Stories
Slash Boxes
Comments

SoylentNews is people

posted by hubie on Tuesday January 10, @02:56AM   Printer-friendly

So much for enthusiasts championing the decentralization of cryptocurrencies:

One of the prominent developers behind the bitcoin blockchain said he has asked the FBI to assist him in recovering $3.6 million worth of the digital coin that was stolen from his storage wallets on New Year's Eve.

Luke Dashjr is a developer of the Bitcoin Core, an app that runs 97 percent of the nodes making up the bitcoin blockchain. Bitcoin Core derives from the software developed by the anonymous bitcoin inventor who uses the pseudonym Satoshi Nakamoto. That software was called simply Bitcoin but was later changed to Bitcoin Core to distinguish it from the coin. Dashjr has been contributing to the Bitcoin Core since 2011 and has long championed the concept of decentralization that the cryptocurrency was founded on.

[...] Dashjr said the wallets compromised were both hot—meaning accessible over the Internet—and what he believed were cold—meaning they were hosted on a device not connected to the Internet. He didn't elaborate, but it appears he was theorizing that one or more computers he used was infected and that the hackers could then obtain the funds stored on them. It's hard to make sense of that, however, since a wallet stored on an Internet-connected device is, by definition, hot.

[...] There's still a lot that doesn't add up to the events Dashjr has reported. Without more details, it's hard to come to any firm conclusions. One takeaway, however, is clear, as evidenced by one of the most influential bitcoin developers calling on law enforcement to recover his stolen digital coin: The notion that cryptocurrencies provide a decentralized platform that cuts out established authorities is nothing short of a pipe dream.


Original Submission

This discussion was created by hubie (1068) for logged-in users only, but now has been archived. No new comments can be posted.
Display Options Threshold/Breakthrough Mark All as Read Mark All as Unread
The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.
(1)
  • (Score: 5, Funny) by r1348 on Tuesday January 10, @03:43AM (1 child)

    by r1348 (5988) on Tuesday January 10, @03:43AM (#1286149)

    He should call the decentralized police.

  • (Score: 2, Redundant) by darkfeline on Tuesday January 10, @04:31AM (2 children)

    by darkfeline (1030) on Tuesday January 10, @04:31AM (#1286154) Homepage

    One day, we will get news articles that actually understand the goal of Bitcoin rather than use Twitter and memes as trustworthy sources.

    Stealing BTC is as much a crime as stealing a baseball card worth a lot of money (or fat stacks of cash). Law enforcement may get involved similarly.

    Unlike with traditional digital finance, the government cannot just freeze a baseball card, fat stacks of cash, or BTC. They would have to physically raid and retrieve the item by force (assuming the BTC private key in question is stored in a hardware wallet). They would have to pry it from your cold dead hands. Which they could certainly do, but it's rather more effort and headache than sending a chat message to your friend over at Wells Fargo et al. People who have experienced fascism/authoritarianism (or studied and remember history) see the advantages.

    --
    Join the SDF Public Access UNIX System today!
    • (Score: 2) by bradley13 on Tuesday January 10, @09:13AM (1 child)

      by bradley13 (3053) Subscriber Badge on Tuesday January 10, @09:13AM (#1286171) Homepage Journal

      Exactly this.

      He theorizes that someone hacked his computer and stole his PGP key. They then used that key to commit theft. It doesn't matter that they stole BTC, which so many techies currently love to hate. It's theft, and the theft of $3.6 million should get attention from law enforcement.

      --
      Everyone is somebody else's weirdo.
      • (Score: 3, Interesting) by mcgrew on Tuesday January 10, @06:36PM

        by mcgrew (701) <publish@mcgrewbooks.com> on Tuesday January 10, @06:36PM (#1286231) Homepage Journal

        the theft of $3.6 million should get attention from law enforcement.

        The theft of $3.6 million in imaginary money should get attention from imaginary law enforcement. Bitchcoin is no more an investment than shooting craps in a casino is an investment. The casino owner (guy who wrote the code) is the investor, the guy playing the slot machine is just gambling.

        Cash, stocks, bonds, all have their basis in reality. You own something real and concrete; a part of Fort Knox, a part of a business, a loan to a business. Bitchcoin has its basis in hopes and dreams only.

