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'''MtGox''', called "Mount Gox" or "MTGOX", has been the most widely used bitcoin [[currency exchange]] market<ref>2011-06-07 on #bitcoin-otc: "MagicalTux: you could use the count of users on mtgox (went over 30k recently)"</ref> since it was started, and remains the largest in terms of popularity and volume.
{{infobox company|name=Mt. Gox|image=[[File:MtGox.png|256px]]
|industry=[[Exchange|Fiat exchange]]
|foundation=July 18, 2010
|defunct=February 25, 2014
|location=Shibuya, Tokyo, Japan
|founder=[[Jed McCaleb]]
|owner=[[Mark Karpeles]]
|parent=[[Tibanne Ltd.]]
|assets_btc={{steady}} 300,000
|assets_usd={{steady}} $67.6 million
|assets_year=2015
|equity_btc={{steady}} -644,408
|equity_usd={{steady}} -$183 million
|equity_year=2015
|pairs=USD/BTC<br/>EUR/BTC<br/>CAD/BTC<br/>GBP/BTC<br/>CHF/BTC<br/>RUB/BTC<br/>AUD/BTC<br/>SEK/BTC<br/>DKK/BTC<br/>HKD/BTC<br/>PLN/BTC<br/>CNY/BTC<br/>SGD/BTC<br/>TBH/BTC<br/>NZD/BTC<br/>JPY/BTC
|website=https://mtgox.com
|subreddit=mtgox
|twitter=MtGox
}}'''Mt. Gox''', called "Mount Gox" or simply "Gox", was the most widely used bitcoin [[currency exchange]] market from shortly after its inception in 2010 to its insolvency late 2013.<ref>2011-06-07 on #bitcoin-otc: "MagicalTux: you could use the count of users on mtgox (went over 30k recently)"</ref> The market was closed February 25, 2014 and has since filed for bankruptcy protection in Japan and the United States, after [[Collapse of Mt. Gox|losing 640 thousand bitcoins]].


A registrant on MtGox has at least two sub-accounts: one for bitcoins (BTC), and one for US dollars (USD or MTGUSD) or other national currency. Bitcoins are bought using funds from the trader's national currency account, and the proceeds from the sale of bitcoins are deposited into the same account. Trading must always involve bitcoins as trading between different national currencies is not offered.
A registrant on Mt. Gox had at least two sub-accounts: one for bitcoins (BTC), and one for fiat currency. Bitcoins were bought using funds from the trader's fiat account, and the proceeds from the sale of bitcoins were deposited into the same account. Trading always involved bitcoins as trading between different national currencies was not offered.


Trades on Mt. Gox's execute from balances on deposit with the exchange which in turn makes trading on the market instantaneous, compared to some other Bitcoin markets where a subsequent settlement occurs manually between the trading partners. The disadvantage of this is that a third party must be trusted with keeping the money safe.
Trades on Mt. Gox's executed from balances on deposit with the exchange which in turn made trading on the market instantaneous, compared to most other Bitcoin markets of 2010 where a subsequent settlement occurred manually between the trading partners. The disadvantage of this was that a third party had to be trusted with keeping the money safe.


MtGox was originally started by Jed McCaleb in July 2010, and was sold to [[Tibanne Co.]] in Japan in March 2011.  It is currently operated by Tibanne Co., managed by Mark Karpeles (MagicalTux).
Mt. Gox was originally started by [[Jed McCaleb]] in July 2010, and was sold to [[Tibanne Co.]] in Japan in March 2011.


==Trading==
==Trading==
===Buying and selling===
===Buying and selling===


Buying and selling Bitcoins is simple.  A buy order is executed partially or in full when the price bid can be matched against a sell order that is at or below the bid amount.  A sell order is executed partially or in full when the price asked can be matched against a buy order that is at or above the ask amount.  Orders that cannot be matched immediately remain in the orderbook.
A buy order was executed partially or in full when the price bid could be matched against a sell order that was at or below the bid amount.  A sell order was executed partially or in full when the price asked could be matched against a buy order that was at or above the ask amount.  Orders that could not be matched immediately remain in the orderbook.


Unfunded orders do not appear in the order book, but are automatically readded if a deposit is credited.  For example, Mt. Gox allows the entry of a "buy" order even if the account has insufficient funds.  If possible, Mt. Gox will execute a portion of the order if it can be partially funded.  If a deposit is later credited and the deposit resolves the insufficient funds status of an outstanding order, the order will be immediately activated, and if possible, executed.
Unfunded orders did not appear in the order book, but were automatically inserted when a deposit was credited.  For example, Mt. Gox allowed the entry of a "buy" order even if the account had insufficient funds.  If possible, Mt. Gox would execute a portion of the order if it could be partially funded.  If a deposit was later credited and the deposit resolves the insufficient funds status of an outstanding order, the order would be immediately activated, and if possible, executed.


===Fees===
===Fees===


Mt. Gox charges a trading fee of up to 0.6% from each party of successful trades made through the market.  The fee appears in the account history next to each trade.  The trading fee is discounted for larger customers based on volume, which is calculated as a sliding window over the last 720 hours (30 days).
Mt. Gox charged a trading fee of up to 0.6% from each party of successful trades made through the market.  The fee appeared in the account history next to each trade.  The trading fee was discounted for larger customers based on volume, which was calculated as a sliding window over the last 720 hours (30 days).


The fees are, by default, subtracted from the proceeds of each trade (e.g., a buy of 1.0 BTC will add to the account balance 0.994 BTC when the exchange fee is 0.6%).  An account setting will allow fees to be added to the purchase amount instead (e.g., buying 1.0 BTC at $5 will cost about $5.03 when the exchange fee is 0.6%).
The fees were, by default, subtracted from the proceeds of each trade (e.g., a buy of 1.0 BTC will add to the account balance 0.994 BTC when the exchange fee is 0.6%).  An account setting would allow fees to be added to the purchase amount instead (e.g., buying 1.0 BTC at $5 will cost about $5.03 when the exchange fee is 0.6%).


