Mt. Gox Bitcoin Exchange to File for Bankruptcy Protection

It appears that Mount Gox, the Bitcoin exchange that got sucked dry by hackers earlier in the week (it lost almost 750,000 of its customers’ bitcoins, see my previous post) with debts of $63.6 million is to fill for bankruptcy protection.

As I said before, the whole virtual currency space, more so than real currency, its critically dependent upon perfect security and trust at all times. What they hold in their accounts is directly the currency and its value, its not a ‘tally’ with the money elsewhere, as in a normal bank or exchange house.

As an interesting aside, it appears that Bitcoin based ATM’s are set to open in Singapore and Hong Kong, according the the WSJ

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