Hi There,

In response to a request I received via email asking Vekja.net to respond on this thread, here is our response:

We maintain the bulk of the deposited funds in an offline account. We always have. I am personally the most security conscious person, by orders of magnitude, that I know of. The ratio of how much is offline is manually maintained by an administrator. In the event a 'run' occurs, the user gets an error message and the transaction immediately is marked as failed. We receive an email. An administrator then investigates to see if nothing is amiss, and if so, I can top up the online funds from one of the offline wallets we maintain.

The offline 'wallets' are stored off-site and encrypted. They are backed up (encrypted) in multiple geographical locations as well. They are never connected to the internet, and the wallets are never fed into a bitcoind that is connected to the internet -- just in case a vulnerability exists in the official bitcoin client.

Thufir