The self proclaimed “Worlds Largest Bitcoin Exchange” has recently sent their buy price below $100 a Bitcoin. Mt. Gox’s downward spiral has been driving down the price of Bitcoins worldwide.
Mt. Gox’s crisis began on 7 February 2014, when the exchange halted withdrawals, citing technical issues.
“The company issued a press release on February 10, 2014 stating that the issue was due to transaction malleability: “A bug in the bitcoin software makes it possible for someone to use the Bitcoin network to alter transaction details to make it seem like a sending of bitcoins to a bitcoin wallet did not occur when in fact it did occur. Since the transaction appears as if it has not proceeded correctly, the bitcoins may be resent. MtGox is working with the Bitcoin core development team and others to mitigate this issue.””
The Mt. Gox Exchange has since reopened. Bitcoins were trading at $850 before Feb 10, 2014.
Many have speculated that Mt. Gox wasn’t ready to grow with the mounting interest in Bitcoins. Bigger players are entering the scene, which may alleviate the worries of Bitcoins holders.