address for a Bitcoin wallet right from your browser! You can then print out these private keys for safe keeping, whether that be in a safe deposit box at your bank or under the old maple tree in your backyard, that's up to you.

But it's a website, you said offline wallets were the way to go!

Right you are, Bit Address employs JavaScript for the creation of the Bitcoin wallet, which means all of the action is taking place using your browser. Load their website, disconnect from the internet, and THEN click the 'New Address' button to generate a truly air-gapped wallet.

Remember: Proper Protection Prevents Pirates from Plundering

Sunday, September 11, 2011

Casascius Physical Bitcoins

Bitcoin Talk user casascius has created a unique way to physically store and trade Bitcoins: brass tokens containing a mini private key for a Bitcoin wallet containing ฿1. Each token has a tamper-showing hologram that shows an owner or potential owner if the private key has (possibly) been accessed and consumed, and denotes the first 8 characters of the wallet's public address, which is enough to identify it on Block Explorer to confirm the balance. For a size reference, Casascius tokens are 1.125inch (28.6mm) in diameter, which is slightly larger than a US quarter, but still smaller than a US half-dollar coin.
Each token costs ฿1.25, price drops to ฿1.20 with a 10 order minimum. Shipping is a flat rate of ฿1. You can order a Casascius token directly from his website.

Bitcoin Forums Restored - Sirius Still In Charge

Well, after a long day full of checking to see if the Bitcoin Talk Forums were back up, they are. Bitcoin Talk administrator, theymos, urges all users to promptly change their passwords immediately, it is unclear at this point how much private data was proliferated. In this post, theymos explains what has been discovered about the hack, and what is known about the perpetrator. Here are the cliffnotes:
  • Forum software was compromised using a 0day exploit in SMF. Perpetrator had administrative access since September 3rd, which went unnoticed until September 9th, when they inserted the CosbyCoin defacement JavaScript.
  • It is not known for sure that the attacker copied any password hashes, but it should be assumed that he did.
  • No forum data is known to be damaged or maliciously altered, Bitcoin Talk has made the decision to proceed forward with the most recently active database.
  • The attacker first paid for a donator account so he could change his displayed username. The displayed username field is not escaped properly, so he was able to inject SQL from there. He took over Satoshi's account, and from Satoshi's administrative interface he was able to inject arbitrary PHP code by modifying the style template.
The Bitcoin Talk forums are now being hosted by Mark Karpeles (AKA MagicalTux) however the ownership remains with Sirius, and no policy change will come into effect at this time. Needless to say this has stirred the rumor mill with talks of a Mt. Gox takeover. While that remains untrue, we will have to wait and see what the future holds. Information on the Bitcoin Talk forums attack.

Friday, September 9, 2011

Bitcoin Forums Hacked (By SA?)

In order to disable the annoying popovers and image/text replacements, use AdBlock to block the script: http://cosbycointalk.org/Smileys/default/final.js until the problem is rectified.

Had the date on my computer clock read April 1st, I wouldn't have been shocked. But alas, this is no joke: the (official-ish) Bitcoin Forums have been hacked. Many fingers are pointing towards Something Awful forum goons as the culprits behind this debauchery. What exactly have they done?

Well, it seems they have "Cosbyfied" the forums. Every image on the forum is being redirected to grab some sort of Bill Cosby related image, all avatars and signatures have been "Cosbyfied" as well as all mentions of Bitcoin automatically converted to the word "Cosbycoin." Not only this, but several different popover / marquee effects have been added to the forum template, all of which are, you guessed it, Bill Cosby related.
Bitcoin Forum thread discussing the unfortunate event.

Side note: Bitcoin prices were dropping since early this morning, please do not be hasty to attribute the drop in today's exchange rates to the hacking of BITCOINTALK.ORG because that is unlikely so.

