An internet-goer who put his faith in a risky new currency recently saw over $450,000 worth of Bitcoins ? a digital form of money supported solely by its own users ? disappear from his computer. ?A Bitcoin devotee with the somewhat appropriate web handle "Allinvain" has become the poster child for why the new form of money may never catch on.
While the U.S. dollar struggles to keep its head above water, some intrepid web users are putting their faith in the experimental type of currency called Bitcoins.?Bitcoins were created in 2009 as an alternative to modern currencies, and are completely decentralized and entirely digital. Users exchange cold hard cash for the cyber dollars which can then be exchanged with other users for goods and services.
Bitcoin users store their virtual cash in a "wallet file" that, while safe from viruses and other insidious internet threats, can still be outright stolen, either through hacking or physically removing the file from the computer with a portable flash drive, leaving the owner with an empty bank account. And since the currency is entirely user-driven, there is no official government entity keep an eye out for suspicious activity, and victims of skilled cyber thieves have no option but to except their loss.
That's where user Allinvain landed on Monday when he booted up his computer to find that his wallet file had been lifted, along with over 25,000 Bitcoins.?The exchange rate for Bitcoins fluctuates wildly, and while roughly $20 buys you a single Bitcoin today, the rate has spiked to nearly $30 per coin on a regular basis. At the time of the theft, Allinvain's wallet was worth about $467,500. It was cash he was saving to open, ironically, a Bitcoin business.
Justice-minded Bitcoin veterans are attempting to hunt down the virtual robber through the complex log files used to launder the digital dough, but their efforts might be in vain. The completely anonymous nature of the Bitcoin system means that users are protected from identity theft, but are also nearly untouchable when it comes to punishment for misdeeds.
(Source)
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