==Adding Funds==
==History==
The exchange went online on July 18, 2010.<ref>[http://www.bitcoin.org/smf/index.php?topic=444.0 MtGox announcement on forum]</ref>


===BTC===
On October 10, 2010 the exchange switched from [[PayPal]] to Liberty Reserve as the main funding option as a result of chargeback fraud. Former PayPal customers still had the possibility to withdraw their USD using alternative methods.
There are no fees incurred when transferring bitcoins to a Mt. Gox account.


Funds are available once [[confirmation|confirmed]] (6 blocks)<ref>[http://www.bitcoin.org/smf/index.php?topic=3851.msg55220#msg55220 How long does it take to Deposit bitcoins to MtGox?]</ref>, a process that can take roughly an hour.
On March 6th, 2011 ownership of the exchange changed hands.<ref>[https://bitcointalk.org/index.php?topic=4187.0 Mtgox is changing owners]</ref> Mt. Gox's new parent, Tibanne, publishes their [http://legal.tibanne.com/docs/20110801_company_certificate.pdf company certificate] from the Japanese government.


The deposit address is presented along with a QR code that can be scanned with a mobile. This address does not change with each deposit request.
On July 19, 2011 a press release announced that Mt. Gox had acquired [[MtGox Live]], a price tracker.<ref>[https://mtgox.com/press_release_20110719.html World's Leading Bitcoin Exchange, Mt.Gox, acquires MtGoxLive.com]</ref>


The Add Bitcoins function experiences issues with some browser ad-blocking utilities even though no advertisements are displayed on the website.
Announced on March 6, 2012 was the Merchant Solution and API<ref>[https://mtgox.com/press_release_20120306.html Mt.Gox launches the definitive bitcoin checkout solution]</ref>
 
====Redeemable Code====
 
Bitcoins from another Mt. Gox user sent by Mt. Gox [[redeemable code]] (A.K.A. "coupon") may be deposited and will be available for trading immediately.
 
===Dwolla===
 
Dwolla is among the fastest and least expensive methods for adding funds from the United States of America to a Mt. Gox account. The transaction fee on [[Dwolla]] is merely $0.25. The process is automated and the funds become available for trading within an hour<ref>[http://forum.bitcoin.org/index.php?topic=15107.msg205622#msg205622 Dwolla to Mt. Gox vs. Dwolla to TradeHill]</ref>.
 
===OKPay===
 
[[OKPay]] may be used for depositing funds to USD, EUR, GBP, CHF, and RUB<ref>[https://support.mtgox.com/entries/21034626-okpay OKPAY]</ref>.
 
===Cash Deposit===
 
====U.S. (USD)====
* BitInstant - Cash (U.S. dollars) may be deposited at any of thousands of banks, 7-11, Walmart, CVS, Moneygram and more that [[BitInstant]] uses to transfer funds to your Mt. Gox account.
 
====Brazil (BRL)====
* BitInstant - Cash (Brazilian real) may be deposited using Boleto or through Banco Recomendito.
 
====Brazil (BRL)====
* BitInstant - Cash (Russian rubles) may be deposited using QIWI or Cyberplat
 
====UK (GBP)====
* Barclays - Cash (British pound sterling) may be deposited at any Barclays location.  There is a 1.5% fee on deposits made with this method<ref>[https://mtgox.com/press_release_20120806.html Introducing a new 1.5% fee on Barclays cash deposit]</ref>.
 
===Bank Wire===
 
====International USD====
Funds in USD may be wired to the exchange's bank in Japan. Each wire is subject to a per-wire fee plus any intermediate fees. 
 
====International Wire====
 
An account can be configured with a wallet for each of the currencies that the exchange supports<ref>[https://mtgox.zendesk.com/entries/20413328-mt-gox-opens-15-new-currency-markets Mt.Gox Opens 15 New Currency Markets]</ref>.  When a wire is received in one of these currencies, that account will be credited.
 
* USD - U.S. Dollar
* EUR - Euro (SEPA or Int'l wire)
* CAD - Canadian Dollar
* GBP - British Pound (Domestic or Int'l wire)
* CHF - Swiss Francs
* RUB - Russian Rubles
* AUD - Australian Dollars
* SEK - Swedish Krona
* DKK - Danish Krona
* HKD - Hong Kong Dollars
* PLN - Polish Zloty (Domestic or Int'l wire)
* CNY - Chinese Yuan
* SGD - Singapore Dollars
* TBH - Thai Baht
* NZD - New Zealand Dollars
* JPY - Japanese Yen (Domestic or Int'l wire)
 
===Direct Deposit===
====EU====
 
Funds in EUR may be added using SEPA Direct Debit for free, with funds convert to USD at the current ECB rate at the time the funds are received<ref>[http://www.bitcoin.org/smf/index.php?topic=5461.0 MTGox: Euro deposits]</ref>.
 
====U.S.====
 
Mt. Gox doesn't directly support an ACH-based (direct deposit) deposit method.  Dwolla supports ACH-based fund transfers and those funds can then be deposited with Mt. Gox.
 
====UK====
 
Funds may be sent as a GBP direct deposit free of charge.
 
====Australia====
 
Funds may be sent using direct deposit (BPay) for a AU$2.00 per-deposit fee.  The funds will be converted to USD at the current rate.
 
