www.mozilla.com Weather Central
Voices
Headlines

Budget needs dynamic leadership, not scoring -12/21/2014, 1:06 PM

Sure, you can say that -- but please don't -12/21/2014, 1:06 PM

Holiday travel -12/19/2014, 10:16 AM

ALEC's starring role in the 'Wrecking Crew' -12/19/2014, 10:17 AM

Should profiling be banned? -12/19/2014, 10:06 AM

No right to misbehave -12/18/2014, 10:09 AM

Pompeo deserves thanks -12/18/2014, 10:00 AM

Executive orders -12/18/2014, 10:00 AM

Attack on Pearl Harbor -12/18/2014, 10:00 AM

Christ's role -12/18/2014, 9:59 AM

Governing vs. giving -12/18/2014, 9:58 AM

Adapting to change -12/17/2014, 10:30 AM

Brownback's 'vision' -12/17/2014, 10:30 AM

Young at heart -12/17/2014, 10:29 AM

Newman provides western Kansas education -12/17/2014, 10:29 AM

Big banks win again -12/16/2014, 9:37 AM

Securing the future of aerospace in Kansas -12/16/2014, 9:36 AM

The future with Brownback -12/16/2014, 9:36 AM

White Christmas, red Christmas -12/15/2014, 9:20 AM

A reason to celebrate -12/15/2014, 9:20 AM

Building a competitive opposition party -12/14/2014, 4:33 PM

Without religious freedom, there won't be peace -12/14/2014, 4:33 PM

Flying Hays later -12/14/2014, 4:33 PM

Allowing torture -12/12/2014, 10:11 AM

Racing to Lake Wobegone -12/12/2014, 10:10 AM

What's rule of law? -12/12/2014, 10:10 AM

Media bias -12/11/2014, 10:13 AM

It's not about race -12/11/2014, 10:12 AM

A new civil war -12/11/2014, 10:12 AM

Climate catastrophe -12/11/2014, 10:12 AM

The case of Scott Panetti -12/10/2014, 10:14 AM

Word origins -12/10/2014, 10:14 AM

Kansas will bleed -12/10/2014, 10:13 AM

Minions' mess -12/10/2014, 10:13 AM

Prescription farmers -12/10/2014, 10:12 AM

Vaccines make sense -12/9/2014, 11:02 AM

Net neutrality -12/9/2014, 8:45 AM

Tell me it isn't so? -12/9/2014, 2:53 PM

Willing to do without -12/9/2014, 8:45 AM

KDOT funding -12/9/2014, 8:45 AM

The man elected -12/8/2014, 10:00 AM

Understanding white privilege -12/8/2014, 10:00 AM

Making sure crime doesn't pay -12/8/2014, 10:00 AM

Do Kansans really care? -12/7/2014, 3:17 PM

Core freedoms under fire -12/7/2014, 3:17 PM

Nation needs new approach -12/6/2014, 3:17 PM

Tons of fun on tap -12/5/2014, 9:48 AM

A Christmas plea -12/5/2014, 9:48 AM

School privatization via convenient debt -12/5/2014, 9:48 AM

Race in America -12/4/2014, 10:20 AM

The gift of petroleum -12/4/2014, 10:20 AM

A Charlie Brown Christmas miracle -12/4/2014, 10:19 AM

Care and feeding of farm animals -12/3/2014, 10:19 AM

Let's talk about 'black on black' crime -12/3/2014, 10:19 AM

Sports complex -12/3/2014, 4:14 PM

-12/3/2014, 10:00 AM

Kudos to school for bilingual efforts -12/2/2014, 11:42 AM

Wages prompting county workers to seek better jobs -12/2/2014, 11:42 AM

County employees urge public's support -12/2/2014, 11:42 AM

'Horrible Bosses 2' disappoints;  new 'Star Wars' trailer thrills -12/2/2014, 10:19 AM

