Comments: How MtGox Failed the Five Parties Governance Test

With Bitcoin rapidly gaining an increasing amount of global exposure and use, it is imperative that its community and user base are given peace of mind in knowing that the many beloved services and exchanges that they use everyday are fully solvent and transparent.

Our API has been updated to include proof of our reserves, now displaying each escrow address that is currently in use. Users can now verify for themselves that has all listed funds accounted for, and is not running a fractional reserve.

We strive to offer a quick, convenient, and safe service for buyers and sellers to trade Bitcoin. We believe that by being able to view our escrow addresses, users will be able to feel confident that they are using a legitimate and professional platform.

Posted by updates API to show proof of reserves. We believe in making Bitcoin trading safe and simple! at February 27, 2014 05:18 PM

The world's biggest Bitcoin exchange recently declared bankruptcy, with close to $400M in Bitcoins missing. There has been much talk about what may have happened at Mt.Gox, with speculations running wild. I want to quickly go over what did not happen at Mt. Gox, and how to avoid that which did happen in the future. ....

Posted by What didn't happen... at March 4, 2014 06:34 AM

You wrote:

"MtGox Failed Because Nobody Was Watching Them"

You are right. But Wall Street could not care less about supervision because all regulatory bodies consistantly look elsewhere, before, during, and after the fraud.

What you are trying to address here is TRUST.

Cryptography SHOULD be used in a way to ENFORCE UNBREAKABLE TRUST rather than to delegate it to "trusted" but untrustworthy people.

Failure to do so will inevitably cast a false sense of security and a justified shadow of doubt on the system after it has been abused again.

Posted by trust at March 7, 2014 11:44 AM
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