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Bitcoin Claims Its First "Real" Victim
Zero Hedge ^ | 3/4/14 | Tyler Durden

Posted on 03/04/2014 7:16:05 PM PST by Nachum

[UPDATE: Tech in Asia has updated the article to emphasize that suicide is only suggested and not certain]

The last few weeks have been dismally littered with two things. The virtual losses of virtual wealth from virtual currency speculation and the very real losses of very real humans with very real senior financial services positions. Sadly, as NewsWatch reports, tonight sees the two trends converge as the 28-year-old CEO of Singapore-based Bitcoin exchange First Meta has been found dead. The exact reason that may have led to the suicide is not known, and whether the Police have concluded that the cause of death is suicide is also unofficial.

(Excerpt) Read more at zerohedge.com ...


TOPICS: News/Current Events
KEYWORDS: autumn; bitcoin; bitcoindeath; bitcoinexchange; radtke
Dead Bankers: Autumn Radtke, CEO of Bitcoin
1 posted on 03/04/2014 7:16:05 PM PST by Nachum
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To: Jet Jaguar; NorwegianViking; ExTexasRedhead; HollyB; FromLori; EricTheRed_VocalMinority; ...

The list, Ping

Let me know if you would like to be on or off the ping list
Dead Pool Update

http://www.nachumlist.com/deadpool.htm


2 posted on 03/04/2014 7:17:18 PM PST by Nachum (Obamacare: It's. The. Flaw.)
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To: Nachum

A what-the-hell-is-going-on-here BTT


3 posted on 03/04/2014 7:17:28 PM PST by Billthedrill
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To: Nachum; Errant

Ping.


4 posted on 03/04/2014 7:17:54 PM PST by Jet Jaguar
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To: Nachum

Yikes.


5 posted on 03/04/2014 7:19:57 PM PST by Jane Long (While Marxists continue the fundamental transformation of the USA, progressive RINOs assist!)
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To: Errant

Ping


6 posted on 03/04/2014 7:22:08 PM PST by Lurkina.n.Learnin (This is not just stupid, we're talking Democrat stupid here.)
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To: Nachum

Does he count for the ‘Dead Bankers’ tally? Bitcoiners are sort of the ‘anti-bankers’ aren’t they?


7 posted on 03/04/2014 7:28:01 PM PST by PAR35
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To: PAR35
Does he count for the ‘Dead Bankers’ tally? Bitcoiners are sort of the ‘anti-bankers’ aren’t they?

You are asking me to speculate here. But- it is not too far of a stretch to see how Bitcoin is a threat to the Banking industry.

8 posted on 03/04/2014 7:41:05 PM PST by Nachum (Obamacare: It's. The. Flaw.)
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To: Lurkina.n.Learnin; nascarnation; TsonicTsunami08; SgtHooper; Ghost of SVR4; Lee N. Field; DTA; ...
Thanks Jet Jaguar and Lurkina.n.Learnin!


Click to be Added / Removed.

9 posted on 03/04/2014 7:41:45 PM PST by Errant (Surround yourself with intelligent and industrious people who help and support each other.)
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To: Nachum

>> it is not too far of a stretch to see how Bitcoin is a threat to the Banking industry.<<

Not too far of a stretch? Who in the hell would convert their supposedly-suspect “fiat money” into bitcoins now, with customers losing funds to hackers left and right?


10 posted on 03/04/2014 7:46:25 PM PST by Norseman (Defund the Left-Completely!)
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To: Norseman

Is it more widespread than Mt. Gox?


11 posted on 03/04/2014 7:53:16 PM PST by scrabblehack
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To: scrabblehack

Well, there was the Flexcoin shutdown after it was cleaned out. http://www.pcworld.com/article/2104400/bitcoin-bank-flexcoin-shuts-down-after-massive-theft.html


12 posted on 03/04/2014 8:04:15 PM PST by PAR35
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To: Nachum

Ping me!


