US Bitcoin exchange BitFloor shuts down again

Founder Roman Shtylman said the exchange will be shut 'indefinitely'

The largest Bitcoin exchange in the US, BitFloor, has closed again, this time due to issues with its bank account, according to its founder.

Roman Shtylman wrote that the exchange's "US bank account is scheduled to be closed and we can no longer provide the same level of USD deposits and withdrawals as we have in the past."

"As such, I have made the decision to halt operations and return all funds," he wrote, adding that over the next few days he will work to refund deposits but that people should be patient. The exchange will be shut "indefinitely. . Efforts to reach Shtylman were not immediately successful.

Shtylman told IDG News Service last week that his exchange, which lets people buy the virtual currency, experienced technical problems and saw its highest trading volumes and number of users ever.

The price of bitcoins surged to $US266 on April 10. However, ongoing cyberattacks and technical problems with the largest Bitcoin exchange, Mt. Gox in Tokyo, shook confidence in the fledgling currency, driving its price down to around $US100. Bitcoin has seen continued volatility this week, dropping as low as $US50 per bitcoin.

While Bitcoin's surges and falls may have benefited some speculators, it is likely to have posed challenges for entrepreneurs trying to craft businesses centered around the currency, which can be transferred for free around the world using peer-to-peer software.

BitFloor lost about $US250,000 in September 2012 after hackers breached its network and stole around 24,000 bitcoins. Shtylman said at the time BitFloor did not have enough funds on hand to cover the losses, but he promised to revive the exchange with the intent of repaying victims.

Send news tips and comments to jeremy_kirk@idg.com. Follow me on Twitter: @jeremy_kirk

Join the PC World newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags Internet-based applications and servicese-commerceBitFloorinternet

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Jeremy Kirk

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Matthew Stivala

HP OfficeJet 250 Mobile Printer

The HP OfficeJet 250 Mobile Printer is a great device that fits perfectly into my fast paced and mobile lifestyle. My first impression of the printer itself was how incredibly compact and sleek the device was.

Armand Abogado

HP OfficeJet 250 Mobile Printer

Wireless printing from my iPhone was also a handy feature, the whole experience was quick and seamless with no setup requirements - accessed through the default iOS printing menu options.

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?