Bitcoin opened an alternative route for investors to earn profits from trading Bitcoin binary options and forex online. This market has significantly blossomed over time, and it has paved the way for new trading platforms to emerge on the scene. One of these—one that is widely accepted and lauded by many—is Bitcoin Trader. However, this Bitcoin forex and mining platform is but a thing of the past.
Bitcoin Trader surprised the Bitcoin community with its announcement of ceasing its operations. Launched in October 2013, this business had helped set the standards for Bitcoin forex due to its professional trading services that are complemented by its mining services.
With only almost a year into its operation, traders have started to question its ability to stay in the market for a longer time. Finally on Oct. 6, clients began to face problems in cashing out their Bitcoin funds while some were reported to still manage to withdraw fiat currencies.
Investors on Bitcoin Trader were left asking for explanations, but owner John Carley was nowhere to be found. Instead, a statement from Carley was released, explaining the real score behind the issues and the absence of Bitcoin Trader.
He said in the statement that the Bitcoin Trader wallet was hacked and emptied during a process that was needed to proof its solvency, stating that declaring bankruptcy is the last measure to take:
“My aim was to create something based on trust, just as bitcoin itself is based on distributed trust. Unfortunately I must admit today, I have failed. All left to do now is to declare bankruptcy with the Panamanian authorities and to hand over all relevant files and information for further investigation.”
This decision appeared to have been conceived after attempts to negotiate with the hacker failed, when the latter declined Carley’s offer of a 25% ransom. Clients, however, have reservations about this story, resulting in a clamor for truth: was Bitcoin Trader really hacked or this was all part of a scam schemed by Carley himself?
Unfortunately, with the declaration of bankruptcy with the Panamanian authorities, traders may have a difficult time retrieving their lost bitcoins.
While this is sad news for the parties involved, this may also negatively impact the public perception of Bitcoin forex and binary options trading markets in the long run and even extend to the striving niche of Bitcoin gambling.
After all, events like this, coupled with the shutdown of Moolah, the fluctuating Bitcoin price, and other scam incidents in the Bitcoin gambling and other markets may hamper the continuous rate of Bitcoin adoption.