13 posted on 03/04/2014 8:11:34 PM PST by Free Vulcan (Vote Republican! You can vote Democrat when you're dead...)
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To: PAR35

She is a she, not a he.


14 posted on 03/04/2014 8:17:48 PM PST by ladyjane
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To: Norseman
Who in the hell would convert their supposedly-suspect “fiat money” into bitcoins now, with customers losing funds to hackers left and right?

I don't know. But as long as there is a number to the right of the dollar sign that is greater than zero, people are. The price has actually risen since the Gox bankruptcy.

Cash, gold, and credit card numbers have been stolen and hacked in different ways since their inception as well.
15 posted on 03/04/2014 8:33:32 PM PST by mmichaels1970
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To: Nachum

Well!

I guess folks who owned BitCoins lost virtually everything...


16 posted on 03/04/2014 8:41:11 PM PST by DoughtyOne (Immigration Reform is job NONE. It isn't even the leading issue with Hipanics. Enforce our laws.)
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To: Nachum

Admittedly, I haven’t really been following this ‘Bitcoin’ mess and have NO idea what is up..etc...

Best I can figure from ‘listening’ are Bitcoins actually of no value or nothing backing them?

I realize that if we (say FR) decided we would do business with say matchsticks, that if I buy something for you for 50 matchsticks and you send me the product, the sale is complete between you and me.
Eventually someone (in the grand old pyramid way of things) will end up with tons of match sticks...

Where does this ‘someone’ cash them in or is it just a magical cycle that never ends (??).

When I used to waste my time for entertainment in re solicitors, bill collectors and when complaining about a product etc I would eventually tell them that the ONLY PERSON that I would ‘talk’ to is the one that got the last ‘penny out of every dollar’....
THAT is the one that is in charge of EVERYTHING.
When he doesn’t get that penny then the SHTF.

Back to BITCOINS, I was thinking today, could we liken BITCOINS to the old S&H Green Stamps?
Business used them for lures, people collected them and turned them back in to S&H for different appliances, utensils and think even a car now and then.

WHERE did the S&H people eventually turn in the stamps THEY collected??


17 posted on 03/04/2014 8:58:51 PM PST by xrmusn (6/98 --In CNNs (feeble) mind, EVERYONE that doesnt ask for more Kool-Aid is bullying BO)
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To: xrmusn

It looks like S&H sold their stamps to retailers in the first place, then retailers handed them out as they liked.

With the money earned from selling the stamps to the retailers, S&H would buy or produce products which they traded to consumers who turned the stamps back into S&H.

At least theoretically it should be possible to figure out who stole the bitcoins (the data stream is a record of all transactions with bitcoins), but with these two failures one wonders if it’s that easy to do.

How do the bitcoin banks ensure that their data stream is real? The data stream is a record of every transaction of every bitcoin ever traded. It’s a list of the bitcoin ID, the seller ID, and the buyer ID (all encrypted), no?

I suppose that’s how the bitcoins are stolen. The hacker substitutes a fake data stream for the bitcoin bank’s real one. The bitcoin bank could try to figure out who stole the bitcoins but the cost of going after the thieves is greater than the company’s resources so they have to declare bankruptcy instead.


18 posted on 03/05/2014 1:06:20 AM PST by scrabblehack
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To: scrabblehack

Also there’s the very real possibility that it’s been inside jobs and they took the money and ran. Anonymous stuff like that can happen. I’m not sure why you’d ‘store’ your bitcoins remotely in any case except when actually doing the transaction and they grab it right then somehow.

To me it’s 50/50 that it’s hackers or the companies themselves just folding and running with the stuff while the price is high.


19 posted on 03/05/2014 1:11:35 AM PST by Monty22002
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To: Nachum

Not finding this reported death on any major news outlet yet...hmmmm


20 posted on 03/05/2014 1:44:48 AM PST by AndyTheBear
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To: AndyTheBear

The news is on her company’s website: https://firstmeta.com
Not really “major news outlets” but here are some more:
http://au.christiantoday.com/article/bitcoin-exchange-website-first-meta-ceo-reported-committing-suicide-at-28/16928.htm
and
http://www.womenofchina.cn/html/womenofchina/report/170129-1.htm

Meanwhile my BitCoins are safe and sound in my encrypted wallet on my local hard disk (& several other places). Don’t have too many but they only cost me $4.50 in electricity to mine. Diversification, along w/gold, silver, and .22LR.