Wednesday, August 17, 2011

Bit-Pay Merchant Gateway API Now Online

Bit-Pay.com has come out with the next installment in their merchant service offerings, an API driven payment gateway available for Bitcoin merchants to accept BTC for products and/or services. Bit-Pay's API allows for the integration into existing shopping cart software such as Open Cart or ZenCart and for the creation of custom applications and markets that operate and trade in the Bitcoin currency.

With the API, merchants can programmatically access and manipulate invoice data:
  • Create invoices.
  • Fetch invoices.
  • Receive invoice status updates.

If you're a developer interested in writing wrappers, libraries or otherwise lend a coding hand, get in touch with Bit-Pay, they're looking for you! First, though, you might need to download the Bit-Pay API documenation. (Also, here's a node.js example for you.)

Monday, August 15, 2011

What Can I Buy With Bitcoin?

Well, the real answer is you can pretty much buy anything, but you can't pay your bills with it ... yet! However, when it comes to finding specific things you'd like to buy, that are also available for purchase with Bitcoin, can sometimes be an endeavor.

Jared Ostmeyer, of Search Bitcoin, seems to be paving the way for merchants and consumers of the Bitcoin community alike. His BTC Economy Feed, a web crawler/spider that catalogs items being sold for Bitcoin, powers a portal and search engine where you can watch a live feed of discovered items as well as browse or search for a specific one.


Saturday, August 13, 2011

World's First Bitcoin ATM

Todd Bethell, the man behind the Bitcoin automated telling machine, gives Bitcoin Insider a look into what the Bitcoin ATM is and how exactly it came to be in this two-part interview.

Bitcoin Lecture: Financing the Revolution

Yesterday, at the Chaos Communication Camp, put on by the Chaos Computer Club, a talk about Bitcoin titled "Financing the Revolution" was given. Speaking was Jeffrey Paul, an American hacker and entrepreneur currently living in Berlin.


Financing The Revolution Lecture @ Chaos Communication Camp

(Download the .MP4 video file.)

Friday, August 12, 2011

Mt. Gox Acquires Bitomat.pl, Reimburses Lost Bitcoins

In an effort to steward the Bitcoin community back toward positive light, Mt. Gox has announced their acquisition of Bitomat.pl (the Polish Bitcoin exchange that wiped 17,000 BTC out of existence) and decision to reimburse users of the exchange as they roll it into a Polish arm of the Mt. Gox exchange.

The last week has shaken the confidence of the bitcoin community as a whole. Thanks to news of MyBitcoin.com collapsing with an as yet undisclosed amount of bitcoins (now in receivership), and a critical technical problem that resulted in the loss of 17,000 BTC from Bitomat.pl (bitcoin's 3rd largest exchange), the price of bitcoin has dropped into single digits for the first time since May.

Mt.Gox (Tibanne Co. Ltd.) believes that bitcoin and the community will grow and mature past these extremely unfortunate events, just as Mt.Gox endured the June hack event and has continued to prosper. Mt.Gox believes that the bitcoin market will recover from the recent price drop as trust is restored by the alliance of bitcoin related businesses.


Read more about Mt. Gox's official statement of acquiring Bitomat.

Thursday, August 11, 2011

Bit-Pay: Solving The Bitcoin Merchant Problem

Bit-Pay is a unique new Bitcoin merchant services provider that has come forth with their methods of solving a couple key Bitcoin merchant problems:

  • How can a merchant account for the fluctuation of Bitcoin's exchange value?
  • How can a merchant avoid the security risk of having a 3rd party act as a wallet?

Bit-Pay accomplishes these ends by cutting out the middle storage. It provides the option of instantly converting any payments received in Bitcoin to a supported currency of the merchant's choice. When a customer is routed through Bit-Pay for Bitcoin payment, the request is made in the merchant's currency, the Bitcoins are then sent and exchange, then the merchant's account is debited with the exchanged amount.

Watch the video for a more detailed explanation.