==Withdrawing Funds==
 
MtGox imposes a $1,000 USD limit for withdrawals per 24 hours and a $10,000 USD limit for withdrawals per month with most non-verified accounts.  Bitcoins withdrawn are counted toward this limit as well and the USD value is calculated at the market rate at the time of the attempted withdrawal.  Customers that have been Verified have higher limits and customers that have Trusted status have limits even higher<ref>[http://bitcoin.stackexchange.com/questions/2442/mtgox-trusted-vs-verified MtGox - trusted vs verified]</ref>.  Any [[MtGox#Transfers_to_Other_Customers|account-to-account transfers]] made also count toward this limit as well.
 
Requests for higher withdrawal limits may be submitted by email
* For higher limits for withdrawal of USD funds, email: aml@mtgox.com
* For higher limits for withdrawal of BTC funds, email: btcupd@mtgox.com
 
See the [[MtGox#AML|AML]] section regarding verification levels for AML purposes.
 
===Dwolla===
 
[[Dwolla]] is among the fastest and least expensive methods for withdrawing USD funds from a Mt. Gox account. The transaction fee to do so is just $0.25.
[[Dwolla]] withdrawals are processed every hour during business hours (Japan time) and every 12 hours on weekends.
 
As of 25 May 2012, MtGox requires account holders to be "verified (level 1) - 'see below'" to withdraw via Dwolla. <ref>https://support.mtgox.com/entries/21503347-new-aml-policy-for-all-dwolla-users</ref>
 
The status of the withdrawal request will show one of the following status codes:
 
* Preparing: System is running checks to see if the transfer can be executed.
* Confirmed: Transfer can be executed and is pending in queue.
* Todo: Transfer is near the top of the queue and will be executed soon.
* Processed: Transfer has been processed.
 
===BTC===
 
Bitcoins may be withdrawn at no charge.
 
A [[green address]] option is available though this type of transaction could experience a delay if the exchange's wallet funding level for green address transactions is insufficient.  The withdrawal form also offers an "open transaction" option which forces the transaction to go through the blockchain.  If the recipient of a BTC withdrawal happens to also be from Mt. Gox's [[EWallet]], then that transfer would occur instantly and the transaction would not be broadcast to the Bitcoin network.  This "open transaction" option forces a withdrawal to be broadcast to the Bitcoin network.
 
====Redeemable Code====
 
Mt. Gox no longer allows bitcoins or other currency to be withdrawn using a [[redeemable code]].
 
===Direct Deposit===
====U.S.====
 
There is currently no option for withdrawing funds through a direct deposit bank transaction.  Funds withdrawn to Dwolla may then, in turn, be withdrawn with bank funds deposited as an ACH transaction.
 
====EU====
 
You may withdraw any amount as a direct deposit to your bank.  There is a 2% fee on these withdrawals.  Contact the exchange by e-mail for this service.
 
====Australia====
 
A per-withdrawal fee (2,000 JPY) is subtracted and the remaining amount is sent via international wire in the chosen currency. If not AUD then an exchange fee of 2.5% will be charged.
 
===International Wire===
 
To any IBAN, SWIFT/BIC and ABA routable bank<ref>[http://www.facebook.com/MtGox/posts/343372689080478 Mt.Gox now offers international wire transfer to all US Banks]</ref>.  Fee applies.
 
=
 
==Customer Service==
 
The preferred method for obtaining service is to place a request through the exchange's [https://mtgox.zendesk.com help desk].  Another method is to send e-mail with the request.
 
==Wallet/Banking==
 
An account at this exchange can be considered to be an [[eWallet]]. This service also offers [[:Category:ECommerce|eCommerce]] merchant [https://mtgox.com/merch/about payment services].
 
==Security Center==


The Security Center allows an account to be secured through the use of one or more One Time Password (OTP) solutions such as what YubiKey and Google Authenticator offer. Features can be protected where the OTP must be provided for each action and are configured independently.
===Trading incidents===
On 19 June 2011, a security breach of the Mt. Gox bitcoin exchange caused the nominal price of a bitcoin to fraudulently drop to one cent on the Mt. Gox exchange, after a hacker allegedly used credentials from a Mt. Gox auditor's compromised computer illegally to fabricate a large number of bitcoins for himself. He used the exchange's software to sell them all nominally, creating a massive "[[Ask price|ask]]" order at any price. The price eventually corrected to its correct user-traded value.<ref>[https://support.mtgox.com/entries/20224998-huge-bitcoin-sell-off-due-to-a-compromised-account-rollback Huge Bitcoin sell off due to a compromised account - rollback]</ref><ref>{{cite press release | last=Karpeles | first=Mark | title=Clarification of Mt Gox Compromised Accounts and Major Bitcoin Sell-Off | date=30 June 2011 | url=https://mtgox.com/press_release_20110630.html | publisher=Tibanne Co. Ltd. | archiveurl=https://web.archive.org/web/20110919162635/https://mtgox.com/press_release_20110630.html | archivedate=19 September 2014 }}</ref><ref>{{cite AV media|people= |date= 19 June 2011 |time= |medium= |url= http://www.youtube.com/watch?v=T1X6qQt9ONg |accessdate= |archiveurl= |archivedate= |title= Bitcoin Report Volume 8 - (FLASHCRASH) |publisher=YouTube BitcoinChannel |id= |quote= |ref= }}</ref><ref name="mick">{{cite news|last= Mick |first= Jason |title= Inside the Mega-Hack of Bitcoin: the Full Story |date= 19 June 2011 |url= http://www.dailytech.com/Inside+the+MegaHack+of+Bitcoin+the+Full+Story/article21942.htm | work=DailyTech }}</ref><ref>{{cite news | first=Timothy B.|last=Lee |date=19 June 2011 | url=http://arstechnica.com/tech-policy/news/2011/06/bitcoin-price-plummets-on-compromised-exchange.ars | title=Bitcoin prices plummet on hacked exchange | work=Ars Technica | publisher=[[Condé Nast]] }}</ref><ref>Mark Karpeles, 20 June 2011, [http://bitgear.co/blogs/news/13602537-huge-bitcoin-sell-off-due-to-a-compromised-account-rollback Huge Bitcoin sell off due to a compromised account – rollback], Mt. Gox Support</ref><ref name="register1">{{cite news|title= Bitcoin collapses on malicious trade – Mt Gox scrambling to raise the Titanic |url= http://www.theregister.co.uk/2011/06/19/bitcoin_values_collapse_again/ |date=19 June 2011 |author= Chirgwin, Richard | work=The Register }}</ref> Accounts with the equivalent of more than $8,750,000 were affected.<ref name="mick" /> In order to prove that Mt.Gox still had control of the coins, the move of 424,242 bitcoins from "cold storage" to a Mt.Gox address was announced beforehand and executed in Block 132749.<ref>{{cite block|132749|hash=00000000000004bea72d0f390194b08162665a4fc99469c576338cd37164a15a|year=2011|month=06|day=23}}</ref> It was later revealed that the coins may have never been in cold storage, as the proof-of-solvency transaction was broadcast through a remote Linux desktop and a single hot wallet.<ref>{{cite reddit|r=Bitcoin|id=3fe92x|title=I'm Ashley Barr, A.K.A "Adam Turner", the first Mt.Gox employee, and alleged DPR (:/). AMA|date=1 August 2015|post=https://www.reddit.com/r/Bitcoin/comments/3fe92x/im_ashley_barr_aka_adam_turner_the_first_mtgox/ctnuo6u}}</ref>


