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Roth International Reports MtGox Seeks Bankruptcy Protection

January 30th, 2017 | by BTC News
Roth International Reports MtGox Seeks Bankruptcy Protection
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by michaelqtodd

Roth International Reports MtGox Seeks Bankruptcy Protection

Japan-based investment house, Roth International says that the concept of crypto-currencies has been dealt a serious blow as a result of the filing for chapter 11-style bankruptcy protection in Japan by Bitcoin exchange, Mt.Gox.

The beleaguered exchange’s website was taken offline suddenly last week and it has since emerged that it has lost almost its entire reserve of Bitcoins including those belonging to its thousands of customers in a hacking attempt.

“This is a public relations catastrophe for Bitcoin and other crypto-currencies. Not because there is some easily-exploited flaw in the technology but because the media coverage tends to lend credence to the notion that far from putting on a mask and brandishing a sawn-off shotgun at the local bank branch, one can simply hack into a Bitcoin exchange and walk off with $ 500 million as was done here with Mt.Gox,” opined a Roth International researcher.

It is unlikely that customers with bitcoins on deposit at the exchange will be able to recover them and, with the company filing for protection from its creditors and customers, it is unlikely that they will have an opportunity to bring charges against it for negligence.

The exchange’s owner, Mark Karpeles is adamant that weaknesses in the system were responsible for the loss of the bitcoins.

Roth International said that while it does not believe that crypto-currencies will be done away with as a result of the incident but it is warning clients who may be looking for an opportunity to take a position in post-collapse bitcoins that they still represent a high-risk investment.

“These investments are still highly volatile and, frankly, the price of bitcoins could have far further to fall so we’d advise extreme caution,” explained the Roth International researcher.

About Roth International:
Established in 2011, we are a rapidly expanding company, with our Head Office based in Osaka, Japan.

At Roth International we pride ourselves on providing first class discretionary, advisory and action-only investment solutions in addition to traditional stockbroking in accordance with our client’s requirements through meticulous research, well-timed action and fastidious philosophies of risk management. We offer a comprehensive investment process and a wide range of investment products and services that are designed to attain an investor’s long-term financial objective.

As Roth International is an independent entity it enables us to make investment decisions without any external influences, which ensures that every decision is made with the client’s best interests in mind.

Roth International
Maruito Namba Building,
25th Floor, Minatomachi,
1-5-23, Osaka,
Osaka-fu, Japan
Phone: +81645604013
email: info@roth-international.com
web: http://www.rothinternational.com

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