Mt.Gox CEO Will Have You Know He Has Not Run Away With Your Non-Virtual Money

Tyler Durden's picture

Contrary to public speculation, Bitcoin CEO Mark Karpeles will have you know that after halting virtual transactions on his "Magic: The Gathering Online Exchange" for the second, and likely final time, that he has in fact not run away with any all too real money that may still be found at the now defunct exchange of virtual stuff.

From this guy:

Dear MtGox Customers,


As there is a lot of speculation regarding MtGox and its future, I would like to use this opportunity to reassure everyone that I am still in Japan, and working very hard with the support of different parties to find a solution to our recent issues.


Furthermore I would like to kindly ask that people refrain from asking questions to our staff: they have been instructed not to give any response or information. Please visit this page for further announcements and updates.




Mark Karpeles

This is happening as the Japan police is finally stepping in:

Japanese authorities are looking into the abrupt closure of Mt. Gox, the top government spokesman said on Wednesday in Tokyo's first official reaction to the turmoil at what was the world's biggest exchange for bitcoin virtual currency.


"At this stage the relevant financial authorities, the police, the Finance Ministry and others are gathering information on the case," Chief Cabinet Secretary Yoshihide Suga told a regular news conference when asked about Tuesday's shutdown of the Tokyo-based exchange.


Speaking shortly after The Wall Street Journal reported that Mt. Gox had received a subpoena from federal prosecutors in New York, Suga declined further comment.


Japan's Financial Services Agency and Finance Ministry told Reuters on Tuesday that they do not have jurisdiction over Mt. Gox after the exchange's website went down and efforts to reach company officials failed. The Bank of Japan said it had nothing to add to a comment by Governor Haruhiko Kuroda that the central bank was "very interested" in bitcoin.

Interested because Kuroda too would love to apply to the Yen the same devaluation that Bitcoin trading on MtGox has experienced.

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PR Guy's picture



That Bitcoin project is going the same way as this one!


CH1's picture

Kill Bitcoin!

Save the Fed!

GetZeeGold's picture



We trust you Mark......but exactly who has possession of the hard drive currently?

Richard Chesler's picture

Not vaporized. Just temporarily unavailable.

bobola's picture

fonestar I took your advice
told my customers, 'buy BTC at any price'
went all in, you know
what do i now have to show?
my head feels like its squeezed in a vice

fonestar's picture


wallstreetaposteriori's picture

You really are the dumbest person I have interacted with.

bobola's picture

fonestar, where are you, canuck troll
your beloved bitcoin has fallen in a hole
you said the price soon
would head for the moon
like Cramer, you now are on a roll

fonestar's picture

Bitcoin is still on track for four, five and six figures.  There will be much hacking, crashing, weeping and gnashing of teeth along the way to bitsalvation o ye of little faith!

wallstreetaposteriori's picture

I have complete faith that you have no money, talk bullshit, and are a pretty pathetic excuse of a personl..... oh yeah and complete faith that the only "6" figures you will see bitcoin at will be .000001. COMPLETE FAITH.

fonestar's picture

The cryptocurrencies are here to stay.  It will be funny for webologists to review these pages years later and see historical roadkill like yourself.

Exponere Mendaces's picture


Yeah, nice rally back. Gox was shit, now Gox is dead. Big fucking deal. Everyone knew it - now we move on.

Did you see the report on Coindesk? Here's a link:

Makes every asset class these bozos care about look like MyRA yields - check it out, in 2013 we had 56-bagger, or a 84,066% increase from 2011 - 2013. LOL.

Let these fools chase equities, they deserve the crap returns.

fonestar's picture

How do you think fonestar's relatives feel then?  They finally listened to him, bought near $1050, lost 50% of their money and then found out fonestar was invested in Litecoin!!

Croesus's picture

If I'm reading this right: 

You convinced your own family members, to go in 50% on an investment, AFTER you had moved on to something else? 

Your own blood? 

If I'm reading your post correctly, you sold out your own family, for "crypto-currency", priced in "paper-currency" 

Falsehood, valued by falsehood. 

Your own family...

You have no soul. 

Mad Mohel's picture

Don't feel too bad, all his family also live under the bridge with him.