For example, a typical configuration is to set OTP as being required for both withdrawals and security center changes but not for login. With that configuration, the worst damage that can happen from a compromised account or session would be that bitcoins would be bought or sold (though they could also be bought and sold over and over until funds are depleted).
In October 2011, about two dozen transactions appeared in the block chain (Block 150951)<ref>http://blockexplorer.com/b/150951</ref> that sent a total of 2,609 BTC to invalid scripts. As they were impossible to satisfy/redeem, these Bitcoins were effectively destroyed.


* Login - The OTP must be provided for each login.
On 22 February 2013, following an introduction of new anti-money laundering requirements by [[Dwolla]], some Dwolla accounts became temporarily restricted. As a result, transactions from Mt. Gox to those accounts were cancelled by Dwolla. The funds never made it back to Mt. Gox accounts. Mt. Gox help desk issued the following comment: "Please be advised that you are actually not allowed to cancel any withdrawals received from Mt. Gox as we have never had this case before and we are working with Dwolla to locate your returned funds." The funds were finally returned on May 3, more than 3 months later, with a note "Please be advised never to cancel any Dwolla withdrawals from us again".
* Withdraw - The OTP must be provided for each withdrawal request.
* Security - The OTP must be provided during each configuration change to be performed.


==AML==
In March 2013, the new 0.8.0 version of Bitcoin Core temporarily forked off the main blockchain using differing rules on how transactions could be accepted. The Mt. Gox bitcoin exchange briefly halted bitcoin deposits. Bitcoin prices briefly dipped by 23% to $37 as the event occurred<ref name=ArsFork>{{cite news|last=Lee|first=Timothy|title=Major glitch in Bitcoin network sparks sell-off; price temporarily falls 23%|url=http://arstechnica.com/business/2013/03/major-glitch-in-bitcoin-network-sparks-sell-off-price-temporarily-falls-23/|work=Ars Technica| publisher=[[Condé Nast]]|accessdate=12 March 2013}}</ref><ref name=VergeFork>{{cite news|last=Blagdon|first=Jeff|title=Technical problems cause Bitcoin to plummet from record high, Mt. Gox suspends deposits|url=http://www.theverge.com/2013/3/12/4092898/technical-problems-cause-bitcoin-to-plummet-from-record-high|work=The Verge|accessdate=12 March 2013}}</ref> before recovering to their previous level in the following hours, a price of approximately $48.<ref>{{cite web| title=Bitcoin Charts | work=Bitcoin Charts | url=http://bitcoincharts.com/charts/mtgoxUSD#rg60zczsg2013-03-12zeg2013-03-15ztgSzm1g10zm2g25zv}}</ref>


Varying degrees of verification will allow for greater per-day and per-month total amounts to be withdrawn<ref>[http://support.mtgox.com/entries/20919111-aml-account-statuses AML Account Statuses]</ref>.
===Suspension of trading 2013===
Mt. Gox suspended trading on 11 April 2013 until 12 April 2013 2 am UTC for a "market cooldown".<ref>{{cite web|url=https://twitter.com/MtGox/status/322355614414147588 |title=Twitter / MtGox: Trading is suspended until |publisher=Twitter.com |date= |accessdate=2014-02-17}}{{dead link|date=February 2014}}</ref> The value of a single bitcoin fell to a low of $55.59 after the resumption of trading before stabilizing above $100. Around mid May 2013, Mt. Gox traded 150,000 bitcoins per day per Bitcoin Charts.<ref name=titan />


