Alex Wilhelm is a San Francisco-based writer. You can find Alex on Twitter, and on Facebook. You can reach Alex via email at [email protected] Alex Wilhelm is a San Francisco-based writer. You can find Alex on Twitter, and on Facebook. You can reach Alex via email at [email protected]
If you are a Bitcoin advocate, fan, or users, this isn’t good news: bitfloor is shutting down. During the Great MtGox downtime and trading halt, smaller exchanges, such as bitfloor, provided valuable market liquidity. No more, for bitfloor.
In a terse statement on its website, bitfloor cited “circumstances outside of [its] control” as reason for the shutdown.
In short, the company’s US bank account is “scheduled to be closed,” and thus bitfloor cannot “provide the same level of USD deposits and withdrawals as we have in the past.” Operations are kaput, and the company will “return all funds.” Users will undoubtedly be worried about their sums until the return safely to their normal accounts.
Bitcoin has enjoyed a riotous few weeks, blasting forward in value to the $266 mark before cratering. The coins are currently trading at $84. That said, the market for their trading has contracted today, which would lower investor confidence in the currency. In fact, total value of all Bitcoins in existence is now under the $1 billion mark.
Bitfloor asks that its users “be patient” as it processes their cashing out. Let’s hope the service kept enough cash on hand to cover deposits, and that its bank account isn’t closed before the funds can be disbursed.
Top Image Credit: Steve Snodgrass
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