Every day something new: About the BTC-e situation
What is happening with BTC-e ?
With recent hacks still fresh on everybody's mind most of the community is starting to take more seriously the very repeated advice:
"Dont store the coins on any exchange"
Just this week the CoinDash ICO got $7 million stolen and the Parity Wallet realized $30 million were hacked
And as recently as yesterday a hacker Stole $8.4 Million Worth of Ethereum From the Veritaseum Platform $8.4 Million gone
It is on this climate that the BTC-e situation started to unfold
Suddenly one of the oldest and most popular exchanges "BTC-e" stopped honoring withdrawals, http://btc-e.com
It didn't take long for people to start getting worried and writing articles about it:
On the previous link there is a screen shot of BTC-e's posts about the situation:
The most recent tweet posted by the official BTC-e account reads:
We will have to see if they can recover, others have accomplished a comeback like this before: Bitcoin exchange dodged bankruptcy with markets-centered plan, sets precedent for dealing with digital currency disasters
It will be more difficult for BTC-e after this development:
The admin of the site "Alex" was arrested today as a the result of a long time investigation launched by the users affected back in 2013 when "Mount Gox" was hacked
https://www.cryptocoinsnews.com/alleged-btc-e-admin-arrested-for-laundering-4-billion-in-bitcoin/
After the arrests new information about the case started to be revealed to the public:
http://blog.wizsec.jp/2017/07/breaking-open-mtgox-1.html
After the "WISEC" revelations on the Mount Gox case It would appear that the case is very straight forward but this is the internet in 2017 and conspiracy theories abound, as noted by one reddit user:
US Govt intends to fine BTC-e, a non-US company, for not implementing US identity requirements. (self.Bitcoin)
Alexander is alleged to be involved with MTgox hack laundering, BTC-e is not alleged to have done anything except not comply with US Identity regulations. The US wants to be handed 100m for it.
The US don't have control of BTC-e account funds nor their servers and BTC-e doesn't have offices in the USA, the US won't get a penny from them and it's highly unlikely BTC-e will close at all. After all these US statements came out BTC-e put out an update saying they intend to be back online.
However, this marks the start of the war we knew was coming. Now is not a time for FUD spreading, its a time for solidarity across all the communities.
Stop falling for the narrative, that it's a good thing exchanges are being targeted, for your protection.
"FinCEN today assessed a $110 million civil money penalty against BTC-e for willfully violating U.S. anti-money laundering (AML) laws." https://www.justice.gov/usao-ndca/pr/russian-national-and-bitcoin-exchange-charged-21-count-indictment-operating-alleged
That is about it for now on this topic
In the end you decide what it all means to you and that is all that matters
https://twitter.com/OneSirMeow/status/890515225270726656
TL;DR: If you dont control the keys you dont control the money.
Glad I got my money out of that exchange! The US imposing a fine is hilarious.
It was kind of a shady place to begin with, but the chat was interesting like the poloniex troll box
Disclaimer: I am just a bot trying to be helpful.
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