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    Author Topic: [0Th]Ozcoin Pooled Mining |DGM 1%|Stratum+VarDiff port 80|NEW CN mining|  (Read 398764 times)
    BitMinerN8
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    Mining since May 2011.


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    April 24, 2013, 11:41:32 AM
     #2181

    Public Disclosure.

    On Saturday afternoon I was notified that Strongcoin was holding 568 BTC believed to be from the Ozcoin theft. Everytime you make a payment from StrongCoin the fee goes to 1STRonGxnFTeJiA7pgyneKknR29AwBM77 so any payments from strongcoin held accounts are easily traced back to the site.


    I was asked by 2 separate people on this forum if I could hold the funds (Sorry to the people I didn't reply to). The evidence that these funds came from the heist seemed plausible to me.

    At 8am yesterday morning the funds were intercepted when the user made a payment.

    https://blockchain.info/address/1DsFCAZaxhJ9YGw5X8NCW9VkSMDZMyXzMF

    I've spoken to the user in question over email. The user says he sold a car for BTC but can't reveal who to due to an NDA agreement.

    Graeme and I had a conversation over the phone and some evidence came to light, that to me, made it very likely the user I have contact with was connected to the heist. I'm not going to reveal any details of the user accept to legal authorities if asked. I believe we should abide by due process.

    I have sent a link to this post to the user so he/she can comment. Otherwise in the next few hours I will return the funds to Graeme, he can then decide what happens to those funds.

    Despite having done the morally 'right' thing, what you have done might be illegal, and it certainly opens you up to legal liability.

    How can you prove the 'thief' did not legitimately get ahold of the coins? If he had purchased them with cash, what proof would he have? Ignoring for the moment he claimed to have sold a car. (Although the user has no obligation to tell you the truth regarding where he got the coins).

    In a case like this- I don't think you have the  authority to seize user funds without some sort of legal decision allowing you to do so. What criminal investigation determined the 'thief' a thief? How are you protected from this user not suing you? Did Garet file a police report for the theft? How can you prove to a judge a theft meven occurred? How could you prove it's not an elaborate ruse? (Not saying it is, but hypothetically)

    I think you have opened a very dangerous Pandora's box here. You did the right thing morally, but you may have committed an even graver crime. Unlawful seizure of assets.

    And raising a question of integrity of the entire strongcoin.com operation. How can the community be sure their BTC are safe if they can be redirected in the described manor?  Shocked

    Don't get me wrong, I'm glad Graet received partial BTC back, it's just the method used raises questions long term.
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