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Mt. Gox, once the largest Bitcoin exchange in the world, was a cornerstone of early cryptocurrency trading. Founded in 2010, it handled over 70% of global Bitcoin transactions at its peak. However, in February 2014, Mt. Gox abruptly went offline, and it soon became clear that something catastrophic had occurred.
The exchange revealed that hackers had stolen 850,000 Bitcoin—worth approximately $450 million at the time—along with user funds. As the news broke, investors and traders scrambled, unable to access their Bitcoin or withdraw their funds. The company filed for bankruptcy, and its CEO, Mark Karpeles, faced serious legal troubles.
Despite the dramatic collapse, some of the stolen Bitcoin was eventually recovered, but much of it remains missing. The Mt. Gox scandal is one of the most infamous events in Bitcoin’s history, marking a massive setback for the crypto world and highlighting the risks of trading on centralized platforms without adequate security. It also served as a harsh reminder that even in the world of decentralized currencies, exchanges and wallets still need to be protected from malicious actors.
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