===Unverified (Level 0)===
Mt. Gox suspended withdrawals in US dollars on June 20, 2013.<ref>{{cite news | title=Bitcoin’s Big Bank Problem: Why Did Mt. Gox Halt U.S. Payouts? | url=http://www.wired.com/wiredenterprise/2013/06/mt-gox-stops/ | last=McMillan|first=Robert | work=Wired | publisher=[[Condé Nast]] | date=20 June 2013}}</ref>  The Mizuho Bank branch in Tokyo that handled Mt. Gox transactions pressured Mt. Gox from then on to close its account.<ref name=titan />  On July 4, 2013, Mt. Gox announced that it had "fully resumed" withdrawals, but as of September 5, 2013, few US dollar withdrawals had been successfully completed.<ref>{{cite news | url=http://blogs.wsj.com/moneybeat/2013/07/05/bitcoin-operator-mt-gox-resumes-withdrawals/ |
title=Bitcoin operator Mt. Gox resumes withdrawals |
last=Vigna|first=Paul |
date=5 July 2013 |
work=The Wall Street Journal}}</ref><ref>{{cite news |
url=http://blogs.wsj.com/moneybeat/2013/07/30/bitcoin-exchange-mt-gox-still-grappling-with-slowdown/ |
title=Bitcoin exchange Mt. Gox still grappling with slowdown |
last=Vigna|first=Paul |
date=31 July 2013 |
work=The Wall Street Journal}}</ref><ref>{{cite news |
url=http://www.forbes.com/sites/beltway/2013/09/03/how-bitcoin-spreads-violate-a-fundamental-economic-law/ |
work=Forbes |
date=3 September 2013 |
title=How Bitcoin spreads violate a fundamental economic law |
author=Marron, Donald}}</ref>


Designed for basic users, consumers and Bitcoin enthusiasts where 10,000 USD (monthly) is enough for most needs.
On August 5, 2013, Mt. Gox announced that they incurred "significant losses" due to crediting deposits which had not fully cleared and that new deposits would no longer be credited until the funds transfer was fully completed.<ref>{{cite press release | title=August 2013 Mt. Gox Status Update | publisher=Mt. Gox Co. Ltd. | date=5 August 2013 | url=https://www.mtgox.com/press_release_20130805.html | archiveurl=https://web.archive.org/web/20130805084259/https://www.mtgox.com/press_release_20130805.html | archivedate=5 August 2013}}</ref>


===Verified (Level 1)===
===CoinLab lawsuit and Homeland Security seizure of US funds===
On 2 May 2013 CoinLab filed a $75 million lawsuit against Mt. Gox alleging a breach of contract.<ref name=chen2013>{{cite news|last=Chen | first=Adrian | work=Gawker Media | date=2 May 2013 | title=Massive Bitcoin Business Partnership Devolves Into $75 Million Lawsuit|url=http://gawker.com/massive-bitcoin-business-partnership-devolves-into-75-487857656|accessdate=8 June 2013}}</ref> The companies had formed a partnership in February 2013 under which CoinLab handled all of Mt. Gox's North American services.<ref name=chen2013/> CoinLab's lawsuit contends that Mt. Gox failed to allow them to move existing U.S. and Canadian customers from Mt. Gox to CoinLab.<ref name=chen2013/>


The "verified" status is designed for active traders and/or small companies.
On 15 May 2013 the US Department of Homeland Security (DHS) issued a warrant to seize money from Mt. Gox's US subsidiary's account with payment processor [[Dwolla]].<ref name=dillet2013/> The warrant suggests the US Immigration and Customs Enforcement, an investigative branch of the DHS, felt that the subsidiary, which was not licensed by the US Financial Crimes Enforcement Network (FinCEN), was operating as an unregistered money transmitter in the US.<ref name=dillet2013>{{cite news|last=Dillet|first=Romain|title=Feds Seize Assets From Mt. Gox’s Dwolla Account, Accuse It Of Violating Money Transfer Regulations | work=TechCrunch | publisher=[[AOL|AOL Inc.]] | date=16 May 2013 | url=http://techcrunch.com/2013/05/16/mt-gox-dwolla-account-money-seizure/ | accessdate=10 February 2014 }}</ref><ref name=msblic>{{ cite news | title=MtGox Gets FinCEN MSB License | work=Bitcoin Magazine | publisher=Coin Publishing Ltd. | first=Vitalik | last=Buterin | date=29 June 2013 | url=http://bitcoinmagazine.com/5560/mtgox-gets-fincen-msb-license/ | accessdate=10 February 2014}}</ref> Between May and July more than $5 million were seized. <ref name=titan /> On 29 June 2013, Mt. Gox received its money services business (MSB) license from FinCEN.<ref name=msblic/>


===Trusted (Level 2)===
===Withdrawals delayed or refused===
''Wired Magazine'' reported in November 2013 that customers were experiencing delays of weeks to months in withdrawing funds from their accounts.<ref name=mcmillan2013>{{cite news | title=The rise and fall of the world's largest Bitcoin exchange | last1=McMillan | first1=Robert | last2=Metz | first2=Cade | work=Wired | publisher=[[Condé Nast]] | date=6 November 2013 | url=http://www.wired.com/wiredenterprise/2013/11/mtgox/ | accessdate=8 February 2014 }}</ref> The article said that the company had “effectively been frozen out of the U.S. banking system because of its regulatory problems”. Customer complaints about long delays were mounting as of February 2014, with more than 3300 posts in a thread about the topic on the BitcoinTalk online forum.<ref>{{cite news | url=http://www.coindesk.com/poll-mt-gox-withdrawal-issues/ | title=Poll: Are you having Mt. Gox withdrawal issues? | last=Wong | first=Joon Ian | date=4 February 2014 | work=CoinDesk | accessdate=9 February 2014 }}</ref>


The “trusted” status is designed for day traders, professionals, and companies.
===Bankruptcy and shutdown===
 
{{main|Collapse of Mt. Gox}}
==API==
 
Mt Gox offers an [[MtGox/API|API]] which can be used to automate operations.
 
