Wednesday, September 4, 2013

Delays in Cash Withdrawals from Bitcoin Dealer Mt. Gox

Wapo reports:
If you sell Bitcoins on Bitstamp, you can withdraw the dollars at any time. In contrast, the Japan-based Mt. Gox, which has been under pressure from American regulators, has been slow to redeem customers’ dollar-based deposits. The exchange declared a two-week “hiatus” on withdrawals in June. In July, the exchange admitted it had a “back-log of withdrawals that we need to process.” Last month, the exchange said that “the issues with deposits and withdrawals from Mt. Gox are being relieved, but still not at the rate we want.”
Bitcoin discussion forums are full of people complaining about long delays in processing withdrawal requests. 
Backlog? It sounds to me as though because of the earlier seizure by the U.S. government of millions in cash,  that Mt. Gox may not have the cash on hand to meet withdrawal demands of those who liquidated bitcoins through Mt. Gox and had cash on hand at the dealer. Thus, the dealer may be waiting for new cash to come in to pay off those demanding cash. Possible low grade Ponzi, thanks to the USG?  


  1. Waiting three months now for $1700 from Mt Gox.
    Last email said, 'Cannot give you an ETA on sending funds.'
    Nothing less than criminal!

  2. They are going to run. Run, run be faster than them.