Reading this makes me want to weep. Mtgox, Intersango, Bitcoinica, Bitfloor, I am aware of these before of course, but seeing this from a traders perspective is something new for me.

Nobody will use bitcoin if it always happens like this!!

I think its high time that some code was put in the public domain that will allow anyone to run an exchange with the security already taken care of.  As someone else said, allow the sunshine of public scrutiny to sanitize the code and perhaps there is a chance of avoiding the hacks! Perhaps we should also consider an injection of peer-to-peer which would (in my humble opinion) greatly improve the securioty both of the platform and of individual transfers.

Really we cannot keep recommending bitcoin to traders and recomending that they use exchanges that are not safe.

And with out exchanges that are safe and trusted, bitcoin cannot grow.

So we really need to focus on the exchange problem, because its a problem for everyone of us and needs to be solved, and evidence is that tomorrows whizzo exchange will have exactly the same issues as the old ones, unless this becomes the priority.