Mark Karpelès: Difference between revisions
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{{Infobox person |
{{Infobox person |
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| name = Mark Karpelès |
| name = Mark Karpelès |
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| birth_date = {{birth date and age|1985|6|1|df=yes}} |
| birth_date = {{birth date and age|1985|6|1|df=yes}} |
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| birth_place = [[Chenôve]], France |
| birth_place = [[Chenôve]], France |
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| occupation = [[Entrepreneur]] |
| occupation = [[Entrepreneur]] |
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| known_for = Former CEO of [[Mt. Gox]] |
| known_for = Former CEO of [[Mt. Gox]] |
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'''Mark Marie Robert Karpelès |
'''Mark Marie Robert Karpelès<ref name="US Bankruptcy Court case 14-31229-sgj15">{{cite web |title=Declaration of Robert Marie Mark Karpeles |url=https://www.scribd.com/doc/211626536/Karpeles-Declaration |access-date=13 March 2014 |publisher=US Bankruptcy Court for the Northern District of Texas Dallas Division |page=1 |format=PDF}} The document, signed by "Robert Marie Mark Karpeles", was published by ''[[Ars Technica]]'' on the [[Scribd]] website, and according to ''Ars Technica'' is a court document filed in US Bankruptcy Court.</ref>''' (born June 1, 1985) is a French entrepreneur and former CEO of the [[bitcoin]] exchange [[Mt. Gox]]. Under his leadership, Mt. Gox became one of the largest [[Cryptocurrency exchange|bitcoin exchanges]] globally, handling over 70% of all bitcoin transactions at its peak before filing for bankruptcy in 2014.<ref>{{Cite web |date=2024-07-08 |title=Bitcoin rebounds to $57,000 after billions in Mt. Gox refunds fueled a selloff |url=https://qz.com/bitcoin-rebounds-mt-gox-selloff-1851580645 |access-date=2024-07-11 |website=Quartz |language=en}}</ref><ref>{{Cite web |date=2024-07-08 |title=Germans, Mt. Gox, or Feds: Who Caused the Bitcoin Dip? |url=https://www.financemagnates.com/cryptocurrency/germans-mt-gox-or-feds-who-caused-the-bitcoin-dip/ |access-date=2024-07-11 |website=Financial and Business News {{!}} Finance Magnates |language=en}}</ref><ref>{{Cite web |last=Zielinski |first=Radek |date=2024-07-08 |title=Mt. Gox to repay investors in Bitcoin |url=https://readwrite.com/mt-gox-to-repay-investors-in-bitcoin/ |access-date=2024-07-11 |website=ReadWrite |language=en-US}}</ref> |
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==Early life and education== |
==Early life and education== |
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Karpelès was born in [[Chenôve]], France, and is the son of geologist Anne-Robert Karpelès.<ref name="lejsl">{{cite news |last=Gautronneau |first=Vincent |date=2014-01-03 |title=Le génie côte-d'orien qui fait trembler le net |url=http://www.lejsl.com/saone-et-loire/2014/03/01/un-qi-superieur-a-la-moyenne |work=Le Journal de Saône et Loire |language=fr}}</ref> Raised in [[Dijon]],<ref name="lejsl" /><ref name="mick2014">{{cite news |last=Mick |first=Jason |date=5 March 2014 |title=Bitcoin King: Mt. Gox CEO Mark Karpelès' History of Arrests, Firings |url=http://www.dailytech.com/Bitcoin+King+Mt+Gox+CEO+Mark+Karpels+History+of+Arrests+Firings/article34442.htm |url-status=dead |archive-url=https://web.archive.org/web/20140309102115/http://www.dailytech.com/Bitcoin+King+Mt+Gox+CEO+Mark+Karpels+History+of+Arrests+Firings/article34442.htm |archive-date=9 March 2014 |access-date=9 March 2014 |newspaper=[[DailyTech]]}}</ref> France, he attended Collège Prieuré de Binson in [[Châtillon-sur-Marne]] from 1995 to 2000.<ref name="copainsdavant">{{cite web |title=Mark Robert KARPELÈS, 28 ans (TOKYO, CHATILLON SUR MARNE, PARIS) |url=http://copainsdavant.linternaute.com/p/mark-robert-karpeles-4285933 |access-date=2014-02-27 |work=Copains d'avant – L'Internaute |publisher=CCM Benchmark Group |language=fr}}</ref> He continued his education at [[Lycée Claude-Bernard|Lycée Claude Bernard]] and completed his studies at [[Secondary education in France|Lycée Louis Armand]] in Paris in 2003.<ref name="copainsdavant" /> |
