UIA 'POLOLOSTKEYS' created to audit Poloniex's Bitshares cold storage

in #bitshares4 years ago (edited)

A new UIA called 'POLOLOSTKEYS' has been created to audit Poloniex's Bitshares cold storage account! (290M BTS!)

Description:

Poloniex has failed to move any cold storage funds into their hot wallet for 10+ months despite running out of hot wallet funds multiple times. It is rumoured that they have lost access to their cold storage funds, if this is the case then they are running a fractional reserve.

If poloniex is reading this in the future, send back one of these tokens to prove you still control the cold storage funds. If you have indeed lost access, own up to your mistakes.

Discussions:
https://steemit.com/bitshares/@robrigo/warning-poloniex-bts-hot-wallet-is-empty-do-they-have-the-keys-to-their-cold-storage
https://twitter.com/by24seven/status/895947480176656384
https://twitter.com/robrig0/status/896016700327550976

Anyone want some free POLOLOSTKEYS? Post your Bitshares account name & smash that follow button! ;D


EDIT:

I have proposed a transaction from poloniexcoldstorage to customminer on Bitshares, by approving this simple transaction they will prove full control of their cold storage account.


Latest update

Poloniex has sent 30m BTS from their cold storage account to their hot wallet, so they've not lost access to these funds.

Asset update

Poloniex had failed to move any cold storage funds into their hot wallet for 10+ months despite running out of hot wallet funds multiple times. It was rumoured that they had lost access to their cold storage funds, if this was the case then they were/are running a fractional reserve.

In response to raised concerns, Poloniex prove proof of cold storage fund ownership by moving 30m BTS from the coldstorage account to their poloniex hot wallet (http://cryptofresh.com/tx/40b2b20e32eb4592e08d50d35bebce668ee0caf1).

Great work, less than one day Poloniex support turnaround - not bad! ;D

Sort:  

send me some to michaelx - I wanna troll them even more than I have been about this:

https://twitter.com/bitshares/status/896040426452529154

Sent, and retweeted! Enjoy :)

Send some PLK to onotole Bitshares account.
Thanks

Sent! Enjoy auditing them :)

Great info @cm-steem it's really helpful to all poloniex user's including myself.

Wow I was wondering what was going on today when I saw it was temp down. Poloniex seems to be having so many issues lately what would be the next best exchange?

bitcoinflood2 . - bitshares . thanks!

Sent, enjoy! :)

The next best exchange would of course have to be Bitshares itself! :D

Thank you, and yup I have been using their exchange for a few weeks now with whaleshares its really helping to grow here on steemit.

Thanks @cm-steem for sharing such important info to steemit commuity, it's look like polo has lost access to their cold storage wallet let's wait and see what poloniex team do next.

This is somewhat hilarious.

nepd1 is my bitshares :)

nightshift1134, my account name and allready been following you.

And yes they need to own up, their mistake lol

They playing marco - polo with that storage :)

Thanks! Recieved the UIA

That would be absolutely hilarious if they lost those keys, althiugh pretty bad for anyone who has their money on an exchange. Always keep your crypto in an offline wallet, never on an exchange

I want some free POLOLOSTKEYS?
Bitshares account name: virtual-growth
I only see an UNFOLLOW button to smash to smash the FOLLOW button; so double button smash your way! XD
shared on twitter

virtualtoken Virtual Growth tweeted @ 16 Aug 2017 - 22:48 UTC

UIA 'POLOLOSTKEYS' created to audit Poloniex's Bitshares cold storage — @Steemit

steemit.com/bitshares/@cm-… / https://t.co/wIoiZHPQf1

Disclaimer: I am just a bot trying to be helpful.

I'll take some for this, "sc-ol".
These guys are a mess, and now it's in the public ledger to 😆

Sent, enjoy! :D

If my proposed transaction for their cold wallet expires (in several days afaik) then we've somewhat got proof. They could have access and are just being incompetent with regards to keeping the hot wallet topped up..

The spread between Poloniex and other exchanges has grown to more than 2 cents. This indicates the news on exchange problems is spreading and Poloniex BTS is priced with significant discount as traders with BTS on the exchange accept loss because they fear they may lose more in the future.

