A Bit of a Bitcoin Update!

Posted on

This is, as always, my opinion – and in this case probably not the most educated because I have no personal experience using bitcoins, but I have heard of them and have a general idea of what they are. So I was catching up on my current events and this article popped out at me as a real laugh (for me, not for those who are going to lose $$ – because that part is never funny).

*Referenced article – Major Bitcoin exchange website goes offline

Apparently people buy “FAKE $$” with real $$ to purchase different things like games and what-not online.  That would be like me going to the gas station and buying Monopoly money with real money and then being surprised when I can’t spend my Monopoly money at the next store or better yet being surprised that in fact it wasn’t Monopoly money at all, it was a piece of paper saying IOU!  Did anyone really think that this set-up would actually work? There is way too much room for scamming and human error to think that a money trading system like Bitcoin would be a long term thing.

In my reality the best $$$ situation is cash in hand – second best, cash-in-bank.  It is traceable and the bank can always set you up with a method that will work for you online – debit card etc.. I do feel bad for the many people who relied on Bitcoin as an upstanding way for purchasing their virtual things but I am laughing about it falling apart, sorry!

1st UPDATE:

As an update on this post – I have been following the bitcoin news a bit and last night Mt. Gox (a place where the so-called bitcoin currency is stored) filed for bankruptcy. Apparently hackers have been able to siphon off millions of Bitcoins over the past two years and feds had taken over 5 million dollars for Mt. Gox not properly registering a money transaction business.

So because the person running the deal forgot to file paperwork his business is now potentially going under.  Again I am going to emphasize that this business is not a real cash deal so the whole thing is complete chaos right now.  Anyway despite this setback of bankruptcy Bitcoin itself is trying to come up with a way to work while under scrutiny.

I personally do not recommend using Bitcoins. Period. It is unchartered territory with very little that falls under any idea of regulation. And I like to know that when it comes to spending my money, that I am secure.

*Update reference –

Mt. Gox files for bankruptcy: what to keep in mind when using Bitcoin

2nd UPDATE:

So in a tragic turn of events a Bitcoin employee killed herself on the 28th – the tox reports have not come back so they are not 100% certain, but that is how it appears.  It is really too bad to see someone taking their life – whether it was business related or not, there is always another solution to life’s problems. She was only 28 years old, an entire life, just gone.  And another twist in plot on this Bitcoin fun – the original owner of the whole enterprise, Satoshi Nakamoto, who sold after creating it – refuses to claim responsibility for his idea. (He does not currently have anything at all to do with the company, or it’s downward spiraling.) I guess an idea is only worth taking credit for if it succeeds? I have been doing things way wrong if that is the case! I take credit for the good, the bad, and the ugly!

Referenced Articles –
Bitcoin firm CEO found dead in suspected suicide

Calif. man denies he’s Bitcoin founder after Newsweek report

Advertisements