#flexcoin

Cryptoauction Relaunch – Will it Help Bring Bitcoin Mainstream?

By Adam Hofman, bitcoinmagazine.com

Aimed at becoming the ‘eBay for Bitcoin,’ Cryptoauction was launched by Daryl Cusack in November 2013. Since then, we in the vast crypto-community have witnessed a plethora of events that have shifted focus toward expanding security. Some say these recent happenings, like the theft of Bitcoin from Flexcoin and the saga of Mt. Gox, may symbolize the end.

However, these incidents have enabled continued growth in transaction and personal security, and new innovations within the Bitcoin network. As cryptocurrencies are widely adopted, these events will have to be addressed, which will lead to a payment network that is stronger than ever, stable and sustainable.

Why The Bitcoin Industry Must Recognise Its Responsibilities

By Michael Jackson, Coindesk.com

The most significant issue affecting the adoption of cybercurrencies is the safety of bitcoin holdings.

This is a fundamental deficiency of what is a software-defined asset, totally accessible instantaneously and online. In short, bitcoin’s very characteristics make it too easily accessible for criminals.

Last week we saw Mt. Gox cease to exist, this week Flexcoin. Both closures caused by errors in the companies’ systems, but with likely no recourse for their customers.

We will see more companies go under in this way, without a doubt. So if bitcoin is to widely adopted, the customer must be better protected.

Bitcoin Backers Enjoy Rise in Stake amid Attack from Hackers

By Moseti Wilfred M, kpinsider.com

In the past week, theft cases have been reported in three Bitcoin sites, one of which was the first and at some time the largest Bitcoin exchanger.

Mt. Gox filed for bankruptcy last Friday after $400 million were stolen in Bitcoin from the site. The other sites that were not spared by the hackers are Flexcoin had $600,000 in Bitcoin stolen and the tiny exchange, Poloniex, had 12% of its assets, or $50,000 stolen.

All this theft occurred electronically as hackers are probing for vulnerabilities in those sites discovering them and going ahead for the kill.

All this events have got very serious implications on Bitcoin as a technology, a currency, and an industry, some of which might seem counter intuitive.

With Bitcoin remaining buoyant in the wake of such events it is an indication of its resilience. There is still demand for the digital currency despite the challenges of cyber attacks.

Durham's 'Prince of Bitcoin' weighs future of digital currency

By Lauren K. Ohnesorge, bizjournals.com

Bitcoin. The digital currency is being heralded by some as the future of money, and it has been dominating technology headlines lately after security breaches hit Bitcoin institutions such as Mt. Gox and Flexcoin.

But is it a term you need to know?

For some local perspective, I reached out to a few of my entrepreneurship friends – many of whom attend meetups on this very subject – and they all pointed me to the same person, Tom Rau. Rau, they say, is the “Prince of Bitcoin.”

So who better to answer a few questions?

Another bitcoin bank bites the dust, Flexcoin blames losses on hackers

By Reuters, euronews.com

After the collapse of Mt. Gox, now Canada-based virtual currency exchange Flexcoin has been forced to close down.

Flexcoin said flaws in its software code enabled hackers to make off with bitcoins worth around 440,000 euros.

“As Flexcoin does not have the resources, assets, or otherwise to come back from this loss, we are closing our doors immediately,” it said in a statement.

A message posted on its website explained that the attack had exploited a flaw in its code on transfers between users and involved inundating the system with simultaneous requests to move coins between accounts.

“Flexcoin has made every attempt to keep our servers as secure as possible, including regular testing,” it said, adding it had repelled thousands of attacks over the past few years. “But in the end, this was simply not enough.”

Bitcoin Heists Cause More Trouble

By Mathew J. Schwartz, informationweek.com

Attackers continue to pummel bitcoin “banks,” exchanges, and crypto-currency users themselves via malware that steals virtual wallets.

Self-styled bitcoin “bank” Flexcoin this week announced that it’s been forced to shut down after online thieves stole 896 bitcoins, worth nearly $600,000.

“As Flexcoin does not have the resources, assets, or otherwise to come back from this loss, we are closing our doors immediately,” the Alberta, Canada, based company said in a statement. “Having this be the demise of our small company, after the endless hours of work we’ve put in, was never our intent. We’ve failed our customers, our business, and ultimatley (sic) the Bitcoin community.”

Why It’s Easier to Rob Bitcoins Than Banks

Days after Mt. Gox shutdown, bitcoin bank Flexcoin was robbed of its coins and it too is shutting down.