Quote from: jl2012 on February 26, 2014, 06:02:53 PM

Here I assume the "Crisis Strategy Draft" is authentic, as suggested here: https://twitter.com/paulbuitink/status/438428157948219392 . That means it requires 742408 BTC to cover Mark's ass.

Question 1: How do you acquire 742408 BTC? It's nearly 6% of all the existing bitcoin. Satoshi is probably the only person who holds such amount but I can't imagine he would bail out gox, nor sell a single satoshi to you. You may buy such amount from multiple early adoptors but you need to spend at least $0.22 billion for the deal even at a rate of $300/BTC

Question 2: Whether you buy the coins from Satoshi, from other early adopters, or your good self is Satoshi, you are releasing 6% of all bitcoin from dead cold wallet. That equals to 200 days of mining revenue and 5 times of FBI's holding. Do you think releasing such an amount in no time will cause a big chaos and crash in the market? How could you prevent this?

Question 3: If you have 742,408 BTC (whether you will buy it or already own it), why would you think you can earn more than this amount from gox in foreseeable future? With 1% fee you need a volume of 74,240,800 BTC to earn this amount. With 10,000 BTC per day, it will take you 20 years to recoup your investment. New markets are emerging and some have much lower fee, so I won't be surprised it would take >100 years to recoup your investment, if ever

Question 4: Taking 10% of your 742,408 BTC you can build the most solid exchange ever. You will attract all serious traders very soon. Why do you need the gox brand?

Question 5: Have you considered all the legal consequence of taking up a company with ongoing lawsuit with CoinLab and US DHS, and possibly the Japanese government?

Question 6: Have you considered the possibility that someone has taken all the 742,408 BTC and claims it was lost due to a security hole? How could you disprove this theory given the anonymous nature of bitcoin? For me this theory is much more plausible than someone kept draining the cold wallet and did not realize the problem until it became empty.

---------------------
My comments:

To be honest my biggest concern is question 2. The market cannot absorb such a huge amount if it is released in no time.

Of course, all these questions are based on the 742408 BTC assumption. If the amount is more reasonable, like 20,000 BTC, that could be a good deal.

Declaration: gox owes me nothing

I can answer question 1. MtGox is probably in possession of a large amount of goxBTC so they can at least write off that part so it may not be ~740 KBTC.

Can't they just concentrate on tracking down who ran with the funds already? (NSA where are you when we need you?)

ericdc30

Posts

Merits