Mt. Gox holds its infamous part of Bitcoin’s history as the once biggest cryptocurrency exchange that went under in a cloud of confusion and anger.
February 2014, just over four years ago now, was a worrisome month as the exchange slowly started to capitulate ending in the company filing for bankruptcy. Mt. Gox stated that almost 750,000 of its customers’ Bitcoins, as well as 100,000 of its own Bitcoins, had been stolen. The total loss constituted around seven percent of all Bitcoins available, and worth around $473 mln at the time.
Through the entire Mt. Gox saga, many questions and concerns were raised about Bitcoin, and it took the digital currency a few years to recover from this incident, but still, to this day, there is news emanating about those stolen coins.
The genesis of the world’s biggest exchange
Mt Gox was launched in 2010 by US programmer Jed McCaleb (who later went on to found Ripple) but in March 2011 it was purchased by a French developer and Bitcoin enthusiast Mark Karpelès. The name Mt. Gox stood for “Magic The Gathering Online eXchange.”
Mark Karpelès was involved in a recent radio interview, on March 6, in which he sums up his and his company’s road to fame and fortune.
“It felt like… when you fall from a building and you see the ground getting closer, and you feel like you are about to die. Mt. Gox went from interesting project to being, and I would say, a daily nightmare of dealing with banks, governments, people I never knew existed.”
At that time, something like seven out of every 10 Bitcoin transactions were handled by the exchange.
“I am very sorry that when I was in charge things happened the way they did.”
The first hack
The 2014 Mt Gox hack is known across the crypto community, and its influence is still being felt, but Mt. Gox was hacked back in 2011. It happened most likely as a result of a compromised computer