When you put $100 in a bank it doesn't matter if that exact $100 bill is stolen by a bank robber, you still have $100 in the bank. Additionally bank accounts are federally insured.
That isn't the case with bitcoin.
That isn't the case with bitcoin.
For the majority of digital currency exchanges that I've used, deposits may be sent to unique address to associate it with your user record, but the funds are then typically moved into a pool to facilitate trading. I don't know off-hand of any exchanges that atomically isolate user funds and utilize the block chain to handle internal transaction reconsiliation. There's an off-shoot of block chain tech that is attempting to do atomic, cross-chain trading using the block chain, but it's still very new and experimental[1].
> Additionally bank accounts are federally insured.
Up to a certain amount. The standard insurance amount is $250,000 per depositor, per insured bank, for each account ownership category.[2]
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