==Data Services==
 
===Web===
* Bitstock live watcher for trades, depth, history [http://bitstock.info bitstock.info] (Websockets browser required)
* [[Bitcoin Charts]]
* Clark Moody's [[Real Time Bitcoin Market Data]] including Ticker, Order Book and Time Sales (Websockets browser support required)
* [[MtGox Live]] (Websockets browser support required)
* [[Bitcoin Arbitrage Opportunities]] (Websockets browser support required)
* [[Bitcoin Prices]] market rates in multiple currencies
 
===Windows===
* [[Sierra Chart MtGox Bridge]] trading and charting tool.
* [[ToyTrader]] command line trading tool
 
===Mac OS X===
* [[BitTicker]] for Mac OS X
* [http://sneak.datavibe.net/20110613/mtgoxwatcher MtGox Watcher] for Mac OS X
 
===Mobile===
* [[BitcoinX]] mobile app with bid, ask and 24 hour history. For Android
* [[MtGox Live]] Bitcoin Trader with buy, sell, send, chart and depth for Android and iOS
* [https://play.google.com/store/apps/details?id=com.veken0m.cavirtex Bitcoinium] for Android on Google Play
 
=== firefox addon ===
* [https://github.com/joric/mtgox-ticker] firefox ticker addon
 
===Linux===
* [http://www.goxsh.info goxsh] command line ticker / depth chart
 
==E-Commerce==
 
Online sellers can accept bitcoins for payment using the Mt. Gox's E-commerce Solution, which is an interface to the exchange's [[MtGox/API/HTTP/v1#Merchant_System|Merchant System API]].
 
==History==
The exchange went online on July 18, 2010.<ref>[http://www.bitcoin.org/smf/index.php?topic=444.0 MtGox announcement on forum]</ref>
 
On October 10, 2010 the exchange switched from [[PayPal]] to Liberty Reserve as the main funding option as a result of this attack. Former PayPal customers still had the possibility to withdraw their USD using alternative methods.
 
On March 6th, 2011 ownership of the exchange changed hands<ref>[https://bitcointalk.org/index.php?topic=4187.0 Mtgox is changing owners]</ref>.  Tibanne publishes their [http://legal.tibanne.com/docs/20110801_company_certificate.pdf company certificate] from the Japanese government.
 
On June 19, 2011 the service experienced a significant security breach<ref>[https://support.mtgox.com/entries/20224998-huge-bitcoin-sell-off-due-to-a-compromised-account-rollback Huge Bitcoin sell off due to a compromised account - rollback]</ref>.  The incident caused a selloff down to BTC/USD of $0.01 due to fraudulent trading.  The site was disabled and all trading following the point that fraudulent trading began was rolled back. Complicating this breach was the release of a list of the exchange's accounts including username, email address and a password hash, which forced the exchange to implement an account recovery method for customers to regain control of their accounts.
 
In July, 2011 it was observed that the exchange no longer allows new registrations to occur without having a valid e-mail address.
 
On July 19, 2011 a press release announced that MtGox had acquired [[MtGox Live]].<ref>[https://mtgox.com/press_release_20110719.html World's Leading Bitcoin Exchange, Mt.Gox, acquires MtGoxLive.com]</ref>
 
Announced on March 6, 2012 was the Merchant Solution and API<ref>[https://mtgox.com/press_release_20120306.html Mt.Gox launches the definitive bitcoin checkout solution]</ref>


==See Also==
==See Also==


* [https://en.wikipedia.org/wiki/Mt._Gox Mt. Gox Wikipedia article]
* [https://en.wikipedia.org/wiki/Mark_Karpel%C3%A8s Mark Karpelès Wikipedia article]
* [[Buying bitcoins]]
* [[Buying bitcoins]]
* [[Selling bitcoins]]
* [[Selling bitcoins]]
* [[MtGox/API|API]]
* [[Bitcoin Ladder]]
==External Links==
* [https://mtgox.com MT. Gox exchange] website
* [https://mtgox.com/merch/about Mt. Gox Merchant Services]
* [https://mtgox.zendesk.com Customer Service Help Desk]


==References==
==References==
<references/>
<references/>


[[Category:Mt. Gox]]
[[Category:Exchanges]]
[[Category:Exchanges]]
[[Category:eWallets]]
[[Category:eWallets]]
[[Category:Shopping Cart Interfaces]]
[[Category:Shopping Cart Interfaces]]
[[ru:MtGox]]
[[ru:MtGox]]
{{wp|MtGox}}
{{good}}

Latest revision as of 18:38, 2 August 2015

Mt. Gox
IndustryFiat exchange
FoundedJuly 18, 2010
DefunctFebruary 25, 2014
HeadquartersShibuya, Tokyo, Japan
Founder(s)Jed McCaleb
Key peopleMark Karpeles
ParentTibanne Ltd.
Websitehttps://mtgox.com
 Reddit  Twitter 

Mt. Gox, called "Mount Gox" or simply "Gox", was the most widely used bitcoin currency exchange market from shortly after its inception in 2010 to its insolvency late 2013.[1] The market was closed February 25, 2014 and has since filed for bankruptcy protection in Japan and the United States, after losing 640 thousand bitcoins.

A registrant on Mt. Gox had at least two sub-accounts: one for bitcoins (BTC), and one for fiat currency. Bitcoins were bought using funds from the trader's fiat account, and the proceeds from the sale of bitcoins were deposited into the same account. Trading always involved bitcoins as trading between different national currencies was not offered.

Trades on Mt. Gox's executed from balances on deposit with the exchange which in turn made trading on the market instantaneous, compared to most other Bitcoin markets of 2010 where a subsequent settlement occurred manually between the trading partners. The disadvantage of this was that a third party had to be trusted with keeping the money safe.

Mt. Gox was originally started by Jed McCaleb in July 2010, and was sold to Tibanne Co. in Japan in March 2011.

Trading

Buying and selling

A buy order was executed partially or in full when the price bid could be matched against a sell order that was at or below the bid amount. A sell order was executed partially or in full when the price asked could be matched against a buy order that was at or above the ask amount. Orders that could not be matched immediately remain in the orderbook.

Unfunded orders did not appear in the order book, but were automatically inserted when a deposit was credited. For example, Mt. Gox allowed the entry of a "buy" order even if the account had insufficient funds. If possible, Mt. Gox would execute a portion of the order if it could be partially funded. If a deposit was later credited and the deposit resolves the insufficient funds status of an outstanding order, the order would be immediately activated, and if possible, executed.