Bitcoin Nodes WebGL Globe

Stefan Thomas, the Bitcoin user behind WeUseCoins.com, has developed a really neat web application for WebGL compatible browsers in preparation for his talk at KPMG Zurich. What this means is you'll need Firefox 4 or one of the later versions of Google Chrome. What the globe represents in detail are Bitcoin broadcast nodes by city, the height and color of bars denote the amount of nodes there.


Credits go to Mike Hearn (of Google) for the idea, dump.bitcoin.it for the data, the Google Globe Experiment, and Planet Pixel Emporium for the Earth's texture.

Thursday, August 4, 2011

MyBitcoin.com Resurfaces, Claims of Major Security Breach

MyBitcoin.com is back up after a near total of ~130,000 BTC suddenly went dark last Thursday evening. Owner, Tom Williams, has issued this statement to the public:

MyBitcoin

Thursday, August 4th, 2011

From the desk of Tom Williams, operator of MyBitcoin.com

For immediate release.

As you have probably noticed, MyBitcoin.com had been down for almost a week due to an unfortunate event.

On Friday of last week we noticed that one of our pooled holding servers was missing a large amount of Bitcoins. After a prompt investigation we realized that the security of our SCI (Shopping Cart Interface) system had been breached by an unknown attacker.

Our response was rash, but necessary. We simply switched the system off until we could have system-wide forensics performed. The forensics took some time, as the system is quite complex by nature.

After weighing all of our options, we have realized that we have no option but to go into receivership. We will settle all accounts with a online claim process that we are currently in the process of working out.

We will release more detailed information about the security breach, the claim process, and our balance sheet in the next few days.

Tom Williams

Third Largest Bitcoin Exchange LOSES Wallet.dat

Bitomat.pl, the leading Polish Bitcoin exchange, as well as the third largest Bitcoin exchange internationally, reported several days ago a total loss of their Bitcoin wallet due to an extremely risky server configuration using Amazon's Elastic Compute Cloud service. Bitomat had chosen to use the EC2 default state configuration, which resets itself to "factory default" after each reboot. After changes to increase the available RAM to the virtual machine, the EC2 instance was rebooted and promptly wiped. No off-site backups were taken, so in effect 17,000 BTC (~$170,000 USD value) have been "deminted" and will forever be unavailable to the network. Bitomat's owner has put the exchange service up for sale in an attempt to recoup the lost funds and repay wallet owners, you can find a copy of his official statement below:

I wish to hereby inform all bitomat users of the system failure that occurred on 26 July 2011 and of its consequences.

Let me begin with an apology for such a long delay in releasing this statement. I postponed it only for the benefit of the investigation of the causes and people responsible for the failure. Unfortunately, to date, despite intensive efforts, I haven't been able to establish the foregoing.

I also think that any longer delay wouldn't be justified and I owe you an explanation.
On 26 July 2011 at about 11:00PM, I noticed that bitcoin server was out of resources and I had to increase RAM. As a result of this operation, the virtual machine was deleted and all data lost, including bitcoin wallet and its backups.
I have established that data was lost because settings of the virtual mashine were changed, although I didn't change them myself. Amazon Web Services Company, which hosts our servers, says that the cleared machine has been set up to be irretrievably destroyed (including the data on the disks) at the shutdown.

I'm still trying to establish who has changed the settings and whether I will be able to recover the lost data. Unfortunately cooperation with Amazon Web Services is very difficult. As soon as I realized that my virtual machine was lost I have ordered AWS premium support, talked to the manager and asked for securing of the disk data. So far, without success.

Up to now I haven't been able to clearly determine the causes of the failure. I presume that's the result of third party actions, which wanted to hide their illegal activities or intentionally wanted the service to crash. If that's so, I will report the case to the authorities.

I'm still trying to recover the lost data, but it requires support from the server's owner (and that, as I mentioned earlier, is difficult).

At this point I wish to inform and assure you that your money deposited with wire transfer and not converted to BTC and unpaid money from the sale of BTC remain safe and intact. At the same time I am counting on your help in solving this problem. I realize that the situation is very difficult, and that you are concerned about your BTC funds. We are constantly working on a solution to this crisis, and I'm open to your suggestions.
Today I intend to:
* Cancel all active orders
* Restore the site and in particular enable PLN withdrawal

Your suggestions and ideas are welcome.

