kaymyg
--
How Kevin Day Lost $16 Billion in Bitcoin
One day, Kevin Day, a tech enthusiast from Nebraska, found himself at the center of one of the most dramatic events in Bitcoin history. In the 1990s, Kevin had worked as a video game developer on classics like Mortal Kombat 4, NBA Showtime, and NFL Blitz. A true geek at heart, he even had the chance to meet Mark Hamill, the actor behind Luke Skywalker.
Beyond his gaming career, Kevin was passionate about the internet. After his startup folded during the Dot-Com Crash, he turned to hosting websites, drawn by the freedom and creativity of the web. That same spirit eventually led him to #Bitcoin . Kevin joined the Bitcoin community when the price was $7, captivated by its meteoric rise from just $0.30. He quickly threw himself into mining, eager to be part of this revolutionary digital movement.
On June 19, 2011, Kevin’s passion collided with an extraordinary opportunity. Within just 20 minutes, Bitcoin’s price crashed from $17 to an astonishing $0.01. While others were paralyzed by panic, Kevin saw his chance. Acting quickly, he placed a bid to buy $3,000 worth of Bitcoin at $0.01 per coin. His order succeeded, securing him an unbelievable 259,684 #BTC for less than $3,000.
As the price rebounded, Kevin’s investment soared in value, skyrocketing by an incredible 166,000%. He managed to withdraw 643 BTC—the maximum allowed under the exchange’s policies—before everything unraveled.
The crash, it turned out, wasn’t a mere market fluctuation. It was the result of a hack on the Mt. Gox exchange. The hacker had stolen Bitcoin and sold it at fire-sale prices, creating chaos in the market. To address the fallout, #MtGox decided to roll back all trades made during the crash, including Kevin’s.
This decision erased Kevin’s remaining Bitcoin and the holdings of countless other traders who had placed legitimate orders. Though Kevin had acted in good faith, the Bitcoin community was split. Some accused him of being the hacker, while others defended him as an innocent trader who had simply seized an opportunity.
Unshaken, Kevin stepped forward to tell his side of the story. He argued that his trades were legitimate and criticized Mt. Gox for setting a dangerous precedent with its rollback. To Kevin, exchanges should uphold Bitcoin’s core principles: transparency, immutability, and fairness.
Despite being advised to sue Mt. Gox, Kevin chose not to pursue legal action, fearing it might destabilize the fledgling Bitcoin ecosystem. Instead, he became an advocate for personal responsibility in cryptocurrency, championing the now-famous mantra: #NotYourKeysNotYourCoins .
Though Kevin lost 259,360 $BTC —worth over $16 billion today—his story stands as a cautionary tale. It highlights the risks of centralized exchanges and underscores the importance of safeguarding one’s assets in the unpredictable world of cryptocurrency.
Beyond his gaming career, Kevin was passionate about the internet. After his startup folded during the Dot-Com Crash, he turned to hosting websites, drawn by the freedom and creativity of the web. That same spirit eventually led him to #Bitcoin . Kevin joined the Bitcoin community when the price was $7, captivated by its meteoric rise from just $0.30. He quickly threw himself into mining, eager to be part of this revolutionary digital movement.
On June 19, 2011, Kevin’s passion collided with an extraordinary opportunity. Within just 20 minutes, Bitcoin’s price crashed from $17 to an astonishing $0.01. While others were paralyzed by panic, Kevin saw his chance. Acting quickly, he placed a bid to buy $3,000 worth of Bitcoin at $0.01 per coin. His order succeeded, securing him an unbelievable 259,684 #BTC for less than $3,000.
As the price rebounded, Kevin’s investment soared in value, skyrocketing by an incredible 166,000%. He managed to withdraw 643 BTC—the maximum allowed under the exchange’s policies—before everything unraveled.
The crash, it turned out, wasn’t a mere market fluctuation. It was the result of a hack on the Mt. Gox exchange. The hacker had stolen Bitcoin and sold it at fire-sale prices, creating chaos in the market. To address the fallout, #MtGox decided to roll back all trades made during the crash, including Kevin’s.
This decision erased Kevin’s remaining Bitcoin and the holdings of countless other traders who had placed legitimate orders. Though Kevin had acted in good faith, the Bitcoin community was split. Some accused him of being the hacker, while others defended him as an innocent trader who had simply seized an opportunity.
Unshaken, Kevin stepped forward to tell his side of the story. He argued that his trades were legitimate and criticized Mt. Gox for setting a dangerous precedent with its rollback. To Kevin, exchanges should uphold Bitcoin’s core principles: transparency, immutability, and fairness.
Despite being advised to sue Mt. Gox, Kevin chose not to pursue legal action, fearing it might destabilize the fledgling Bitcoin ecosystem. Instead, he became an advocate for personal responsibility in cryptocurrency, championing the now-famous mantra: #NotYourKeysNotYourCoins .
Though Kevin lost 259,360 $BTC —worth over $16 billion today—his story stands as a cautionary tale. It highlights the risks of centralized exchanges and underscores the importance of safeguarding one’s assets in the unpredictable world of cryptocurrency.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
8
0