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ExtraTorrent.cc > Articles > MtGox Founder Arrested in Japan over lost Bitcoins

MtGox Founder Arrested in Japan over lost Bitcoins

MtGox Founder Arrested in Japan over lost Bitcoins

Added: Saturday, August 1st, 2015
Category: Recent Headlines Involving File Sharing > Ridiculous Criminal Trials
Tags:ET, p2p, Torrent, Piracy, Peer To Peer, Network, Hackers, Internet, BitTorrent, Google, utorrent, bitcomet, extratorrent, www.extratorrent.cc, 2015
Mark Karpeles, 30, the ex-boss of the now defunct popular Bitcoin exchange MtGox, was arrested in Japan over the disappearance of millions of dollars worth of the cryptocurrency.


The French-born Mark Karpeles was accused of falsifying information on the outstanding balance of the Bitcoin exchange, which used to be the world’s largest hub for trading cryptocurrency. According to Japanese news reports, officials from the Tokyo metropolitan police claimed that Mark Karpeles allegedly manipulated the exchange computer system to inflate its assets.

After media reports emerged about his arrest, Mark Karpeles claimed that the allegations were “false” and he would “of course deny” them. When the exchange filed for bankruptcy last year, Karpeles explained that 750,000 customer Bitcoins and another 100,000 Bitcoins that belonged to MtGox disappeared due to a software security bug. At the time of the bankruptcy filing, these 850,000 Bitcoins were worth $480m. The cryptocurrency exchange also said that over $27m was missing from its Japanese bank accounts.

Mark Karpeles blamed hackers for the loss and later announced that he was never going to hide from justice and managed to recover 200,000 of the lost Bitcoins. He was known as a self-proclaimed geek saying he was uncomfortable in his native country and hadn’t been back in years. The MtGox founder became interested in Bitcoin when one of the clients of his web-hosting services offered to pay in cryptocurrency.

After a while, MtGox was dominating global trade in Bitcoin. However, back in 2012, employees at the Tokyo-based exchange have already challenged the founder on issues including client money being used to cover costs.

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Date:  Saturday, August 1st, 2015

Comments (1) (please add your comment »)

posted by (2015-08-03 01:45:55)
No avatarIt is said that this guy was dp roberts from silk r and that ross ulb rick was given the reign after carpels held it over to him. While I can't prove it, he just might have been. For years the go to place was sr, and when asked what you need to buy d*r)u_gs from sr, first was get bit coin from mtgox. Also the reason why its so high prices was the media riding on it announcing dr)u_g sales on sr, and the 73 people holding the most coins inflating the price. This is documented. Also this carpels dude would not fix his security issues after many pointed them out, so later he could just claim hac(ker(s. nice scapegoat he did... Lets just hope he doesn't weasel his way out of this one too.

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