It is all REAL BTC.
No it's not, it's a BTC IOU. If it were real BTC you'd be able to spend it right away.
It is a promise to pay 1 BTC, is it not, a promise that is automatically and digitally made liquid the second you are trusted by anybody with a BTC IOU from a trusted source.
TradeFortress walked in to this with eyes wide open, hoping for exactly this result. It has happened, he has taken out 10.15 BTC worth of debt from a trusted source with me, which he now owes me. It's not my fault he's given it away.
More to the point, many other people could have been deceived out of up to 100 BTC each (and still could be), and 445+ people have been (potentially) let down by TradeFortress's as yet unfulfilled promises.
If this isn't a deceitful, foolish, untrustworthy, dirty thing to do, what is?