Power rests with House speaker -12/2/2014, 10:01 AM

Climate change -12/2/2014, 10:38 AM

Ferguson's pain -12/1/2014, 10:21 AM

Out of sight, or out of luck? -12/1/2014, 10:20 AM

Blacks, whites need to wake up to injustice -12/1/2014, 10:20 AM

Kansas turns South -11/30/2014, 5:33 PM

When should holy days become holidays? -11/30/2014, 5:33 PM

Future of health care -11/30/2014, 5:33 PM

Giving thanks -11/27/2014, 3:08 PM

Give a child hope and a home -11/26/2014, 9:12 AM

Holiday shopping -11/26/2014, 9:12 AM

Today's faults -11/26/2014, 7:45 AM

Meatless Mondays -- forget about it -11/26/2014, 7:45 AM

Cosby, serial rapist? That's a lot to forgive -11/26/2014, 7:45 AM

Letting it fly -11/26/2014, 7:45 AM

KanCare oversight -11/26/2014, 7:45 AM

Giving thanks for blessings as Kansans -11/25/2014, 10:11 AM

Local fixes to local problems? -11/25/2014, 10:11 AM

Energy security -11/25/2014, 10:11 AM

Elite contempt for ordinary Americans -11/24/2014, 9:12 AM

Pipeline politics -11/24/2014, 10:04 AM

They killed Peter Kassig -11/24/2014, 10:04 AM

Going from bad to good on election night -11/23/2014, 6:38 PM

Free Speech can be shield or a sword -11/23/2014, 6:38 PM

Dodge City merger -11/22/2014, 6:38 PM

House mis-speaker -11/21/2014, 9:50 AM

Obama vs. Us -11/21/2014, 9:50 AM

Really smart conservatives love public debt -11/21/2014, 9:50 AM

Official welcome -11/20/2014, 9:52 AM

Control freaks in the U.S. -11/20/2014, 1:24 PM

How did we get here? -11/20/2014, 9:52 AM

An open letter to the GOP -11/19/2014, 10:03 AM

Successful farming -11/19/2014, 10:03 AM

Getting personal -11/18/2014, 9:15 AM

Teachers, not facilities -11/18/2014, 9:15 AM

Schoolteachers and the Legislature -11/18/2014, 9:06 AM

Water vision -11/18/2014, 9:06 AM

I see wonderful things -11/17/2014, 9:26 AM

Politics prevail over truth in Kansas elections -11/17/2014, 9:26 AM

Progress at mall -11/16/2014, 5:22 PM

myTown Calendar

SPOTLIGHT
[var top_story_head]

Value of bitcoins

Published on -3/11/2014, 10:33 AM

Printer-friendly version
E-Mail This Story

There has been speculation for decades that someday we will live in a currency-free world. Economies would be fueled electronically, with only plastic cards, chips or even mobile phones allowing all transactions to take place.

We're not there yet, although it does appear today we're closer than ever before -- at least in the developed nations of the world.

One of the more radical experiments to emerge along these lines was the creation of the bitcoin. Invented in 2009 by an unknown person using the alias Satoshi Nakamoto, bitcoins exists exclusively in the digital realm -- free from the control and fees of central banks. They are tied to no country in particular, although their popularity is most pronounced in China.

Bitcoins also are unregulated, exchanged anonymously, and are not insured by the FDIC. They are extremely popular amongst criminal elements looking to buy drugs and other illegal goods. As long as buyer and seller agree the bitcoin has value, it works as a valid currency.

And, of course, because the "money" exists only in cyberspace, it is vulnerable to hackers. Japan-based Mt. Gox, the largest bitcoin exchange, is discovering this the hard way. Cyber thieves have made off with approximately $473 million worth of bitcoins from them, resulting in a bankruptcy filing. The theft amounts to roughly 7 percent of the $6.76 billion bitcoins in circulation.

Officials at Mt. Gox filed bankruptcy in the United States in hopes of delaying at least two pending lawsuits against the exchange by American investors who were burned in the exchange's demise.

We would hope residents in northwest Kansas were not amongst those who saw bitcoins as a worthwhile investment, although there likely was allure for anybody fancying themselves as tech-savvy. We would offer those very individuals should have been amongst the most suspicious of a unregulated exchange in anonymous cyberspace.

The multitude of merchants that have agreed to accept bitcoins strike us as being more trusting than the Internet should inspire. Bitcoins have been likened to lotteries by many financial advisers -- you might hit the jackpot or you might not have a thing. Particularly when the "value" of bitcoins swings so dramatically on a daily basis.

We won't go so far to equate bitcoins with the Ugandan bureaucrat promising riches in emails sent directly to you. But depending on how Mt. Gox's bankruptcy case unfolds, we just might.

Caveat emptor. Let the buyer beware.

Editorial by Patrick Lowry

plowry@dailynews.net

digg delicious facebook stumbleupon google Newsvine
More News and Photos

Associated Press Videos

AP Breaking News