Cryptocurrency exchange news

It is with great regret to inform you that we will be ceasing our US operations effective today. If you reside outside the United States this does not affect you.

We’ve made this decision not because of any specific legal challenge or threat, but because we feel the regulatory environment in the US is becoming increasingly hostile toward Bitcoin, and more specifically toward exchanges trading in digital currencies. We’re heeding the warnings of Bitcoin Foundation and BitInstant founder, Charlie Shrem, who recently conducted a troubling interview with “Let’s Talk Bitcoin.” If you want to hear more about the situation exchanges face operating in the US, we recommend you listen to episode 87 of “Let’s Talk Bitcoin” here[1] .

We’ve made repeated attempts to comply with FinCEN regulations, but their online form submission process will not allow us to post reports from our headquarters in Ontario, Canada. They refuse to accept printed paper reports, and their drop-downs don’t include Canadian options, making it impossible to the file the required documentation properly in order to comply. Despite repeated inquiries into how to properly file reports from Canada, we have yet to receive a satisfactory response. They’ve literally made it impossible for us to run our business in compliance with their regulations.

We make this decision with a heavy heart, and will be revisiting it as we continue to monitor the regulatory and legal position of the US government (and all of its individual States) towards digital currency exchanges. Each State has their own requirements for how to handle a business like ours, and the setup and compliance costs are astronomical. We’d like to get back into the US digital currency exchange market as soon as possible, but cannot do so until the regulatory situation is clarified and settles down. We will be exploring re-launching on a state-by-state basis, but we do not yet have a timeline in place.

If you are a US-based customer, unfortunately your account will soon be demoted to level 1, and you will be limited to coin-to-coin trading, which will be launching within the coming weeks. Any dollars currently in your account will be refunded to you via check, which you should receive within 2-3 weeks’ time. Please make sure your address is correct.

If you’re a US-based customer and have recently submitted documents for verification, unfortunately, we will not be able to verify your account at this time.

To all of the amazing American users who have helped us build Vault of Satoshi into what it is today: we value you tremendously and we hope that we have not lost your trust and support. We deeply regret that we can no longer service your cryptocurrency exchange needs, and we’ll do everything we can to re-gain your business and re-launch in your country in the near future, stronger than ever before.

To Canadian and International users, we’ve got exciting plans ahead and are continuing our to expand and cement our position in this industry. Stay tuned for more amazing innovations from our team here in Canada.
Thank you once again for your incredible and humbling support.

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Dear Crypto-Trade user,

Right away the most important part: we have fixed the security hole, added new security layers to our servers and re-enabled trading on www.crypto-trade.com!
Yes, you heard correctly: while reading this newsletter, trading is already possible again. But you certainly want to know a few more details, so let us continue..

What's even more important by now: Against all odds we didn't run away with your coins and money - they are all still completely under your control, as promised by us. So, if there is at least something positive to be said about the past days, neither we nor you were goxed (whatever that means). To give you a short summary of what happened to the stuck coins and fiat money that were affected by the trading shutdown, pls take a look at the following list:

- All stuck withdrawals (except PayPal and a few OKPAY's) whether they belonged to a crypto currency or to fiat money were processed.
- PayPal withdrawals were canceled and you should find the related amount of fiat money in your Dashboard again (details below).
- OKPAY withdrawals will be completely processed by no later than the next 1-3 days. We transfered most of them, but now we hit our monthly account limit, so we need to upgrade it before the rest goes through.
- All deposits were released and should already appear in your Dashboard as well.

Regarding PayPal: we're currently not able to process withdrawals via PayPal, that's why we canceled all pending transfers and credited the money back to their owners. Furthermore we temporarily deactivated the option to pay out via PayPal and recommend everyone to use any of our currently available payment processors that can be found here: https://crypto-trade.com/fees
We're aware that this situation might cause some troubles to our US citizen, since PayPal was their only option to withdraw fiat to their bank account, so be sure that we're working on a solution for this issue. You already might have heard the reason for this situation elsewhere: As a matter of fact, we were obliged to use a third party processor for all PayPal withdrawals, because PayPal's Terms of Service don't allow their customers any business related to crypto currency trading. Unfortunately our third party processor (Payeer) stopped its cooperation with PayPal, so there's currently no way for us to pass your money safely to PayPal.

So, what happened exactly?
The bug that made it possible to steal us approx. 30,000 USD came with the implementation of our latest server. It was a glitch in the new server's setup and not active before. As mentioned above, we fixed the issue so it should not appear again. We want to apologize for all the troubles caused by the downtime: this was clearly a human error and we're deeply sorry for that. Well.. needless to say that the loss was all on us, too. At this point we want to thank all of you who believed in us and who didn't spread causeless panic. More than ever we're full of hope to become the best exchange out there and even if we're still far from beeing perfect, we might have proven to be trustworthy.

