The Verge - All about Bitcoin: the rise and trials of an anonymous virtual currency 2014-03-25T14:40:41-04:00 2014-03-25T14:40:41-04:00 2014-03-25T14:40:41-04:00 IRS rules Bitcoin will be taxed as property, not as currency <img alt="" src="" /> <p>The IRS previously admitted it wasn't sure&nbsp;<a href="">how to tax Bitcoin</a>, but today it's reached a decision. Bitcoin and other virtual currencies are considered property, not currency, according to a&nbsp;<a target="_blank" href="">notice</a> posted today. That means Bitcoin owners may have to pay taxes on the income they gain as Bitcoin increases in value, and may be able to deduct a loss if Bitcoin loses value, just as if Bitcoin were a stock.</p> <p>"In some environments, virtual currency operates like 'real' currency," the IRS writes, "but it does not have legal tender status in any jurisdiction." Therefore, "virtual currency is treated as property for U.S. federal tax purposes" and "general tax principles that apply to property transactions apply to transactions using virtual...</p> <p> <a href="">Continue reading&hellip;</a> </p> Adrianne Jeffries 2014-03-21T10:33:40-04:00 2014-03-21T10:33:40-04:00 Mt. Gox finds over $100 million of customers' missing bitcoins <img alt="" src="" /> <p>Troubled Bitcoin exchange Mt. Gox says that it located nearly a quarter of the around $485 million worth of missing bitcoins that it's been searching for since&nbsp;<a style="background-color: #ffffff;" href="">shutting down its site</a> and&nbsp;<a style="background-color: #ffffff;" href="">filing for bankruptcy protection</a> late last month. Mt. Gox, once Bitcoin's top exchange, previously chalked much of the currency's disappearance up to hackings over the course of several years, leading to some&nbsp;<a style="background-color: #ffffff;" href="">obvious questions about its accounting practices</a> and how this could have gone unnoticed until recently. In finding the bitcoins again, questions about its accounting practices sound just as loudly: it claims to have found the bitcoins &mdash; approximately 200,000 of the missing 850,000 &mdash; in an old wallet that it mistakenly thought was empty.</p> <p></p> <p> <a href="">Continue reading&hellip;</a> </p> Jacob Kastrenakes 2014-03-10T12:30:02-04:00 2014-03-10T12:30:02-04:00 The new gold rush: Bitcoin ATMs are coming <img alt="" src="" /> <p>Sebuh Honarchian, a developer from Los Angeles, showed up at the South By Southwest Interactive trade show in Austin, Texas on Saturday because he heard there would be a Bitcoin ATM and he needed to pay rent. He found the machine in a corner of the trade floor, flashed it a QR code on his phone, and retrieved $3,000 &mdash; less than five BTC at current prices.</p> <p>"I just cashed my Bitcoin out because I need to pay some bills, you know I got rent and other things," he tells <em>The Verge</em>. "You have to cash out your Bitcoin sometimes whenever you need to spend it. These machines make it really easy."</p> <p>There are at least three companies making ATMs designed for Bitcoin, the virtual currency that approximates cash on the internet. Two of the models...</p> <p> <a href="">Continue reading&hellip;</a> </p> Adrianne Jeffries 2014-03-10T00:11:04-04:00 2014-03-10T00:11:04-04:00 Hackers claim bankrupt Mt. Gox still has customers' bitcoins <img alt="" src="" /> <p>Tokyo-based Bitcoin exchange Mt. Gox lost&nbsp;<a href="">$400 million worth of bitcoins in February</a>. Its management said the amount was stolen after hackers exploited a transaction bug to divert the funds, but some of Mt. Gox's users are not so sure, suggesting instead&nbsp;<a href="">that the exchange's owners pocketed the cash</a>. Now,<a href=""> facing silence from those owners</a> about the fate of the money and the methods by which 6 percent of all of the Bitcoin in the world could have been stolen, a group of hackers claims it has broken into the bankrupted Bitcoin exchange's network to get answers.</p> <p><a href="" target="_blank"><i>Forbes </i>reports</a> that the group gained access to the personal blog and Reddit account of Mark Karpeles, Mt. Gox's CEO. The hackers used the platforms to post a message that claimed...</p> <p> <a href="">Continue reading&hellip;</a> </p> Rich McCormick 2014-03-07T15:04:28-05:00 2014-03-07T15:04:28-05:00 Newsweek stands by Bitcoin story as Reddit offers alleged creator money and model trains <img alt="" src="" /> <p>Since its publication yesterday, <i>Newsweek's </i>huge Bitcoin scoop has proved unsurprisingly explosive both online and offline. A cover story by reporter Leah McGrath Goodman strongly stated that a man who went by the name Dorian Nakamoto was in fact Satoshi Nakamoto, the secretive creator of Bitcoin. But the piece has raised questions about everything from journalistic ethics to whether model trains would make an appropriate apology gift. Amid heavy criticism, however,&nbsp;<i>Newsweek</i> says it's still&nbsp;<a target="_blank" href="">standing by the story</a>.</p> <p> <a href="">Continue reading&hellip;</a> </p> Adi Robertson 2014-03-07T00:25:50-05:00 2014-03-07T00:25:50-05:00 Japan says Bitcoin is not a currency <img alt="" src="" /> <p>Over the past 24 hours, a man believed to be the founder of Bitcoin was&nbsp;<a href="">chased through the streets of Los Angeles</a>, only to&nbsp;<a href="" target="_blank">deny having any involvement</a> in the project.&nbsp;But the identity of the mysterious Satoshi Nakamoto isn't the only Bitcoin news of the day: Japan has decided that Bitcoin isn't actually a currency.</p> <p> <a href="">Continue reading&hellip;</a> </p> Sean Hollister 2014-03-06T20:05:56-05:00 2014-03-06T20:05:56-05:00 So-called founder of Bitcoin denies starting the virtual currency <img alt="" src="" /> <p>A California man who <i>Newsweek</i> <a target="_blank" href="">claimed</a> was the inventor of the popular digital cryptocurrency Bitcoin is now denying the report. Dorian Nakamoto told the <a target="_blank" href=""><i>Associated Press</i></a> that he's not "the face behind Bitcoin," despite a claim by <i>Newsweek</i> that he was deeply involved with its inception.</p> <p> <a href="">Continue reading&hellip;</a> </p> Josh Lowensohn 2014-03-06T17:00:33-05:00 2014-03-06T17:00:33-05:00 Press chases alleged Bitcoin creator through Los Angeles <img alt="" src="" /> <p>In the wake of this morning's <i>Newsweek </i>article purportedly unmasking mysterious Bitcoin creator Satoshi Nakamoto, the man known as Dorian Nakamoto has become the subject not just of more investigative reporting but of a car chase and is apparently denying being the creator of the currency. <i>Los Angeles Times</i> reporter&nbsp;<a href="" target="_blank">Joe Bel Bruno</a> and others have taken to Twitter as they follow Nakamoto and an AP reporter, who successfully convinced Nakamoto to come with him for lunch.</p> <p> <a href="">Continue reading&hellip;</a> </p> Adi Robertson