Those who enjoy trading the cryptocurrency, known as Bitcoins, are now placing bets on some optimistic investors that are looking to save Bitcoin trading giant Mt.Gox. Their hopes have been elevated as there is an 11th hour bid to save the Bitcoin giant from Japanese bankruptcy court.
What is this attempt to save Mt.Gox about? It is about the virtual currency trying to save the value, or what is left of it, of its own so called ecosystem. The firm behind this attempt, called Sunlot, has also issued an online petition to attract investors to help back a plan to save this, once huge, Bitcoin giant. Still, success is not a foregone conclusion, and could be a ways off if at all successful.
Sending a Message to the Public and Regulators
To date the group has only offered a token 1 Bitcoin for Mt.Gox but is looking to correctly assess its value through an auditor to quantify any liabilities. If successful in its bid, this could send a very powerful message not only to the public but regulatory bodies around the world. They are telling creditors, that if successful, they will relaunch the exchange with better security features. They also want to pledge some revenue to help recover some assets lost by investors and creditors thanks to Mt.Gox.
So far, Sunlot’s ambitious plan has attracted more than 70 percent of the creditors backing MtGox. This is their opportunity to tell the world that Bitcoin trading firms, and the Bitcoin world, does not need government bailouts. Their own community is self-healing.
MtGox Declares Bankruptcy
Back in February, of this year, Mt.Gox said it lost 850,000 bitcoins totaling $500 million. They were later able to recover 200,000 coins. This announcement came just before it filed for bankruptcy. After the matter is investigated by the courts, a decision is set for May 9. It is expected that Mt.Gox will be liquidated by the court and its assets to be acquired. Right now, according to a statement by Mt.Gox, there is now plans to restart the business and their website, aside from an account log in, remains closed.
Enter Sunlot, which has a wide range of experienced investors including Brock Pierce and Jonathan Yantice, experienced online businessmen. They also have venture capital giants like William Quigley from Clearstone Venture Partners and Mathew Roszak from Silk Road Equity. Quigley specializes in internet, gaming and communication investments and Roszak has experience with over $1 billion in investments over his career. Yantis works for Gaming Entertainment, Ltd which sells virtual in game gold for online games.
Binary Options Take For the Day
Right now Bitcoins are trading at $503.80 with some stability. They are in a flat trading range but gained nearly 7 percent on the last trading day. There is always a huge chance of volatility in this market which makes it hard to gauge direction.
Discussion
There is so much uncertainty in Bitcoins. The world of virtual, online cryptocurrency, is viable and the door has been open. The question is, will it be Bitcoins or another virtual currency that takes hold and transforms the online payment world? Sound off in comments below.