CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

Thousands of lost bitcoins recovered

Article By: ,  Financial Analyst
March 21, 2014 9:15 AM

Tens of thousands of lost bitcoins have been recovered by one of the virtual currency's leading exchanges, which went bankrupt a few weeks ago.

MtGox revealed it found the bitcoins – which are worth around $116 million (£70 million) at the current valuation of the virtual currency – in an old digital wallet from 2011, reports BBC News.

The firm's chief executive Mark Karpeles said in the filing: "MtGox had certain old-format wallets which were used in the past and which, MtGox thought, no longer held any bitcoins."

MtGox closed down last month after admitting that it had lost thousands of bitcoins to hackers. It was previously the exchange many bitcoin users utilised to carry out transfers with their bitcoins.

Some 750,000 customer bitcoins were stolen, as well as close to 100,000 of MtGox's own bitcoins, in the cyber attack. The number of lost bitcoins has now been reduced from around 650,000 from 850,000 as a result of the new discovery.

Lost bitcoins

One UK resident was left devastated last year when he realised he had thrown away an old hard drive on which his bitcoins were stored. It was believed that the haul – which was probably on a landfill site in Wales – was now worth in excess of £1 million.

Mr Karpeles added that "on March 7th, 2014, MtGox confirmed that an old-format wallet which was used prior to June 2011 held a balance of approximately 200,000 bitcoins" and he explained that the company moved the found bitcoins to offline wallets on March 14th and 15th so that they could not be targeted by hackers.

The value of bitcoin has been notoriously volatile in the last 12 months as the reputation of the virtual currency becomes more solid and countries start to take it more seriously as both a payment method and a currency in its own right.

However, the number of physical stores anywhere in the world that allow bitcoin users to spend their virtual currency is still small.

Learn about the sterling and forex trading at City Index

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024