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Comment by pmorici | Hacker News Reader

Check out the recent update to this YouTube video...

http://www.youtube.com/watch?v=UP1YsMlrfF0

Apparently liquidity problems and solvency problems are different problems, who knew.

Hmm, they are different problems. It depends on where they have their assets tied up. I'm not saying MtGox is solvent - I have no idea if they are or not - but in theory, they could be solvent while not having enough liquidity to fulfill their obligations.

Oh wow. I see 3 possibilities:

1. Mt Gox is going under, probably this week.

2. These people are utterly clueless about public relations and how the public perceives their actions.

3. This is all a big prank. You've been punked.

4. Mt Gox is no longer liquid because the Feds have their (encrypted) wallet

(ok, this is probably a bit too far down the conspiracy path)

Its the banks!

They are able to service trillions of transactions between countries, but are not capable of servicing a couple of millions to a website.

Yeah, right.

If they have banking problems it has nothing to do with banks ability, but about banks willingness. International banking can be difficult, and almost all of that difficulty is about banks worried about fraud and money laundering. E.g. I remember trying to pay someone in Russia for some work some years back, only to find out my bank considered the Russian bank "too risky", and I had to transfer money via the Russian banks account in some US bank. When you're trying to be an exchange for a currency not supported by any government, I'm sure that's raised a ton of red flags in a lot of banks.

Note I'm not saying that is sufficient to explain MtGox's current predicament, but there's also every reason to assume that they have some degree of banking problems.

first thing I thought of when I watched that is when an enemy captures someone on the other side and forces them to read some statement saying how what the other side is doing is wrong.

This Youtube video was recorded and published on July 17th, 2013. It does NOT pertain to recent events.

The text in the info section was updated in the past few days, that is the interesting part not the old video. The guy in the video is an investor in Gox so he would be in a better position than most to know what is really going on.

wow. how misleading was that...

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