Tokyo-based Mt. Gox has seemingly gone silent. With user reports that trading has been disabled (see this thread on Reddit), a joint statement that originally declared the company’s insolvency (but was edited later to remove the word “insolvency”), and the fact the website is offline, the community is abuzz with theories and speculation — none of which are particularly optimistic.
But the overwhelming consensus is that the beast has fallen. We can’t confirm this independently, but whatever is going on at Mt. Gox definitely isn’t good.
Earlier this evening, The Two-Bit Idiot published an unconfirmed report that Mt. Gox had lost thousands of user bitcoins. His post was followed up with a “situation crisis strategy” document (again, unconfirmed) that outlined plans for the company moving forward.
The Bitcoin Foundation made the following statement to Business Insider:
“We are shocked to learn about Mt. Gox’s alleged insolvency. While we are unable to comment on whether or not Mt. Gox’s business operations employed operational best practices and reasonable accounting procedures, we can assure the public that the Bitcoin protocol is functioning properly.”
All of this put together — in the matter of one evening — is quite a lot to take in. It isn’t helped by the fact that the company has decided to remain silent — further perpetuating fear, uncertainty, and doubt.
Developments to come.