The collapses we've seen with traditional currencies stem from the inherent risks of fractional-reserve lending.
Is this a risk with Bitcoin? According to my limited understanding, it doesn't seem to be. That should in theory reduce the need for things like FDIC and complicated risk calculations, like counter-party risk.
MtGox doesn't seem like a "bank failure" or "bank run" to me. It seems like a bank that forgot to lock the doors at night.
Is this a risk with Bitcoin? According to my limited understanding, it doesn't seem to be. That should in theory reduce the need for things like FDIC and complicated risk calculations, like counter-party risk.
MtGox doesn't seem like a "bank failure" or "bank run" to me. It seems like a bank that forgot to lock the doors at night.