No it doesn't; idiots running terrible businesses will always exist no matter what currency and their existence doesn't reflect on the currency.

Accidentally finding that much money is embarrassing. MtGox needs to get their act together. I get the whole "it's a wild west crazy time for everyone." But this is insane.

It absolutely does not. It's not the best marketing in the world, but the idea of cryptocurrency and its effective execution are two different things.

According to your logic, malware endangers the idea of computers, or phishing endangers the idea of email. Heck, spoilage endangers the idea of food.