What's next?
While this newsletter's main purpose is to inform you about the current situation, we don't want to end it without having outlined some further actions regarding Crypto-Trade. We're already working hard on Crypto-Trade v2 which will include many of those new features that were requested by you! From "C" like chat history scrolling without auto-refresh, to "T" like trading performance improvements - we surely will find at least one feature for every letter in the alphabet. Our todo list is almost endless - so are the opportunities! Of course we're going to look into new coins that would match our current agenda as well as we're going to find better/faster/safer ways to transfer your fiat money throughout the internet. So stay tuned for further updates!

One more thing: Of course our Twitter retweet contest will be extended! New deadline is Sunday, February 9th (12:00 AM GMT). If you want to enter for a chance to win 100UTC+100WDC+100FTC make sure to RT the following tweet:

https://twitter.com/x/status/436608575843340288

We will randomly pick 5 lucky users on Sunday - each of them will get Crypto-Trade redeem codes of 100UTC/100WDC/100FTC.

In the meanwhile, please feel free to follow us on twitter (@Crypto_Trade) and on Facebook (https://www.facebook.com/CryptoTrade to) or drop by at our chatbox to get the latest news about Crypto-Trade.

Best Regards and happy trading!
Crypto-Trade Team

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Silver_Pharaoh said:

For those using Craptsy and have your email set to one at hotmail.com or live.com, read this:

https://twitter.com/x/status/445589318367977472

That means until they can get that resolved, my 0.03BTC is stuck there

*sigh* I hate those guys.... Everytime I use they, sh*t goes downhill.

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sobe said:

I've been quite happy with BitSimple as far as withdrawing BTC to paypal goes.

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Silver_Pharaoh said:

Fee %??
Usually 6% I think, is it lower?

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sobe said:

"Buying Bitcoins:
Bank Wire: Zero Fees

Withdrawing USD:
Bank Wire: $25 Flat Fee
Bank ACH: Zero Fees
PayPal: 1.9% Fee"

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Luke1978 said:

We need OCF mining banners. Didn't want to make a thread about it. And no place else to really put it
/thread crap

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PRLog (Press Release) - Apr. 1, 2014 - The meteoric rise of Bitcoin as an alternative currency around the world has been in major headlines and continues to be a source of interest for people seeking options in a shaky financial environment. Unfortunately, one of the traditional concerns with Bitcoin revolves around the mining process and its resultant electronic waste. Bitcoin miners typically use electricity to generate the currency, but not much else is generated, creating large amounts of wasted energy. However, a new coin has recently been released based off of the Bitcoin protocol that aims to solve this problem of electronic waste by finding new prime numbers as a by-product of mining.

These prime numbers are of interest to mathematicians and the scientific community. Riecoin is proof that it is possible to effectively harness massive computing power to achieve something useful on top of generating coins alone. The process of money creation in Bitcoin - referred to as mining - involves executing software that utilizes computer hardware running SHA-256 hashes until a certain criterion is met. This part of the mining process is called generating a "proof of work". The whole mining process also plays a critical role in processing transactions and providing security to the network. It is estimated that the total Bitcoin mining network has more computing power than several hundred of the world's largest supercomputers combined. Riecoin seeks to tap into this vast processing power to benefit mathematics, as well as the environment.

“Riecoin uses its unique proof of work algorithm to find prime numbers, whose lengths we hope to one day break records for,” says Nick Roberts, a founding member of the Riecoin Foundation. “We’re getting close to a point of entry into mathematical territory that simply hasn’t existed before”.

Contact the Riecoin Foundation

http://www.riecoinfoundation.org

[email protected]

Nick Roberts
Communications Manager, Riecoin Foundation
[email protected]

About Riecoin

Riecoin is a decentralized (P2P) open-source digital currency. It allows money to be transferred anywhere in the world with minimum transaction fees, sometimes even for free (depending on many factors like the amount to transfer and network load at the moment of the transaction). It is a fork of the Bitcoin project. The name "Riecoin" pays homage to Bernhard Riemann (http://en.wikipedia.org/wiki/Bernhard_Riemann), whose work generated new ways of studying the distribution of prime numbers, and to Bitcoin, the cryptocurrency that started it all.

For more information on Riecoin visit www.riecoin.org.

Contact
Riecoin Foundation
[email protected]

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Mr.Guvernment said:

The difficulty has gone up but needs to hit the 1800 mark to start breaking records, get in here and show some support for Riecoin!

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Luke1978 said:

We need OCF mining banners. Didn't want to make a thread about it. And no place else to really put it
/thread crap

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Janus67 said:

Sounds interesting, but we don't have a "team" of sorts like with the DC projects.

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EarthDog said:

I am one vote... and not sure which way I would go honestly. As Janus said, it isn't really a 'team' for OCF. The goal is monetary/profit based achieved by individuals for themselves only and not philanthropic like the other teams are (outside of benchmarking). If someone creates a thread in Forum Feed back or the mod hotline, it will be discussed!!

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