The west is a bitcoin trading platform in Japan MT.Gox Tokyo in Chinese translation.
Early in the 2010 years, “the west” launched bitcoin trading platform, is one of the earliest involved in this business. Due to the participation of early, fewer competitors, then became the world’s largest bitcoin trading platform, limitless scenery.
2 2014, Mentougou announced on the website page to stop trading, and subsequently filed for bankruptcy. “ A number of bitcoin “stolen up to 85 million, even at today’s prices, the value is 176 billion yuan.
Today, we will review the “Mentougou incident”.
“Mentougou, our money go?”
In February 14, 2014, Tokyo began to snow. A middle-aged man in an office before holding a license to protest. The man wore a dark denim jacket, scarf, wearing a hat, in the snow seemed a bit lonely. His hand on the sign” Mentougou, where is our money (MT.Gox where, is our money) “.
In 1 months, he put 250 bitcoins to the “Mentougou” trading platform. 2 June 7, “Mentougou” trading platform issued a notice, saying due to technical failure, suspend withdrawals. At that time, the market rumors of “Mentougou” are likely to collapse, Kolin Burges no way, only to fly from London to Tokyo, to say.
“I just want to go back to my bitcoin, or” Mentougou “can make people believe they have the ability to deal with these problems, we can show that the funds are safe,” Kolin Burges told reporters.
Kolin Burges behind the white building is the “Mentougou” of the office location.
“Mentougou” in the year, but the big role. In July 2011, 80% of the global bitcoin transactions occurred in the “Mentougou” trading platform, even in 2013 to 2014 during the bear market, “bitcoin transactions” in Mentougou also occupy 70% of the world, was the world’s largest bitcoin trading platform.
In 2006, Jed McCaleb founded the “Mentougou programmer”.
At the time, this is a card game trading site, “ Mentougou “English Mt.Gox is” Magic: The Gathering Online eXchange “English abbreviation.
In July 2010, Jed McCaleb read an article about bitcoin article. After reading, he felt that people need a platform to bitcoin transactions, as a result, the “Mentougou” opened bitcoin trading business, is one of the bitcoin trading platform in the world the earliest.
In 2011, Jed McCaleb of the “Mentougou” sold to the French developer Mark Karples. Because the Mark Karples tall, bitcoin community called him “fat”. Since then, the “Mentougou” into law fat era.
Method of fat was born in France in 1985. From 1995 to 2000, he studied at Pulay Reid College; 2003 to 2005, he worked as a software engineer and network administrator at Linux Cyberjoueurs.
At the same time, he was a PHP programmer. In the “rise” bitcoin in the documentary, he said he was more commonly used Python, but if you need to consider the performance of the time, he will choose C++. As the French he, who was also somewhat romantic, in front of the camera and played the piano, music is “to Alice Beethoven”.
In 2009, Tibanne founded the company law fat and served as CEO; the same year, he also moved to japan. In 2011, the “Mentougou” law fat bought from Jed McCaleb hands, as CEO. As a programmer, he will also participate in the development.
With the first mover advantage, “Mentougou” was so smooth, fat has also been selected Gavin Andresen (Gavin Andresen) Initiated by the bitcoin foundation board of directors.
“If you can move when the fat face scolded a * * *, I’ll give you 0.5 coins”
However, the outbreak of the crisis is always inadvertently.
From the beginning of June 2013, “Mentougou” customers extract dollars. To November of that year, the user is often delayed, as short as a few weeks, a few months long. In February 2014, more and more users dissatisfied with a complaining about this problem in the Bitcointalk post below, there are more than 3300 reply. It is said that there was a run on the tide.
In February 7, 2014, Mentougou suspended all bitcoin withdrawals business. In February 10th, Mentougou issued a notice that due to bitcoin, lead to withdrawal, “Mentougou is with the bitcoin core development team, together to solve this problem”.
The British Kolin Burges investors are not satisfied on this statement and handling “Mentougou”, he is going to fly from England to Japan, I hope to give an explanation of “Mentougou”. He made a post on the Reddit said this, the following people replied” If you can move when the fat face scolded a * * *, I’ll give you 0.5 coins “.
In February 14th, Kolin Burges really appeared in the “Mentougou” in front of the office building. He put up a tent, ready to fight for a long time. About 9 points, method of fat appeared, he was wearing a short sleeved, umbrella, holding a Starbucks coffee, just Kolin Burges was caught. Kolin Burges approached the question, fat is the banner of bureaucratic law, perfunctory reply, rushed into the building.
In February 17th, the “Mentougou” once again issued a statement, said they have to solve security problems. “The Wall Street journal” in an email interview method, fat declined to comment on the financial situation of the company, he did not give an exact date: now what time can be restored.
According to a survey by CoinDesk, 3000 users, 68% are still waiting for the “Mentougou” of the capital, the average waiting time in the 1 to 3 months, more than 21% users waiting time for more than 3 months.
In February 20th, for security reasons, “Mentougou” the office moved to shibuya. Because of the “Mentougou incident” concerns, the day of bitcoin prices fell 20%.
In February 23rd, law of fat from bitcoin foundation board of directors to resign, the same day, “all posts Mentougou” on twitter are cleared.
In February 24th, Mentougou to suspend all transactions, after a few hours, the site offline, leaving only a blank page. A leaked material called “Mentougou” has 744408 bitcoins stolen, the company is bankrupt.
Sources said that in the last few weeks was fat, has been looking for external funding. By looking for a few fat compared with his relationship with close friends, discuss how to make “Mentougou” to go on. They decided on a plan to find a few people to seek help, including Barry Silbert, Second Market, chief executive of Winklevoss brothers.