Fees

Mt. Gox charged a trading fee of up to 0.6% from each party of successful trades made through the market. The fee appeared in the account history next to each trade. The trading fee was discounted for larger customers based on volume, which was calculated as a sliding window over the last 720 hours (30 days).

The fees were, by default, subtracted from the proceeds of each trade (e.g., a buy of 1.0 BTC will add to the account balance 0.994 BTC when the exchange fee is 0.6%). An account setting would allow fees to be added to the purchase amount instead (e.g., buying 1.0 BTC at $5 will cost about $5.03 when the exchange fee is 0.6%).

History

The exchange went online on July 18, 2010.[2]

On October 10, 2010 the exchange switched from PayPal to Liberty Reserve as the main funding option as a result of chargeback fraud. Former PayPal customers still had the possibility to withdraw their USD using alternative methods.

On March 6th, 2011 ownership of the exchange changed hands.[3] Mt. Gox's new parent, Tibanne, publishes their company certificate from the Japanese government.

On July 19, 2011 a press release announced that Mt. Gox had acquired MtGox Live, a price tracker.[4]

Announced on March 6, 2012 was the Merchant Solution and API[5]

Trading incidents

On 19 June 2011, a security breach of the Mt. Gox bitcoin exchange caused the nominal price of a bitcoin to fraudulently drop to one cent on the Mt. Gox exchange, after a hacker allegedly used credentials from a Mt. Gox auditor's compromised computer illegally to fabricate a large number of bitcoins for himself. He used the exchange's software to sell them all nominally, creating a massive "ask" order at any price. The price eventually corrected to its correct user-traded value.[6][7][8][9][10][11][12] Accounts with the equivalent of more than $8,750,000 were affected.[9] In order to prove that Mt.Gox still had control of the coins, the move of 424,242 bitcoins from "cold storage" to a Mt.Gox address was announced beforehand and executed in Block 132749.[13] It was later revealed that the coins may have never been in cold storage, as the proof-of-solvency transaction was broadcast through a remote Linux desktop and a single hot wallet.[14]

In October 2011, about two dozen transactions appeared in the block chain (Block 150951)[15] that sent a total of 2,609 BTC to invalid scripts. As they were impossible to satisfy/redeem, these Bitcoins were effectively destroyed.

On 22 February 2013, following an introduction of new anti-money laundering requirements by Dwolla, some Dwolla accounts became temporarily restricted. As a result, transactions from Mt. Gox to those accounts were cancelled by Dwolla. The funds never made it back to Mt. Gox accounts. Mt. Gox help desk issued the following comment: "Please be advised that you are actually not allowed to cancel any withdrawals received from Mt. Gox as we have never had this case before and we are working with Dwolla to locate your returned funds." The funds were finally returned on May 3, more than 3 months later, with a note "Please be advised never to cancel any Dwolla withdrawals from us again".

In March 2013, the new 0.8.0 version of Bitcoin Core temporarily forked off the main blockchain using differing rules on how transactions could be accepted. The Mt. Gox bitcoin exchange briefly halted bitcoin deposits. Bitcoin prices briefly dipped by 23% to $37 as the event occurred[16][17] before recovering to their previous level in the following hours, a price of approximately $48.[18]

Suspension of trading 2013

Mt. Gox suspended trading on 11 April 2013 until 12 April 2013 2 am UTC for a "market cooldown".[19] The value of a single bitcoin fell to a low of $55.59 after the resumption of trading before stabilizing above $100. Around mid May 2013, Mt. Gox traded 150,000 bitcoins per day per Bitcoin Charts.[20]

Mt. Gox suspended withdrawals in US dollars on June 20, 2013.[21] The Mizuho Bank branch in Tokyo that handled Mt. Gox transactions pressured Mt. Gox from then on to close its account.[20] On July 4, 2013, Mt. Gox announced that it had "fully resumed" withdrawals, but as of September 5, 2013, few US dollar withdrawals had been successfully completed.[22][23][24]

On August 5, 2013, Mt. Gox announced that they incurred "significant losses" due to crediting deposits which had not fully cleared and that new deposits would no longer be credited until the funds transfer was fully completed.[25]

CoinLab lawsuit and Homeland Security seizure of US funds

On 2 May 2013 CoinLab filed a $75 million lawsuit against Mt. Gox alleging a breach of contract.[26] The companies had formed a partnership in February 2013 under which CoinLab handled all of Mt. Gox's North American services.[26] CoinLab's lawsuit contends that Mt. Gox failed to allow them to move existing U.S. and Canadian customers from Mt. Gox to CoinLab.[26]

On 15 May 2013 the US Department of Homeland Security (DHS) issued a warrant to seize money from Mt. Gox's US subsidiary's account with payment processor Dwolla.[27] The warrant suggests the US Immigration and Customs Enforcement, an investigative branch of the DHS, felt that the subsidiary, which was not licensed by the US Financial Crimes Enforcement Network (FinCEN), was operating as an unregistered money transmitter in the US.[27][28] Between May and July more than $5 million were seized. [20] On 29 June 2013, Mt. Gox received its money services business (MSB) license from FinCEN.[28]

Withdrawals delayed or refused

Wired Magazine reported in November 2013 that customers were experiencing delays of weeks to months in withdrawing funds from their accounts.[29] The article said that the company had “effectively been frozen out of the U.S. banking system because of its regulatory problems”. Customer complaints about long delays were mounting as of February 2014, with more than 3300 posts in a thread about the topic on the BitcoinTalk online forum.[30]

