Silk Road forums

Discussion => Security => Topic started by: xdjx on August 21, 2012, 08:28 pm

Title: Worlds first Bitcoin lawsuit - Intersango owners being sued for $460000
Post by: xdjx on August 21, 2012, 08:28 pm
Haven't seen anything about this on the forums so apologies if it's a repost.

So it looks like 4 guys in America are suing the owners of Bitcoinica for $460000 for the coins that were lost in their security hack back in May.
The owners of Bitcoinica are the same owners of the UK exchange Intersango.

Afew links:

There are lots of rumors going around of Intersango going under and if this lawsuit rules against them that seems quite possible so I just wanted to warn everyone in the Uk who uses them to be careful until this passes, would hate to see any SR members losing their money to the muppets that run Intersango.

Happy and safe travels on the road guys, im off to have a fat j and go to bed :D

Title: Re: Worlds first Bitcoin lawsuit - Intersango owners being sued for $460000
Post by: blowdrobro on August 21, 2012, 09:53 pm
Damn, that's a lot of dough to have in BTC's. I wonder if it all came from legitimate business.
Title: Re: Worlds first Bitcoin lawsuit - Intersango owners being sued for $460000
Post by: pine on August 22, 2012, 04:18 am
I doubt they have a case. Even if B$ is considered as legally equivalent to the dollar, which it won't be seeing as it's not legal tender in the eyes of the law currently, there is no legal obligation for a website to adopt sound security practices unless they are legally obligated to. An online bank has a fiduciary duty, but I don't think a bitcoin wallet or exchange has the same responsibility. I mean, I think they *should*, and that bitcoin ought to be recognized as legal tender (otherwise how the fuck do money laundering charges stick? :D ), but wishing don't make it so.

They are making a big noise, but that is all it is. I cannot think of a precedent they could appeal to. Obviously I'm no lawyer, but we'll see if I'm wrong soon enough.

The big danger isn't the claim, but the extreme cost of legal fees, they are trying to get something out of the Bitcoinica people in the hope that hurting Intersango's reputation and pocket book will force them to cooperate.

So because of the threat of legal fees there is still a danger that Intersango could feel compelled to 'take the money and run', which is a bit of a self fulfilling prophesy in some sense given that some people claim the Bitcoinica theft was an inside job. We'll never know of course.

IMHO, it will just get thrown straight out of court.

Also: Fuck the Law(yers). They're crippling America and the West in general, I think even anti-SR LE agents would agree with that unpleasant synopsis.