Silk Road forums

Discussion => Security => Topic started by: murungu on January 25, 2013, 08:26 pm

Title: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: murungu on January 25, 2013, 08:26 pm
The wiki says they will contact me via my tormail, but should I copy my wallet code string or anything like that?
Would i be better of storing my BTC at a ttrusted third party BTC 'bank'?  ???
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: parabol on January 25, 2013, 08:39 pm
In your account settings you can enter a external BTC address that will be used to give you back the coins in the event of the worse.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: Wadozo on January 25, 2013, 09:24 pm
If SR is ever taken down for good by LE, with it will go your coins if you have any in your SR E-Wallet.
Hence the reason you keep your coins either in a web based bitcoin client or a better option is a desk top bitcoin client. When you first exchange cash for bitcoins, have them transferred into either your web or desk top bitcoin client's E-Wallet. When your then ready to make a purchase on SR, transfer the coins from your E-Wallet to the bitcoin address associated with your SR E-Wallet. Try not to leave any spare coins in your SR E-Wallet just in case the site ever does go down.
Some examples of Web Client E-Wallets are InstaWallet or Coinbase.
Some examples of Desktop Client E-Wallets are Bitcoin-QT or Multibit.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: astor on January 25, 2013, 09:34 pm
In your account settings you can enter a external BTC address that will be used to give you back the coins in the event of the worse.

The worst case scenario is that all SR operators are simultaneously raided and arrested, so they never have a chance to send out coins. That's why you should never keep more coins in your account than you need to make a purchase.

Hope for the best, but prepare for the worst.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: parabol on January 25, 2013, 11:37 pm
The worst case scenario is that all SR operators are simultaneously raided and arrested, so they never have a chance to send out coins. That's why you should never keep more coins in your account than you need to make a purchase.

Hope for the best, but prepare for the worst.

I believe they will smell the wolves coming and will shut and erase everything before they get to them, your lack of faith in SR team surprises me, for someone with that many posts.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: Skeezer on January 25, 2013, 11:59 pm
To be fair, he did say worst case. And I doubt the staff here would see it coming unless LE messes up somehow (which is entirely possible). Being prepared for the worst is just always a good idea.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: astor on January 26, 2013, 12:05 am
If I had faith that nothing would ever go wrong or that the worst case scenario was impossible, I wouldn't bother PGP encrypting my address, yet that's my biggest message on the forum (check my sig).

Even if the worst case scenario doesn't happen, lots of other things could go wrong. Perhaps you remember the November down time when people's accounts and money were inaccessible for 5 days. That is reason enough not to store more coins in your SR account that you need for a purchase, and no longer than you need them for a purchase.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: Crazy Eights on January 26, 2013, 12:57 am
As stated earlier buyers should only have their account an amount they desire to spend.. Seller's well cash out through your normal methods.

I had a buyer saying they were finally spending  the btc's they bought for 7btc's last year and they were elated they doubled + their coin count

Personally I prefer to exchange them asap as anything could happen as an earlier post had mentioned.

If you desire to be in btc's for the long haul have an unattached wallet

side note - that buyer did get a hell of a deal - my problem is I don't gamble

Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: stemcell on January 26, 2013, 02:09 am
im really confused. i thought mt.Gox was supposed to be where you store your funds incase something happened here then just transfer it back when you need them. i guess that is no longer the case? Does anyone have a better recommendation? I see you stating these wallets but does anyone know the link to the actual wallet?
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: SorryMario on January 26, 2013, 02:57 am
im really confused. i thought mt.Gox was supposed to be where you store your funds incase something happened here then just transfer it back when you need them. i guess that is no longer the case? Does anyone have a better recommendation? I see you stating these wallets but does anyone know the link to the actual wallet?
All you need is a bitcoin client like Electrum that will generate unique wallet addresses (the wallet addresses are shown under the "receive" tab). Just send the coins to one of those wallet addresses.

The coins can only be spent from that wallet, so make sure you store your "wallet recovery phrase" (autogenerated when you first install Electrum) in a SAFE SECURE SNOOP-PROOF PLACE and keep your passphrase (for spending the bitcoins) in a similar safe, secure, snoop-proof place. The coins will remain in that wallet address until you spend them using that wallet and passphrase.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: stemcell on January 26, 2013, 03:33 am
i created a blockchain.info is that ok? is there any amount you should never store over in an account?
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: parabol on January 26, 2013, 07:38 am
If I had faith that nothing would ever go wrong or that the worst case scenario was impossible, I wouldn't bother PGP encrypting my address, yet that's my biggest message on the forum (check my sig).

Even if the worst case scenario doesn't happen, lots of other things could go wrong. Perhaps you remember the November down time when people's accounts and money were inaccessible for 5 days. That is reason enough not to store more coins in your SR account that you need for a purchase, and no longer than you need them for a purchase.

yeah I guess is depends a lot of the amount of money we are talking here. Like buying thousands of USD in BTC when they are low price. I just keep low amounts, I'm fine with it.
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: ukbenjy on January 26, 2013, 11:50 am
Am I the only one who spends all their BTC as soon as they get them? So much weed, so little money!!  ;D
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: Meatgrinder on January 26, 2013, 02:01 pm
Am I the only one who spends all their BTC as soon as they get them? So much weed, so little money!!  ;D

This, but fireworks and MDMA :D
Title: Re: If SR gets destroyed, what REALLY happens to my BTC account?
Post by: OldIsGold on January 26, 2013, 02:19 pm
I think lots of people here need to read up on HOW bitcoins exactly work.
No online wallet is really safe since you don't hold the coins yourself.
It's like trusting a bank. And not even a regular one around the corner, but more like one based in some tax haven, that can disappear in a heartbeat.

The only safe storage of btc is storing them yourself. For this you will need a bitcoin client.
Preferably the official bitcoin client and storing your "wallet.dat" file on an encrypted drive (for example a TrueCrypt container).

Lots of info at the (clearnet)forum: bitcointalk.org

Oh I miss the OVDB where people actually were concerned about their security and privacy & shared their knowledge with others.....