Bankruptcy and shutdown

Main article: Collapse of Mt. Gox

See Also

References

  1. ↑ 2011-06-07 on #bitcoin-otc: "MagicalTux: you could use the count of users on mtgox (went over 30k recently)"
  2. ↑ MtGox announcement on forum
  3. ↑ Mtgox is changing owners
  4. ↑ World's Leading Bitcoin Exchange, Mt.Gox, acquires MtGoxLive.com
  5. ↑ Mt.Gox launches the definitive bitcoin checkout solution
  6. ↑ Huge Bitcoin sell off due to a compromised account - rollback
  7. ↑ Template:Cite press release
  8. ↑ Template:Cite AV media
  9. ↑ 9.0 9.1 Mick, Jason (19 June 2011). "Inside the Mega-Hack of Bitcoin: the Full Story". DailyTech. http://www.dailytech.com/Inside+the+MegaHack+of+Bitcoin+the+Full+Story/article21942.htm.
  10. ↑ Lee, Timothy B. (19 June 2011). "Bitcoin prices plummet on hacked exchange". Ars Technica (Condé Nast). http://arstechnica.com/tech-policy/news/2011/06/bitcoin-price-plummets-on-compromised-exchange.ars.
  11. ↑ Mark Karpeles, 20 June 2011, Huge Bitcoin sell off due to a compromised account – rollback, Mt. Gox Support
  12. ↑ Chirgwin, Richard (19 June 2011). "Bitcoin collapses on malicious trade – Mt Gox scrambling to raise the Titanic". The Register. http://www.theregister.co.uk/2011/06/19/bitcoin_values_collapse_again/.
  13. ↑ Block 132749. Main chain. 2011-06-23. Hash 00000000000004bea72d0f390194b08162665a4fc99469c576338cd37164a15a. Block explorer
  14. ↑ /r/Bitcoin thread 3fe92x. I'm Ashley Barr, A.K.A "Adam Turner", the first Mt.Gox employee, and alleged DPR (:/). AMA 1 August 2015. This post
  15. ↑ http://blockexplorer.com/b/150951
  16. ↑ Lee, Timothy. "Major glitch in Bitcoin network sparks sell-off; price temporarily falls 23%". Ars Technica (Condé Nast). http://arstechnica.com/business/2013/03/major-glitch-in-bitcoin-network-sparks-sell-off-price-temporarily-falls-23/. Retrieved 12 March 2013.
  17. ↑ Blagdon, Jeff. "Technical problems cause Bitcoin to plummet from record high, Mt. Gox suspends deposits". The Verge. http://www.theverge.com/2013/3/12/4092898/technical-problems-cause-bitcoin-to-plummet-from-record-high. Retrieved 12 March 2013.
  18. ↑ "Bitcoin Charts". Bitcoin Charts. http://bitcoincharts.com/charts/mtgoxUSD#rg60zczsg2013-03-12zeg2013-03-15ztgSzm1g10zm2g25zv.
  19. ↑ "Twitter / MtGox: Trading is suspended until". Twitter.com. https://twitter.com/MtGox/status/322355614414147588. Retrieved 2014-02-17.Template:Dead link
  20. ↑ 20.0 20.1 20.2 Cite error: Invalid <ref> tag; no text was provided for refs named titan
  21. ↑ McMillan, Robert (20 June 2013). "Bitcoin’s Big Bank Problem: Why Did Mt. Gox Halt U.S. Payouts?". Wired (Condé Nast). http://www.wired.com/wiredenterprise/2013/06/mt-gox-stops/.
  22. ↑ Vigna, Paul (5 July 2013). "Bitcoin operator Mt. Gox resumes withdrawals". The Wall Street Journal. http://blogs.wsj.com/moneybeat/2013/07/05/bitcoin-operator-mt-gox-resumes-withdrawals/.
  23. ↑ Vigna, Paul (31 July 2013). "Bitcoin exchange Mt. Gox still grappling with slowdown". The Wall Street Journal. http://blogs.wsj.com/moneybeat/2013/07/30/bitcoin-exchange-mt-gox-still-grappling-with-slowdown/.
  24. ↑ Marron, Donald (3 September 2013). "How Bitcoin spreads violate a fundamental economic law". Forbes. http://www.forbes.com/sites/beltway/2013/09/03/how-bitcoin-spreads-violate-a-fundamental-economic-law/.
  25. ↑ Template:Cite press release
  26. ↑ 26.0 26.1 26.2 Chen, Adrian (2 May 2013). "Massive Bitcoin Business Partnership Devolves Into $75 Million Lawsuit". Gawker Media. http://gawker.com/massive-bitcoin-business-partnership-devolves-into-75-487857656. Retrieved 8 June 2013.
  27. ↑ 27.0 27.1 Dillet, Romain (16 May 2013). "Feds Seize Assets From Mt. Gox’s Dwolla Account, Accuse It Of Violating Money Transfer Regulations". TechCrunch (AOL Inc.). http://techcrunch.com/2013/05/16/mt-gox-dwolla-account-money-seizure/. Retrieved 10 February 2014.
  28. ↑ 28.0 28.1 Buterin, Vitalik (29 June 2013). "MtGox Gets FinCEN MSB License". Bitcoin Magazine (Coin Publishing Ltd.). http://bitcoinmagazine.com/5560/mtgox-gets-fincen-msb-license/. Retrieved 10 February 2014.
  29. ↑ McMillan, Robert; Metz, Cade (6 November 2013). "The rise and fall of the world's largest Bitcoin exchange". Wired (Condé Nast). http://www.wired.com/wiredenterprise/2013/11/mtgox/. Retrieved 8 February 2014.
  30. ↑ Wong, Joon Ian (4 February 2014). "Poll: Are you having Mt. Gox withdrawal issues?". CoinDesk. http://www.coindesk.com/poll-mt-gox-withdrawal-issues/. Retrieved 9 February 2014.
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