I would like to inform you that I had several conversations with potential investors from home and abroad. Www.bitomat.pl service is on sale for 17,000 BTC. If you are interested, please contact us at [email protected].

Regards
Bartek Szabat
Administrator of www.bitomat.pl

BTC Trader Market Charting & Analysis Application

BTC Trader is an open-source, cross-platform charting and technical analysis application for the Bitcoin exchange market. It is being developed and maintained by Coinfreak of the Bitcoin forums.

  • Live data feed from bitcoincharts.com
  • Daily data feed from Yahoo Finance
  • Rich collection of tech-analysis tools
  • Facebook and Twitter integration
  • Automatic updates

Where in the World is Tom Williams?

It seems a manhunt is on within the Bitcoin community for one suspect Tom Williams after his website started to malfunction and then ceased to serve pages to visitors at all. When the MyBitcoin.com server was taken offline, so was the gamut of Bitcoin wallets belonging to thousands of users. Tom Williams has yet to surface for air to provide any official statement, good or bad, to shed light on the situation.

Several Bitcoin users have gathered together in a private investigation and have uncovered some very interesting facts regarding MyBitcoin.com and its services. MBC was registered using a series of shell corporations based out of Charlestown, Nevis in the West Indies via a proxy domain registration service, ProxyShark. Further looks based on the address listed for the domain and into other accounts hosted on the same server as MyBitcoin revealed some interesting data; several of the other hostees have historical ties to the Bitcoin community, these parties have been reached out to in hopes that at the very least they have further information on finding real contact information for the owner of MyBitcoin. Read the entire details of the MyBitcoin.com private investigation, curated by MrTiggr of the #bitcoin-police on Freenode.

Wednesday, August 3, 2011

Kevin Rose and Philip Rosedale Discuss Bitcoin

In this episode of the Foundation series, Kevin Rose (Digg) and Philip Rosedale (Second Life) discuss Bitcoin, its past and its current state, and speculate about the project's future.

Wednesday, July 27, 2011

How Are Bitcoins Taxed?

"Bitcoins can be compared to cash, but cash is limited to physical exchange, where as bitcoins can be sent throughout the Internet. Today there are more than 6.3 million bitcoins in existence and this number continues to grow. So, how are bitcoins used and how have they become a currency that can be used like dollars, but is tax avoidable? Let's explore."

Monday, July 11, 2011

World's First Bitcoin Tattoo in Las Vegas?

Earlier this week, Bitcoin Forums user CryptoCommodity collected a bounty of 200 BTC for being the first person to be documented as getting a Bitcoin tattoo. She was actually not the first person to get a Bitcoin tattoo, user evolve was inked with Bitcoin a day earlier. However she filled the requirements for a sub bounty (which was offered on top of the original, lower bounty) which were that the person collecting the bounty needed to be female, and the tattoo needed to be on on the mons pubis area.

NSFW photographs after the jump.

How to set Yourself up on the #Bitcoin-OTC Exchange

Sunday, July 10, 2011

Bitcoinity HTML5 Market Exchange Charts

Bitcoinity has recently made public their HTML5 Canvas charts for Bitcoin market exchanges. Right now, you can overlay the trends of Mt. Gox, Trade Hill, and Bitmarket on eachother; or you can access charts for each individual exchange separately. You can use these charts to get a real grasp on the market trends that have happened within the last 10 minutes to the past week!

Wednesday, July 6, 2011

Bitcoin for Android, a Self Contained Android Wallet

Finally, a fully functional, self-contained wallet for Android smartphones is available on the Android Market! Download Bitcoin for Android via web or QR code:

Bitcoin for Android

Now that you have the app downloading, I can bore (not really) you with the details.

