Man has $16,500 worth of Bitcoin stolen from MtGoxSubmitted by Apple on Mon, 10/28/2013 - 16:38
Dave Wright had $16,500 of the crypto-currency Bitcoin transferred from his account without his knowledge. On April 23rd 2013, Wright’s Mt. Gox account was hacked by an IP address based in Holland and the money was transferred out. “Every time I log back into my account it is like returning to a murder scene, so sad.”
A Bitcoin account can be set up so it is completely anonymous which is a strong appeal to it’s users but it also makes theft hard to reconcile. Since April, Wright has been contacting the company based in Japan and has been told there was nothing they could do to return his funds and he would have to contact his local police.
Wright cashed in 130 of his Bitcoins at $127 each ($16,510) and was looking forward to using the profits to pay off outstanding medical bills. Mt. Gox has a policy of only allowing $1000 to be cashed out in a 24-hour period. Wright was slowly getting disbursements of his money and was hoping for the entire transaction to be finished within a few weeks. During that period, a hacker broke into his account and interrupted the process of cashing out. The thief converted all the proceeds back into Bitcoins then transferred them all out to himself, thus circumventing the $1000 a day policy.