TruthHammer's picture

you are not reading it right.

He never had any significant holdings in BTC, a handful at most, if that.


He just shills for BTC, he was mostly in LTC, (and likely has some cruddy rig to mine a few as well).  He has never had a lot of money, nor made a lot of money.  Just FUDs people to try and keep the one or two LTC he mines from crashing to zero sooner.

bobola's picture

fonestar your relatives are found
when walking, knuckles dragging the ground
buy bitcoin, they did
it tanked, you hid
your brainbox, they would now like to pound

fonestar's picture

fonestar attempted to alleviate their fears by sermonizing in the grand style of Satoshi Nakamoto at which point he was ejected from the front porch.  As fonestar is managing their wallets, he is convinced they will come around during the next rally and he can eat there again.

verbot's picture

mother leaves you some food on the back porch you still in the family i hi fonestar!  i think i got accused lightly of being jtrig psyop agent by analyst66 for my post on this topic so i am having a super day all due to your efforts! to a bot of my lowly beginnings to make a case so seamless it looks as if a team wrote it is giving me a slight chub as a commentator.. you were my inspiration so take some credit for my big breakout into full ZH nirvana...(old mid western silver stacker hermit is really an agent!...lmao.....)

TruthInSunshine's picture

Litecoin; it's the new crack cocaine to the old bitcoin's powder cocaine, bitchez!

Waiting on household chemical, two liter bottle produced MethCoin.

And then KrokodilCoin.

Where's Satoshi, the erudite hashtag genius?

wallstreetaposteriori's picture

Litecoin huh... so you are a complete troll spouting all kinds of bullshit..  What happened to your epic bitcoin investment?  

Foneystar = hack

Crash Overide's picture

Remember when people used to work for money?

jcaz's picture

Awesome-  Foney's finally gone full-retard on us-  shocker.....

walküre's picture

new LOW, wow. is MDB your brother? can't figure out if you're being a troll

whatthecurtains's picture

If you lie to your family what the fuck have you been doing to us?   

UselessEater's picture

disowned con-star... one in every family and they're always gloating about the next big thing they're onto and now everyone should invest in that to or they're a complete mug...blah blah.... lite coin lite fingers, next!

BLOTTO's picture

I think my virtual wife stole my virtual wallet this morning to blow my hard earned virtual money.


I've never felt more human and real, as i do now in my virtual life...

fonestar's picture

The Fone....

Enter the fonestar!


BTW, Tylers... what are you going to post on Bitcoin after all goxing is said and done?  fonestar supposes there will still be people getting hacked and lawmakers passing useless laws nobody listens to regarding Bitcoin.  Guess you could always report on that.

LawsofPhysics's picture

And should it be discovered that bitcoin is The Fed, CH1 is not to be held accountable...

CH1's picture

If it discovered that bitcoin is The Fed, then I was wrong. Wouldn't be the first time.

But if Bitcoin is the Fed, they are idiots (not beyond belief, I admit), because they created something that could destroy themselves.

The cryptocurrency genie is out of the bottle and there are now twenty Silk Roads. Let the Fed gloat today, but they still have a problem on their hands.

Creeps's picture

How could bitcoin or any other cryptocurrency take down the Fed?  How is bitcoin going to change legal tender laws?  The masses still need to convert cryptocurrencies into legal tender to pay for taxes.  I don't mind getting an education on how I'm not seeing the bigger picture.

Skin666's picture

Why would anyone holding crypto pay taxes?


Starve the beast...

Creeps's picture

The claim is cryptocurrencies will end the Fed (which needs to happen).  To do that there must be wide acceptance of cryptocurrencies in all sectors of commerce.  I should be able to do business with any merchant in bitcoins and they accept them readily, currently that is not possible.  How are cryptocurrencies going to change legal tender laws? 

TheHound73's picture

Bitcoin declared "lawful money" by California State Assembly. Same as declared by Germany.  However, as long as barter remains legal, no laws need change.  Preferable that merchants make their own choice to accept Bitcoin rather than monkey with the laws.  This is happening merchant by merchant quicker and quicker.  A phase change may happen late this year or next not unlike the way credit cards where accepted hardly anywhere then quickly became standard.

