guess what, a ton of people were selling coins on loan on Bitswamp (that is how they manipulated the price so low over the last 6 months) ... and now bitswamp has conveniently 'lost' coins ... i.e. the swamp is net short of coins.
go figure, it is not rocket science, someone has been selling non-existent coins and the swamp administered it. Good luck to anybody willing to deal with the swamp, you'll need it.
go figure, it is not rocket science, someone has been selling non-existent coins and the swamp administered it. Good luck to anybody willing to deal with the swamp, you'll need it.
Yes!!!!! Your observations seem to be very logical and grounded in facts,.... NOT....


And, Marcus of Augustus, how is the receptivity in your tin foil hat?
Are you getting other vibes regarding the ways of the bitcoin world about which you would like to share with us?
oh, yeah goldfoil working great.
Are we going to have yet another parade of apologists for a broken exchange trotted out every so often with the usual BS "just trust us", "everything's fine" ... Swamp only has to redeem the small percentage of rubes who actually ask for their coinz back until ... hey what's that!!? nup sorry all coinz gone chaps ... ta-ta.
man, people are stupid, they deserve every exchange rip-off they get.
Don't get me wrong because I am sympathetic to what you are saying. For one, I believe that it is very problematic to have these various centralized methods in which we are entrusting our coins and our private keys. Second, as you suggested there is also the problem of these centralized systems engaging in various forms of fractional reserve banking, which are forms of fraud.
On the other hand, I believe that the evidence is NOT strong enough to absolutely conclude that either fractional reserve banking or fraud is taking place in the ways that you simplistically described. Nonetheless, there are various incentives for these various centralized entities to cheat, especially, if they believe that they are either NOT going to get caught or that they can adequately camouflage such cheating or that there are NOT adequate rules/regulations in place to clearly and unambiguously legally prohibit their conduct.