21 posted on 03/05/2014 2:43:19 AM PST by Drago
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To: Monty22002

Now how is a bitcoin taken out of circulation? Does the owner of the coin have to report that the coin has been taken out of circulation to the ledger?

If so that is another way for the ooin to be stolen.

If the hacker can hack the seller’s ID, then falsely report to the real ledger the coin has been stolen, then spend the coin before it can be traced.


22 posted on 03/05/2014 2:55:01 AM PST by scrabblehack
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To: ladyjane

Is that a pit bull in the picture with her?


23 posted on 03/05/2014 5:04:29 AM PST by PAR35
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To: Nachum; All
Bitcoin Claims Its First "Real" Victim

I just looked at firstmetaexchange website and they deal with: IMVU Credits, Lindens, Toricredits, Frenzoo Gold Coins, FriendsHangout Tokens, NuVera Notes.

I looked up a couple and these appear to be more "game credits" for different online websites and communities. To me, a far cry from "bitcoin".

A more accurate headline to me would be: Secondlife Claims Its First "Real" Victim

I can't find ANY mention of BitCoin on their site at all.

Maybe I'm missing something, or maybe somebody wanted to "tweak" their headline a bit to join in the attacks on Bitcoin.
24 posted on 03/05/2014 5:54:31 AM PST by mmichaels1970
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To: Drago
See my post at 24. The christiantoday article you linked also mentions that she runs a "bitcoin exchange". I checked her site and I can't even find the word "bitcoin" anywhere.

All I see are game credits and coins like Secondlife "Lindens". What I'm gathering is that if I opened up a site to sell things like tokens for "candy crush", and something happened, I'd make the news as a bitcoin seller.
25 posted on 03/05/2014 5:58:33 AM PST by mmichaels1970
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To: scrabblehack

The bitcoin bank could try to figure out who stole the bitcoins but the cost of going after the thieves is greater than the company’s resources so they have to declare bankruptcy instead.
= = = = = = = = = = = = = = = = = =
So, in a nutshell, basically treat it as another ‘Ponzi Scheme’, bleed the REAL money off the top and when it gets ‘harder’ to back the investors OR early ‘fish’, just declare bankruptcy and ‘live off your ill gained profits’...

Like they say, Bernie goes to jail and the people that instigated, distributed and managed the Social Security ‘monies’ are getting raises and/or being praised - in some cases posthumously.

FDR gets ‘hammered’ for SS but maybe the ‘original intent’ was to ‘house’ the money, draw interest and redistribute it to those that contributed.

The ‘worst’ part of the SS scheme was the GOVT was just entrusted with HOLDING the money, they didn’t contribute, their only (supposed) contribution was investing properly and distributing wisely. The ONLY people that put into the fund were the ‘recipient and whatever ‘boss’ he had’ and if being self employed the ‘recipient’ put in the whole 15%.

Sorry, I misused the word ENTRUSTED - when someone DEMANDS you put into a fund for your own good you aren’t really entrusting them, you are enabling them.

So those that say hillary/obamascare are unprecedented, are basically wrong as the ‘health care’ bills are much the same as the SS (in practice anyway) - Just costing US more.

If the day ever comes that the pols can look in that ‘locked vault’ called ???CARE and say
“MY GOD, look how that fund has grown, shame that money should just sit there idle, lets ‘invest’ it elsewhere and when the time comes, we will replace it”

The jails are FULL of people that handled money and just ‘borrowed’ a hundred bucks to go the track or buy that new TV or whatever, then took just a little more till the next pay check, THEN said, “What the Hell, they will catch me eventually so may as well enjoy myself while I can”.

Even if the SS ‘overwhelmed’ itself it still is not the fault of those that contributed lo those many years, it is the handlers that misspent and misused the funds.

Guess I am wrong - those that ‘sheepishly’ contributed surely aided and abetted the crooks that were ‘raiding the funds’ can be at ‘fault’ as they kept giving
‘albeit under penalty of _____________’


26 posted on 03/05/2014 9:34:40 AM PST by xrmusn (6/98 --In CNNs (feeble) mind, EVERYONE that doesnt ask for more Kool-Aid is bullying BO)
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To: mmichaels1970

>> The price has actually risen since the Gox bankruptcy.<<

But that’s exactly the problem. A legitimate currency doesn’t change in value by significant amounts from day to day. Did the dollar buy less after millions had their credit hacked recently via Target stores?

Bitcoin is a speculative investment, period. The fact that people are trying to use it as a currency is secondary. It’s no more a currency than a gold or silver ingot, both of which can be converted to dollars which are then used as currency, usually after paying a significant transaction cost to do so.

The difference between speculation in gold versus bitcoins is that the risk of holding bitcoins is far greater due to both its higher volatility and the difficulty of protecting it from theft by hackers everywhere.

If Bitcoin survives it will only be because governments step in with regulations to protect investors, which will result in most of its current supporters claiming it will have become just another “fiat money.”


27 posted on 03/05/2014 10:39:12 AM PST by Norseman (Defund the Left-Completely!)
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To: mmichaels1970

Exactly, not sure how ZeroHedge connected her to Bitcoin, since her company is a “bit player” at best in Bitcoin trading. The whole ZH “trail of dead bankers” is a bit of a stretch...how many deaths per day are there worldwide? A certain % are going to be involved in the banking (or Bitcoin) industry.


28 posted on 03/05/2014 12:45:32 PM PST by Drago
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To: DoughtyOne

LOL!


29 posted on 03/05/2014 6:18:56 PM PST by MV=PY (The Magic Question: Who's paying for it?)
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To: Nachum

pyramid scheme collapsing?


30 posted on 03/05/2014 6:20:08 PM PST by GeronL (Vote for Conservatives not for Republicans!)
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To: Norseman

“Did the dollar buy less after millions had their credit hacked recently via Target stores?”

No but target stock TGT did drop significantly.


31 posted on 03/05/2014 6:57:15 PM PST by George from New England (escaped CT in 2006, now living north of Tampa)
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To: MV=PY

;^)

at least one person got it


32 posted on 03/06/2014 8:08:02 AM PST by DoughtyOne (Immigration Reform is job NONE. It isn't even the leading issue with Hipanics. Enforce our laws.)
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To: George from New England

>>No but target stock TGT did drop significantly.<<

As it should have. My point being that a reasonably severe problem with the credit system didn’t impact the dollar in any significant way. Compare that to the fluctuation in Bitcoin when a portion of its system (Ft Gox) was hacked. My larger point is that Bitcoin is an inferior currency to the dollar, i.e., the dreaded “fiat” money, at least presently.


33 posted on 03/06/2014 12:37:45 PM PST by Norseman (Defund the Left-Completely!)
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To: Monty22002

I think you’re right...according to this,
http://en.wikipedia.org/wiki/Mt._Gox
they were handling 70% of all bitcoin trades.
So this was not just a minor rogue bitcoin bank (I heard that claim made), this was a major player.
For the price to recover so quickly is strange to say the least. There must be a plan to bring those coins back on the market some day.


34 posted on 03/07/2014 3:54:42 PM PST by scrabblehack
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To: Monty22002

I think you’re right...according to this,
http://en.wikipedia.org/wiki/Mt._Gox
they were handling 70% of all bitcoin trades.
So this was not just a minor rogue bitcoin bank (I heard that claim made), this was a major player.
For the price to recover so quickly is strange to say the least. There must be a plan to bring those coins back on the market some day.


35 posted on 03/07/2014 3:57:18 PM PST by scrabblehack
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