However, this plan has been leaked, so online rumors have appeared, “Mentougou” has been irreparable.
In February 28th, the “Mentougou” to the Tokyo filed for bankruptcy protection.
“Mentougou”, the user lost 750 thousand bitcoins and its trading platform 100 thousand bitcoins. This 850 thousand bitcoins accounted for 7% of the total circulation of the bitcoin, according to today’s prices, the value of more than 25 billion 500 million yuan.
This is so far, the amount of the largest number of bitcoin theft.
“Mentougou” said in a statement, the company believes that these bitcoin has great possibility is stolen “.
“They have been seeking a solution,” said Jesus Roger Ver after bitcoin. Bitcoin Jesus with “Mentougou” good relations, with the method of fat is also a good friend, he also played in the “Mentougou” 24000 bitcoins.
In March 9th, Mentougou proposed bankruptcy protection to the United States; in March 20th, “Mentougou” on the site said they found 200 thousand bitcoins in an old wallet, the number of stolen bitcoins is reduced by up to 650 thousand; in April 2015, the Tokyo security company WizSec concluded, “Mentougou said bitcoin from 2011 at the end of the beginning was stolen”.
In August, law fat was arrested by Japanese police, was accused of fraud, embezzlement and manipulation of “Mentougou” computer system. These charges and 650 thousand bitcoin theft incident has no direct relationship.
A sad and dirty story
It is not just the end.
In one of the victims of Japanese life and work of the Swedish Kim Nilsson is “Mentougou”. When they find themselves in the “Mentougou” bitcoin out when he is collapsing, “there’s a law? There are laws?”
However, Kolin and Burges choose to protest, he chose another way. He and other victims of two Daniel Kelman and Jason Maurice, set up a “WizSec” company, dedicated to investigating the theft.
Although the Kolin Burges has two partners, but basically is the only person in the technical aspects of living. During the day, he had to go to work at night, only in their own homes, with the broken computer to buy online survey.
Kolin Burges developed a program to search, input and output address of each transaction. Kolin Burges also received the “database information, a part of Mentougou” leaked to the Internet, “including trading, withdrawals, deposits and balances the user’s privacy record”.
Finally, he won nearly two million associated with the Mt.Gox trading platform. However, he did not know the address is who.
In order to make clear the address who is, they need to know to help, so they use the dared. Daniel Kelman started online accused the money corruption law fat. Because fat also wants to find out the truth, also own a clean. Then, by fat and Daniel agreed to meet Kelman, Kim Nilsson, and help them understand the integrity of the “Mentougou”.
Even so, Kim Nilsson still can not find out exactly who is doing.
In a later analysis, Kim Nilsson found in a transaction, the transaction with a message, with only three letters “WME”. This became the only clue.
In a series of investigations, Kim Nilsson, WME and an operating in Moscow digital currency trading company. “2011 years, WME has appeared on the board of directors of BitcoinTalk, was also used on the bulletin board BitcoinTalk said” Hello, I have 10 years of time in the money exchange. Now, I began to use bitcoin, can I change anything. If there are a large amount of money exchange, I will give priority to. “”.
So, who is this WME? WME usually very careful, can not find what information, but still left some traces.
In 2012, a “WME” account made a post on the Internet, “said another trading platform is the use of my money fraud and escape”. Never thought that this “WME” also posted some information, including his digital currency address: a “VINNIK ALEXANDER” which owns the account.
The name “VINNIK ALEXANDER” surfaced.
Kim Nilsson will be the name passed to the IRS IRS agent Gary Alford. This is the 2016 year of the summer, from the “Mentougou” has filed for bankruptcy in the past two years.
In July 27, 2017, after several years of investigation, WizSec released the investigation report, as follows:
In September 2011, the “stolen Mentougou” hot wallet private key, hackers constantly use this key to steal bitcoin, and put the bitcoin into “VINNIK ALEXANDER” control wallet. In 2013, hackers have been stealing 630 thousand bitcoin. When the coins into the “VINNIK ALEXANDER” control the wallet, most are transferred to the trading platform. “VINNIK ALEXANDER” bitcoin includes not only the “Mentougou” stolen bitcoin, including Bitcoinica, Bitfloor stolen bitcoin.
7 months to 2017 years, the U.S. authorities arrested Russian Alexander Vinnik in greece.
Although Alexander Vinnik has been arrested, but it is not completely white in the world, the case is still pending, “the bankruptcy procedure is still in Mentougou. The message says, “Mentougou” will be held next year, 2019 is the compensation for the loss of users.
Because of the position and influence of Mentougou “at that time, the number of stolen bitcoin is large, the price of bitcoin caused a great impact, but also caused a great impact on people’s confidence. At that time, many people in the community of bitcoin downhearted.
“Mentougou” after the incident, the trading platform is black events still occur:
In March 2014, the United States digital currency exchange Poloniex stolen; January 2015, the world’s third largest bitcoin exchange Bitstamp is black; February 2015, bit children trading platform stolen; 2017, Korea Exchange Bithumb suffered two attacks.
Security is still a major pain points of the digital currency industry.
Later, Kolin Burges had a “Mentougou” protest site, specially published “the latest progress of Mentougou” protest as well as the contents of the case. An article in this website is the latest published in October 18, 2018, “remember you submit civil regeneration before October 22nd (Civil Rehabilitation) statement”.
Kolin Burges is still waiting for the law to help him recover.