UselessEater's picture

digital foot prints and "unexplained wealth"... algo's predict your lifestyle and NSA et al track this and share with corp/gov on the hunt for every penny that every person potentially owes in this debt infested world...crypto won't end the fed-debt-enslavement-vehicle it'll just replace it with a new nightmare... computer geeks/experts are assuming they can beat a system that gave birth to them; each generation learns the hard way, thinks they get away with it for a few years and then it dawns on them - same sh*t different day.

be cautious with the new toy, eyes wide changes but not methodology

MeelionDollerBogus's picture

the grid IS the beast:
power grid
internet grid,
all paid in dollars and all paying taxes several steps along the way.
If you have no dollars you have no grid and no grid means NO BITCOIN.

wondercoin powers ACTIVATE

form of ... EPIC FAIL

Every -1 is a neon-sign and a bullhorn screaming that you are a proud slave of General Electric.
Serfdom, it's what's for dinner

MeelionDollerBogus's picture

Indeed, you are right. The only full escape possible is to have real off-grid tangibles as money & to ensure your physical space is not invaded by those with guns you need to be somewhere else.

It's OK to have guns for short-term defense but you can not run a stable economy under constant threat of an invading force for any reason, be it your food, water, monetary unit, level of participation with a neighboring economy, etc.

You bug-out, not bug-in, because those with guns are coming & they also have nerve gas & tanks if you don't change position & somehow have more ammo than they do (and you don't). Drones + nerve gas + media control = you are a terrorist. Waco. Ruby Ridge. LESSONS LEARNED.

LawsofPhysics's picture

What's the problem?  You still need to have fiat in order to purchase cryptocurrencies or build exchanges.  They still control the flow of fiat.  I really don't see the problem for them.


The real winners eventually, will be farmers like myself or anyone that produces a real fucking product people need to survive as I can certainly see how cutting out all the useless paper pushing middlemen will be extremely good for business.


However, that hasn't happened yet and it will require blood and sacrifice as those same people now own and control government.  History is very clear on this.

philosophers bone's picture

I agree.  Ran into a "Bitcoin Bug" yesterday and discussed Mt. Gox, etc.  His position:  Bitcoin is still viable and has a future, but Bitcoin "miners" should convert to fiat as soon as the Bitcoin is mined and people transacting in Bitcoin need to convert from fiat to Bitcoin immediately prior to the transaction and need to convert from Bitcoin to fiat immediately after the transaction.   In other words, it is at best a payment system but even the Bitcoin bugs don't consider it as a store of wealth or a currency to be held for any period of time before or after a Bitcoin transaction.

I've been told by Bitcoin bugs that a cryptocurrency backed by an ounce of gold or silver "is ridiculous and doesn't make sense", but in my mind it does and in light of the Mt. Gox developments, it makes a lot of sense.

If you backed a cryptocurrency by an ounce of gold, presumably it would trade at the gold price, plus a slight premium for convenience.  if you backed a cryptocurrency by an ounce of silver, presumably it would trade at the silver price, plus a slight premium for convenience.  In each case, I presume the "slight premium" would probably be a percentage of the underlying asset backing it.  So this begs the question:  What is the "crypto" part worth?  Answer:  The amount of the premium someone is prepared to pay, which I presume would be relatively modest and will depend on the size of the transaction and what the crytocurrency is "backed" by.

I think the fundamental difference is that the Bitcoin enthusiasts see value in the "mining" of Bitcoin whereas the Bitcoin trashers do not.  But I don't know how someone can say that a new "crypocurrency" that is exchangeable for an ounce of gold, silver (or whatever other real asset or basket of real assets you want to tie it to) doesn't make sense.

What you've done LOP is refuted the notion that supporting Bitcoin will defeat the Fed.  Bitcoin won't defeat the Fed primarily because even the Bitcoin enthusiasts are looking to exchange into fiat at every opportunity they can out of fear of being "Gox'd".


hangemhigh77's picture

Maybe not.  Seems that the cops who stole the silk road bitcoin are getting offers for it from a hedge fund who wants to buy it and start a BTC ETF.  And Overstock is holding a lot of Bitcoin.  