Reminds me of Gox spread before it went down. How much more is needed until SHTF?

Very reminiscent - if they don't have access to the cold storage funds then they should have halted trading or at least acknowledged the serious issue months ago.

Bts would fork it wouldn't be that bad

Why on earth should a decentralized exchange bail out a centralized exchange? Perhaps if they had immediately owned up to the loss of account access 10 months ago, but if this is a reality and they have been operating a fractional reserve instead then they shouldn't be bailed out. Considering Poloniex is a minor exchange for BTS, they shouldn't get special treatment.

They aught to buy the 290M BTS on competitor exchanges, helping drive the price of BTS up.

Or are you proposing to fork to reclaim the ownership permissions? How would consensus on this be reached? Couldn't witnesses/committee/BTS-Holders reject the proposal?

Poloniex should buy back BTS from Bitshares DEX and then pay back BTS Holders in Poloniex.

You guys are awesome, and this entire situation is a "bit" scary, especially since some of us are going to be in real trouble.

290М BTS is 11% of total circulating supply! That's... quite significant.

At the current market price it's $55 million.

If they were to buy back that 290M BTS, I doubt it'd be $55m for long..

That is why you should never store your coins with an exchange.
Best is to use hardware or pap[er wallets. That way you have complete control over your funds, instead of trusting a third party and get burned if something goes wrong.

If Polo seriously lost 300 mm BTS... that is insane. Would have to think price of BTS would get a boost.

Poloniex already appears to be valued $0.03 less than the chinese exchanges, so people are taking notice to the current situation!

Chinese exchanges have been trading 2-3 cents above Polo since June...

Their reputation is going down. I keep hearing really bad things about them. Rip off report material.

all this poloniex story worth to have a movie done based on it already))

2 months ago . i stop using polo another mt.gox

yes sir u r right poloniex now not better for trade and its have many time to make any transaction thanx for its new infromations @cm-steem sir

I migrate 50% to jaxx.. later bitshares DEX

I'll send them all to poloniexcoldstorage in case they prove they have access to it!

funkit-bithares

I am 25 days into a ticket waiting for Bitshares to be moved from Polo to my bitshares wallet. Its nice to have it on the blockchain because I can go back and look and see that nothing was transferred at that time in that amount. Though they responded to my ticket and said ti was fixed.. it wasn't. Now my new ticket asks them to look at their wallet and verify the transaction next time before they close the ticket.. It was a good chunk of bitshares I have had lost due to them and I'm irritated. I intended on never using them again once I got all my coins out of there. They must have heard me thinking. My bts is nobod420, allow me to trollolo polololo with you!!

Sent you some pololostkeys to nobody420, hopefully you get your BTS soon - they seem to have transfered another 30m BTS from their cold storage account to their hot wallet again, so it should be soon!

They are soon empty again. 3 million left

Friend, tell me, please. Why did you lower the level of my account?

Send some to me: a-trader

Continuing to hear worse and worse news about Polo. Not enthusiastic about using them anymore

Buy Call for BTS +++ My Bitshares is cy-res

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robrig0 rob tweeted @ 11 Aug 2017 - 14:33 UTC

@Poloniex Can you prove to your customers that you have not lost access to your $BTS cold storage? #POLOLOSTKEYS cryptofresh.com/u/poloniexcold…

By24seven By24seven tweeted @ 11 Aug 2017 - 09:58 UTC

@Poloniex "BTS is currently under maintenance ..." ? 😂
#try a #transfer from your cold wallet and allow your users to #withdraw
@bitshares

Disclaimer: I am just a bot trying to be helpful.

Thanks @cm-steem for sharing!

its really good infromations and i thanxfull to u to share with us whats exchange u suggest us after this polo cm-steem

Amazing post man

many thanx for share some more helpfull informations about polo from ur more knoledge and also thanx for ur new post after many days for our help sir

☺☺☺😀👍👍👍

Hello Friend ! interesting information ! I will certainly make a repost! Good luck in development!

upvoted you ...
follow back and upvote please.. :) :)

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