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adamr
Executive Member
- Joined
- Nov 20, 2005
- Messages
- 6,520
With the current hacking of the online wallet: ethereum-wallet.net ... It got me asking some questions
1. How safe are any of these crypto currency online wallets ... None of them imo. It's just one fat wallet containing everyone's money. Knock the fat wallet or your address and you screwed
2. Unlike a bank that does kyc. None of that exists here in the world of crypto currency. So thievery can't be traced.
3. By design even if I knew the thief's address, I can't place a freeze on a thief's account !? There is, in the case of bitcoin no governing or regulatory body to control or do anything about this? Nor instill process and force financial institutes to abide to rules ... And in the traditional bank if they don't abide to these rules there will be consequences (heavy monetary fines)... Worse still revoke their licence to bank
As someone put it. It's the wild wild west with cryptocurrency ... I reckon it's worse because there is no sheriff
More like "wilder than the wild wild west ... It's wild af"
The current banking system has evolved over time having started out as the wild wild west. With years of "learning from experience" they are continually developing ways to protect money from being lost to criminals. Peoples money in a banking system is pretty safe for the most part . There are governing bodies etc that banks must align to. In the end this mitigates fraud,terrorist financing etc
In the case of the ethereum-wallet.net hack the admins in their brilliance are now taking money from everyone and sharing it. Imagine if real banks did that. Someone stole from a standard bank client and standard bank then decided let's take a little from everyone to make up for the loss. What ethereum-wallet is doing is in itself illegal and a crime as well ... My wallet is my money ... No one should just take from me to give to someone else . But who do I turn to to raise this alarm bell? ... There is no one
So while some say bitcoin and alt currencies are awesome because there is no middle man ...No strict rules and red tape ....This is all great when things work but what if something goes wrong ... Who do you turn to for help?
It's a conundrum that needs work tbh and while I'm a supporter of all things simple and concepts involving self service there needs to be a level of governance and regulation to protect people .
And if cryptucurrency starts adding all this governance and regulation my fear is it then becomes, for the most part a traditional banking system
Anyone dabbling in cryptucurrency needs to understand the risks. Right now most if not all people in this wilder than the wild wild west don't truly understand just how wild it can be.
1. How safe are any of these crypto currency online wallets ... None of them imo. It's just one fat wallet containing everyone's money. Knock the fat wallet or your address and you screwed
2. Unlike a bank that does kyc. None of that exists here in the world of crypto currency. So thievery can't be traced.
3. By design even if I knew the thief's address, I can't place a freeze on a thief's account !? There is, in the case of bitcoin no governing or regulatory body to control or do anything about this? Nor instill process and force financial institutes to abide to rules ... And in the traditional bank if they don't abide to these rules there will be consequences (heavy monetary fines)... Worse still revoke their licence to bank
As someone put it. It's the wild wild west with cryptocurrency ... I reckon it's worse because there is no sheriff
More like "wilder than the wild wild west ... It's wild af"
The current banking system has evolved over time having started out as the wild wild west. With years of "learning from experience" they are continually developing ways to protect money from being lost to criminals. Peoples money in a banking system is pretty safe for the most part . There are governing bodies etc that banks must align to. In the end this mitigates fraud,terrorist financing etc
In the case of the ethereum-wallet.net hack the admins in their brilliance are now taking money from everyone and sharing it. Imagine if real banks did that. Someone stole from a standard bank client and standard bank then decided let's take a little from everyone to make up for the loss. What ethereum-wallet is doing is in itself illegal and a crime as well ... My wallet is my money ... No one should just take from me to give to someone else . But who do I turn to to raise this alarm bell? ... There is no one
So while some say bitcoin and alt currencies are awesome because there is no middle man ...No strict rules and red tape ....This is all great when things work but what if something goes wrong ... Who do you turn to for help?
It's a conundrum that needs work tbh and while I'm a supporter of all things simple and concepts involving self service there needs to be a level of governance and regulation to protect people .
And if cryptucurrency starts adding all this governance and regulation my fear is it then becomes, for the most part a traditional banking system
Anyone dabbling in cryptucurrency needs to understand the risks. Right now most if not all people in this wilder than the wild wild west don't truly understand just how wild it can be.
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