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Bitcoin downfall MT Gox shut down.
GostHacked posted a topic in Health, Science and TechnologyI give it six months before Bitcoin is just a thing of the past. Several exchange nodes have been hit via cyberattacks. This is the most damaging attack on the currency system. I had predicted this to my friends, and looks like the prediction is coming true. I had a feeling if the currency was to fail or encounter major problems, it is not with the currency itself but the infrastructure and systems on which it is built is vulnerable to cyber attacks. If you understand fiat money is based on nothing, bitcoin is based on even less. Now about 750,000 bitcoins could potentially be lost. http://www.cbc.ca/news/technology/mt-gox-shutdown-a-major-blow-for-bitcoin-1.2550256 This is the equivalent of a 'bank holiday'. A run on the exchanges would crash the value of the currency, so to prevent that, deny people access to their money. The attack on bitcoin has been global. China shut down exchanges operating out of China associated with Bitcoin. Leaving the Silk Road aside, people flocked to Bitcoin because it circumnavigates all main stream banks. No or very small fees, anonymity in exchange, no tax. I see this as a systematic attack from the banks on the Bitcoin exchanges as they have the most to lose with people moving to cryptocurrencies. Governments hate it because they cannot control it or tax it. Once they do they have to start treating it like a legitimate form of currency. The banks do NOT want this kind of thing to happen. So anyways, Bitcoin will die, but as a result I still consider it a success.