Bitcoin derivatives market BTC suspends trade after Mt. Gox goes dark

NEW YORK Thu Feb 27, 2014 2:39am IST

Kolin Burges (C), a self-styled cryptocurrency trader and former software engineer from London, holds a placard to protest against Mt. Gox, as photographers take photos of him in front of the building where the digital marketplace operator was formerly housed in Tokyo February 26, 2014. REUTERS/Toru Hanai

Kolin Burges (C), a self-styled cryptocurrency trader and former software engineer from London, holds a placard to protest against Mt. Gox, as photographers take photos of him in front of the building where the digital marketplace operator was formerly housed in Tokyo February 26, 2014.

Credit: Reuters/Toru Hanai

Related Topics

Kishore Pandey, 82, lies on a bed as his daughter, Usha Tiwari, holds him and a priest stands by them (L) at Mukti Bhavan (Salvation House) in Varanasi, in the northern Indian state of Uttar Pradesh, June 19, 2014. REUTERS/Danish Siddiqui

Waiting to die at Salvation House

The city of Varanasi is Hinduism's holiest city and many Hindus believe that dying there and having their remains scattered in the Ganges allows their soul to escape a cycle of death and rebirth.  Slideshow 

NEW YORK (Reuters) - The bitcoin derivatives market BTC.sx has suspended trading after its key bitcoin exchange partner, Tokyo-based Mt. Gox, went dark this week following weeks of turmoil, the company's chief operating officer George Samman said.

Prior to the suspension, BTC offered derivatives on Mt. Gox prices.

"We are in the process of integrating other exchanges at the moment and will be back up and running as soon as possible," Samman, based in Sydney, Australia, told Reuters late Tuesday.

Samman said he hoped to resume trading bitcoin derivatives, a sector that has shown tremendous promise, by the end of next week. He said customer deposits on BTC were safe and clients could withdraw at any time.

If Mt. Gox's troubles do any damage, it would be short-lived, he said. BTC has some exposure in Mt. Gox because the company trades on the site.

"But we are well able to take a hit if that is in case the fact."

"Mt. Gox ceased being an efficient exchange a while ago and has lacked trust from the community. The best-case scenario is that MT Gox reopens under new management and of course is able to return all BTC and fiat to its rightful owners," he said.

"While we, like most other people, aren't sure of the details, we hope for the sake of the bitcoin community Mt. Gox sorts its problems out."

BTC, which started operating in May 2013, has monthly volume of about $5 million in a business that has seen interest in United States, Europe, Australia, and Russia.

The U.S., Samman said, is BTC's biggest customer base.

(Reporting by Gertrude Chavez-Dreyfuss; Editing by Bernadette Baum)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

TECH SHOWCASE

Apple Results

Apple Results

Apple margin concerns fade, focus shifts to iPhone launch  Full Article 

Expansion Plans

Expansion Plans

EBay plans to expand in Russia despite sanctions.  Full Article 

Outlook Weighs

Outlook Weighs

Qualcomm posts higher quarterly results  Full Article 

'Selfie' Boom

'Selfie' Boom

Sony invests in image sensor production amid 'selfie' boom.  Full Article 

Cyberfraud Case

Cyberfraud Case

Seven arrests made in $1.6 million StubHub cyberfraud case  Full Article 

Q2 Below Forecast

Q2 Below Forecast

AT&T revenue misses estimates as promotion weighs on revenue  Full Article 

WhatApp Leak

WhatApp Leak

Israel detains soldiers after WhatsApp leaks about Gaza casualties   Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage