Statement on Mt. Gox

Many people are asking about Bitcoin in light of the recent problems with the exchange Mt. Gox.

In any new and potentially transformative and disruptive technology, wild swings are likely, volatility is likely and painful bumps in the road are likely.

Basically what happened is that a poorly managed Bitcoin exchange has been run into the ground and it seems likely a lot of people may lose money. This is sad and unfortunate. It does not at all change the fundamentals and foundation of Bitcoin which is that it is a new and significant invention which, for the first time ever, allows for people to transfer something securely to another without use of a trusted third party.

Over time this invention has incredible potential to change the world and many believe that this technology is a major breakthrough. If this does become as huge as many of us believe it will, we will see more major ups and downs along the way.

Leave a Reply