Want a reason to store your Bitcoins on a flash drive? One collector had $500k worth stolen in an e-heist

| June 16, 2011 | Reply

User Allinvain on the Bitcoin forums has claimed to have about 25,000 bitcoins stolen when someone broke into their computer. The stole his wallet.dat file which contains his online currency – all of it. Allinvain probably mined most of his coins as he is an early user of the mining program to collect coins. He claims he wanted to set up a paypal type system just for Bitcoin payments.

The crappy part of the whole thing is the fact allinvain knows the username of who stole his coins and can even see when transactions with his coins were made. But that comes with two problems: 1. You can’t prosecute someone for stealing something liek that when it’s not recognized as a nation currency anywhere and 2. Even though the username and transaction log can be had, the actual person who will be spending his coins is going to be completely anonymous. So he can just watch in vain(pun intended) while his hard work makes someone else half a million dollars or so in goods or cash. I doubt everyone who will take or buy a bitcoin will be nice enough to refuse his stolen coins. With this story coming to light, does it make anyone a little nervous? Or is it the users fault for keeping such value on a home pc connected online?

Source: PCmag


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Category: Tech News

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During the day I work in graphic design and also do photography. By night I try to play with programming and code of all different types. I love the opportunity to write for the site and hope to see it grow as time goes on.