  • Interact with the Bitcoin network directly from your phone, without any third-party gateway or services.
  • When no internet connection is available, transactions initiated will be queued until a connection is established.
  • Receive and send Bitcoins via QR codes, as well as any link using the Bitcoin URI format.
  • Wallet.dat is backed up and stored in the cloud, inside your Google account's storage.
  • Stores only the block headers locally (SD card) and implements "Simplified Payment Verification" as described by Satoshi Nakamoto in his Bitcoin Paper.

Bitcoin for Android is an open source project and the (original) labor of Brian Armstrong, you can check out the bitcoin-android project on Github.

Monday, June 27, 2011

Gavin Andresen Closes ClearCoin Escrow Service

Gavin Andresen, the current Bitcoin project maintainer, has made an executive decision to close his escrow service for Bitcoin traders, ClearCoin. Existing contracts and transactions will be upheld, but nothing new can be entered into the system. He states his reasons for shutting down the website being those of time duress and possibly a hint of perfectionism, below is the official statement he left on the Bitcoin forums:

I've been struggling recently to keep ClearCoin moving forward while I also try to keep core bitcoin on track, and with all the demands on my time I can't spend the time on ClearCoin to make it a project that I'm really proud of.

Closing ClearCoin to focus on the core Bitcoin project is something I'm sure Bitcoin users are happy to accept, as I'm sure there are going to be a plethora of web application developers jumping to fill the hole that is going to be left; however what remains to be seen is how they can establish a trust with the Bitcoin community better and/or faster than Gavin Andresen, Bitcoin project lead.

(Side Note: Last week, ClearCoin was identified vulnerable to cross-site request forgery attacks, issues which Gavin promptly resolved.)

Saturday, June 25, 2011

Mt. Gox Reopens, New Account And Security Features

Well, as you all know, Mt. Gox reopened this morning, however the hiatus on trading will continue until tomorrow, June 26th, at 15:00 GMT. Until then you can add or withdraw funds in preparation for trading to resume.

Users logging in today will also find themselves amidst several new features:
  • Currency is represented to a more granular degree past the decimal point.
  • User transaction history now shows a BTC <-> USD split.
  • User transaction history now also shows fees incurred.
  • Deposit addresses can be reused and don't ask for the deposit amount.

How many of our readers have to wake up super early tomorrow to start placing their trades?

Thursday, June 23, 2011

Bitcoin Exchange Values Holding Steady

Despite the shockwaves rippling throughout the Bitcoin community (and the press beyond) following the incidents and Mt. Gox (and subsequently, further compromise of user accounts at other Bitcoin exchanges and websites where users chose the same credentials) the exchange value of BTC seems to be holding steady: it is currently trading at an average value of $15 USD, both domestically and internationally.

Mt. Gox is still not back up yet, as they are still processing user claims on their website. Trade Hill has also suspended trading for several days while they beef up security, however you are still able to deposit and withdraw funds.

One thing is certain, the Bitcoin community and economy are now under close media scrutiny after being featured in the likes of The Economist and The Guardian; and as they say, any press is good press, which means the influx of new BTC users will continue to rise.

Wednesday, June 22, 2011

Kevin Day Makes Show Of Good Faith

In the recent controversy surrounding Mt. Gox and the major security breach they (and the entire Bitcoin community) experienced, the Bitcoin community seems to be in civil dispute about what should happen to the 643 BTC that Kevin Day acquired at a ludicrous rate of 0.0101 USD on Sunday, night of the Bitcoin hackcrash. Community members seem to be trying to burn Kevin at the stake, questioning his actions and morals, some even claiming him to actually be the Mt. Gox perpetrator.

In order to clear his name, Kevin Day (Bitcoin Forum Username: toasty) has put the bounty of Bitcoin in escrow at ClearCoin to be donated to the Bitcoin Faucet after thirty days if the whole sticky mess surrounding the scandal at Mt. Gox does not find resolution. He has requested that the Mt. Gox faculty show a similar token of good faith until that time. We have also reached out for comment to Mt. Gox on this matter.

