Mt. Gox Bitcoin Exchange Goes Offline – Might File Bankruptcy

The once leader of the bitcoin exchanges, Mt Gox is offline now amid the claims by other bitcoin exchanges that Mt. Gox will file bankruptcy. The website of Mt. Gox started showing a white blank page as of 10:30 pm ET and the reports started to circulate at Reddit and Twitter that the trading has been stopped on Mt. Gox.

mtgox

Also earlier today, other leading bitcoin companies including Circle, Coinbase and BTC China issued a joint statement about the Mt. Gox insolvency. The statement later omitted without mentioning insolvency of Mt. Gox but tech blog Re/code has confirmed with the spokesman of the group that  “Mt. Gox has confirmed it will file bankruptcy in private discussions with other members of the bitcoin community.”

If Mt. Gox is gone for ever then the fate of the its customers is not clear whether they will be able to get their precious bitcoin back or not. The bitcoin price had come down to $500 after the news.

Mt. Gox was earlier included among the largest bitcoin exchanges and was operating out of Japan. However, lately the exchange had been plagued with many technical issues.

Mark Karpeles, the CEO of Mt. Gox had also resigned from Bitcoin Foundation board on Sunday.

Here is the full statement from the the bitcoin companies about Mt. Gox:

“In order to re-establish the trust squandered by the failings of Mt. Gox, responsible bitcoin exchanges are working together and are committed to the future of bitcoin and the security of all customer funds,” said the statement, published at 10 pm ET on Monday. “As part of the effort to re-assure customers, the following exchanges will be coordinating efforts over the coming days to publicly reassure customers and the general public that all funds continue to be held in a safe and secure manner: Coinbase, Kraken, BitStamp, Circle, and BTC China.”

Share This Post

Post Comment