Moe Hamhead's picture

Does the word "Ponzi" sound familiar?!

mmanvil74's picture

The problem with any sort of "gold-backed" crypto currency is the reality that some central authority would have to store and secure the physical gold that is serving to "back" the currency.  That central authority could be a private company or organization but either way, that organization and the underlying gold can come under attack, either by the governing jurisdication or someone else.  This is why e-gold failed miserably and anything like it will also fail. Also, the cost of securing and storing gold adds a cost to the management and issuance of the currency so who decides how much is "fair" to charge? 

The beauty of Bitcoin is that it is decentralized, there is no single point of failure or central authority to attack.  It can't be shutdown because it lives on thousands of servers around the world.  It is "backed" by the mining network which verifies and validates every transaction.  Bitcoin is "backed" by its accuracy and reliability for the purposes of conducting and recording transactions without a requirement for third party validation.

MeelionDollerBogus's picture

Actually no: if I have x digital tokens to buy/sell and y gold grams to buy/sell then I have my own backing.
Every other person can do the same, even if for them sometimes one of those numbers is zero (no gold or no digital tokens).
The only people who have no say are those who have 0 for both. Everyone else has a collective market participation.
No central control of any sort is required.
This is how the reality will play out:
IF GRIDS are safe then X * Y > 0
otherwise X * Y = 0
IF too few people participate then it will be a black-market for/with digital tokens and/or physical units
PHYSICAL UNITS may be gold & silver, likely will also include tide, morphine pills, hammers, screwdrivers, copper pipes, tire-irons & ammunition
DIGITAL TOKENS will need to be small, efficient, unencumbered by a required network grid structure even if they can BENEFIT from use of one from time to time,
EXCLUDING BITCOIN FOREVER while welcoming something which is challenge-response verified based on digital signatures like GPG/PGP but NO BLOCKCHAIN.
You better be able to use batteries & better be able to rely solely on radio or laser-optic because if you REQUIRE an always-on Internet you will be fucked deep & hard in the ass.

Bitcoin has a blockchain growing exponentially: as it grows bigger it MUST BECOME a central failure point as VALIDATION FAILS on incomplete blockchains and COMPLETE BLOCKCHAINS are so big NO NORMAL PERSON will store or transmit it. EVER. It's game over.

MeelionDollerBogus's picture

You are right that it needs physical backing but wrong about gold:
gold's flow & supply change per year doesn't match that of bitcoin's.
Therefore the market should decide for any digital currency how much of any thing(s) back their currency by simply TRADING the physical things for digital tokens until equilibrium is met.
When equilibrium is zero you'll see what goods or tokens have no value, as bitcoin surely shall hit (zero).
That's why no one wants to fucking trade real ounces of gold or bushels of wheat for bitcoin. doesn't count. It has shit for essentials of life & trade.
The market is speaking: $6 bitcoins 1800 GMT 2014 Feb 28.

Counterbalance's picture

First: Thank you for being a producer, I am grateful to you.

Second: I appreciate your disdain and skepticism of the moneychanges, the flippers and the rent seekers.

I am not a Bitcoin expert by a long shot, but I thoroughly researched the principles, read Satoshi's white paper and made every reasonable effort to discover what is true about the technology before I dropped a single thin dime into it.

The fundamental concept of bitcoin is the distributive ledger network. Every transaction added to the blockchain becomes increasingly secure and durable as more and more users confirm that addition to the legder. The lost/stolen/hacked bitcoins that were processed through the MTGox exchange were never entered into the ledger. 

This is not a failure of Bitcoin, but rather a failure of human nature. This exchange was very badly managed and those poor practices were ignored by those seeking arbitrage profit. It was a voluntary relationship that had clear risks that were priced in.

If we want freedom, we must allow failures to strengthen the system.   

Bitcoin will be strenghtened by this MtGox drama and as adoption spreads to the 6.5billion people on the planet who are most abused by the manipulations of centrally controlled fiat sytems and who do not have access to banking services - they will be buying food with bitcoin, directly and without a fee. 

CultiVader's picture

Take notice fonestar. The above is the kind of post that sways sentiment, not your trolling. Good post sir.