Read more about Kevin's decision in his official announcement at the Bitcoin forums. You can also keep an eye on the escrow at ClearCoin as well, so you'll know when to head on over to the Bitcoin Faucet for free BTC.

Monday, June 20, 2011

Kevin Day, Instant Bitcoin Millionaire

06/19/11 17:51 Bought BTC 259684.77 for 0.0101

As a result of the market crash caused by the security breach at Mt. Gox yesterday, a man who watched the Bitcoin market crashing (what a hectic 20 minutes) and placed buy orders for BTC @ $0.0101, which placed him in queue above the thousands of users who placed buy orders at $0.01. 250,000 BTC, valuated at $15.00 per unit, equals over 3.5 MILLION dollars! Many of these low denomination transactions can be seen in the video of the Mt. Gox Bitcoin market crash yesterday. Watch the video below for Bruce Wagner's interview with Kevin Day and see his opinion on the Mt. Gox rollback, user security and more!



Read Kevin Day's official post on the Bitcoin forums.

Sunday, June 19, 2011

Not Everything Is As It Seems At Mt. Gox

Mt. Gox was hacked and its user database exposed earlier today, as we all have become grimly aware of, but the plot slowly thickens as evidence mounts in contradiction to their official story. If they revise their official statement, you can view a webarchive version here.

Update: Mt. Gox is in fact responsible for the 432,000 BTC transfer, this was them securing all remaining Mt. Gox Bitcoin assets to a secured location.

Mt. Gox claimed that only one user account had been compromised, and ill-begotten funds hadn't surmounted a USD value of $1,000 due to their website's trade sanctions. HOWEVER, live market analysis by BitcoinChannel shows hundreds to thousands of microtransactions being made as the exchange value at Mt. Gox plummeted earlier today.



Be Concerned: MAJOR Security Breach at MtGox

Beware: At 12:30 PM (Pacific) today, 06/19/2011, the user database of Mt. Gox (the largest BTC <-> USD exchange) was leaked. Exposed data includes emails/usernames and hashed passwords.

If you use the password you used to register at Mt. Gox on ANY other website, I would highly recommend the prompt changing of said passwords.

Official Updates On Security Breach @ Mt. Gox

Saturday, June 18, 2011

Bitcoin Monitor - Real Time Overview of BTC Market

Bitcoin Monitor is a great little web application and site that gives you a real time overview of the Bitcoin market: trades, transfers, and found blocks! Get an informative look at the topography of the Bitcoin economy at a glance, for time ranges in the last two hours. Make sure to bookmark the Bitcoin Monitor website!

Thursday, June 16, 2011

Southern California HoJo Provides Lodging For BTC

Bitcoin, the cryptocurrency that has been turning heads left and right recently, has reached yet ANOTHER milestone in gaining traction as a real, accepted currency. You can now stay at one of two hotels in Southern California and pay for your reservation and tenure in Bitcoins; what's more, after checkout, you can choose to have your room deposit refunded to you in cash!

Both hotels, Howard Johnson Main Gate and Red Roof Inn Buena Park, are currently experimenting with the idea of adopting Bitcoin as a payment system, so the process for reserving your room and paying in BTC is not as streamlined as say, Hotels.com, but well worth the small effort to use your digital gold.

More Information & Hotel Contact Details

Monday, June 13, 2011

Buy A Beach House In Tokyo For 3,500 Bitcoins

Well, it seems Bitcoin is being adopted more and and more as a viable, established currency; and now, you can finally buy a house. Well, it's a condo in Japan sky-rise apartment building (on the Onjuku beach front, with a view of the ocean) but who cares!? For just 3,500 BTC this gem on the Pacific Ocean could be yours to vacation in or rent out to tenants! For reference, this condo is located about 3 hours, driving, away from Tokyo.








Check out the listing for the beachfront condo in Isumi-Gun, Onjukumachi-Shinmachi-816-23 on Akasaka Real Estate. You can also follow the realtor's thread on the official Bitcoin forums as well.