        --
        Carbon, The only element in the known universe to ever gain sentience
  • (Score: 2) by tangomargarine on Tuesday January 10, @06:12AM (5 children)

    by tangomargarine (667) on Tuesday January 10, @06:12AM (#1286163)

    the software developed by the anonymous bitcoin inventor who uses the pseudonym Satoshi Nakamoto

    pseudonymous, adj.
    writing or written under a false name.

    i.e., not anonymous at all

    --
    "Is that really true?" "I just spent the last hour telling you to think for yourself! Didn't you hear anything I said?"
    • (Score: 2, Interesting) by khallow on Tuesday January 10, @11:50AM (4 children)

      by khallow (3766) Subscriber Badge on Tuesday January 10, @11:50AM (#1286179) Journal

      pseudonymous, adj.
      writing or written under a false name.

      i.e., not anonymous at all

      Then what is the name of the person(s) who operated under the name, Satoshi Nakamoto? What's that? You don't know because they published and communicated all that stuff anonymously under a pseudonym?

      Welcome to the English language used as intended.

      • (Score: 2) by tangomargarine on Tuesday January 10, @02:39PM (3 children)

        by tangomargarine (667) on Tuesday January 10, @02:39PM (#1286190)

        Then what is the name of the person(s) who operated under the name, Satoshi Nakamoto? What's that?

        A pseudonym.

        You don't know because they published and communicated all that stuff anonymously under a pseudonym?

        It's not anonymous, though--anonymous means you have *no* name. There's a name right there, "Satoshi Nakamoto."

        You use the name "khallow" here, but you wouldn't consider yourself an anonymous coward, right?

        --
        "Is that really true?" "I just spent the last hour telling you to think for yourself! Didn't you hear anything I said?"
        • (Score: 2) by RedGreen on Tuesday January 10, @02:55PM

          by RedGreen (888) on Tuesday January 10, @02:55PM (#1286195)

          "You use the name "khallow" here, but you wouldn't consider yourself an anonymous coward, right?"

          I got bridge in Brooklyn to sell you if you truly expect logical thinking in some internet posting...

          --
          "I modded down, down, down, and the flames went higher." -- Sven Olsen
        • (Score: 1) by khallow on Tuesday January 10, @10:01PM

          by khallow (3766) Subscriber Badge on Tuesday January 10, @10:01PM (#1286286) Journal
          Let me put it this way. There's a lot of real money that could potentially be made, if someone knew the person behind that pseudonym. If it had been me, hiding behind khallow instead then half the planet would know who I am, and there'd be some enterprising people rooting through my entire past for passwords. I might even have some experience with the five dollar wrench by now. Whoever they are, they're anonymous at a level I will never be able to achieve.
        • (Score: 0, Troll) by khallow on Tuesday January 10, @10:23PM

          by khallow (3766) Subscriber Badge on Tuesday January 10, @10:23PM (#1286288) Journal

          It's not anonymous, though--anonymous means you have *no* name. There's a name right there, "Satoshi Nakamoto."

          The obvious rebuttal is who is that? A name without an identifiable person is what makes it genuinely anonymous.

  • (Score: 1, Offtopic) by Dr Spin on Tuesday January 10, @11:35AM

    by Dr Spin (5239) on Tuesday January 10, @11:35AM (#1286176)

    Actually. beyond the words "spilled milk", I was unable to translate what his granny said, owing to limited language skills,

    --
    Warning: Opening your mouth may invalidate your brain!
  • (Score: 2) by Immerman on Tuesday January 10, @03:10PM

    by Immerman (3985) on Tuesday January 10, @03:10PM (#1286197)

    The notion that cryptocurrencies provide a decentralized platform that cuts out established authorities is nothing short of a pipe dream.

    Quite the opposite - it's doing *exactly* that.

    And the down side is that it lacks any of the centralized safeguards that would greatly reduce the risk of theft, make international jurisdiction-hopping theft more difficult, or otherwise allow for reparations prior to actually catching the criminal.

    There's still central authorities that deal with theft - but they've always been fairly useless for both cyber crime and cross-border crime. Add in a system specifically designed to make their job as difficult as possible and, well, welcome to the wild west, where if your money is stolen you can always try to steal it back.

(1)