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<!-- Do not add back without discussion --- According to [[DailyTech]]'s Jason Mick, Karpelès was found guilty of a financial computer crime and of money transfer fraud when he was somewhere between 13 and 18 years old. The court gave him a 3 month [[suspended sentence]] and no criminal record.<ref name=mick2014/> --> |
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==Career== |
==Career== |
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'''Tibanne Co. Ltd.''' |
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In 2009, Karpelès founded Tibanne Co. Ltd., a Japan-based bitcoin related technology provider, where he served as CEO.<ref>{{Cite web|url=https://www.cnbc.com/2014/03/12/us-judge-freezes-assets-of-mtgox-bitcoin-exchange-boss.html|title=US judge freezes assets of Mt.Gox bitcoin exchange boss|date=12 March 2014|website=CNBC}}</ref><ref>{{cite news|url=http://www.businessweek.com/articles/2013-05-31/a-bitcoin-exchange-goes-for-respectability|archive-url=https://web.archive.org/web/20130607113530/http://www.businessweek.com/articles/2013-05-31/a-bitcoin-exchange-goes-for-respectability|url-status=dead|archive-date=7 June 2013|title=A Bitcoin Exchange Goes for Respectability|author=David Meyer|work=Businessweek.com|date=31 May 2013 |access-date=24 February 2015}}</ref> He was a founding member of the [[Bitcoin Foundation]], created in 2012 with a mission to standardize and promote bitcoin, and served on its board until February 2014.<ref>{{cite news | url=https://www.reuters.com/article/mtgox-bitcoinfoundation-idUSL3N0LT15X20140224 | work=Reuters | date=23 February 2014 | title=Mt. Gox resigns from Bitcoin Foundation | access-date=25 February 2014 }}</ref><ref>{{cite web|url=http://www.pcworld.com/article/2100720/mt-gox-quits-bitcoin-foundation-board.html|title=Mt. Gox quits Bitcoin Foundation board|date=24 February 2014|work=PCWorld|access-date=24 February 2015}}</ref> |
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In 2009, Karpelès moved to Japan, where he founded Tibanne Co. Ltd., a Tokyo-based technology firm specializing in IT services and bitcoin-related technology.<ref>{{Cite web |date=12 March 2014 |title=US judge freezes assets of Mt.Gox bitcoin exchange boss |url=https://www.cnbc.com/2014/03/12/us-judge-freezes-assets-of-mtgox-bitcoin-exchange-boss.html |website=CNBC}}</ref> Through Tibanne, Karpelès developed software to support the growing bitcoin ecosystem.<ref>{{cite news |author=David Meyer |date=31 May 2013 |title=A Bitcoin Exchange Goes for Respectability |url=http://www.businessweek.com/articles/2013-05-31/a-bitcoin-exchange-goes-for-respectability |url-status=dead |archive-url=https://web.archive.org/web/20130607113530/http://www.businessweek.com/articles/2013-05-31/a-bitcoin-exchange-goes-for-respectability |archive-date=7 June 2013 |access-date=24 February 2015 |work=Businessweek.com}}</ref> |
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'''Bitcoin Foundation''' |
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In 2011, Karpelès acquired the [[Mt. Gox]] bitcoin exchange site from programmer [[Jed McCaleb]], with its original owner receiving 12% of the shares of the new company.<ref>{{cite web|url=https://dealbook.nytimes.com/2014/02/28/mt-gox-files-for-bankruptcy/|title=Erosion of Faith Was Death Knell for Mt. Gox |
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|author= Rachel Abrams Matthew Goldstein and [[Hiroko Tabuchi]] |work=The New York Times|date=28 February 2014 |
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|access-date=24 February 2015}}</ref><ref>{{cite web| date=1 April 2013|last=Jeffries|first=Adrianne|title=Barons of Bitcoin|url=https://www.theverge.com/2013/4/1/4154500/mt-gox-barons-of-bitcoin|work=The Verge|access-date=13 March 2014}}</ref><ref>{{cite web |url=https://online.wsj.com/article/BT-CO-20140310-712183.html |title=Bitcoin Exchange Mt. Gox Files for Bankruptcy in U.S. -- 2nd Update - WSJ.com |website=online.wsj.com |url-status=dead |archive-url=https://web.archive.org/web/20140311030453/http://online.wsj.com/article/BT-CO-20140310-712183.html |archive-date=2014-03-11}}</ref> Under his management, the platform handled the majority of global Bitcoin transactions by 2014.<ref>{{Cite news |title=Mt Gox: The brief reign of bitcoin's top exchange |url=https://www.reuters.com/article/business/mt-gox-the-brief-reign-of-bitcoins-top-exchange-idUSBREA1R06C/}}</ref> <ref>{{Cite news |title=Apparent Theft at Mt. Gox Shakes Bitcoin World |url=https://www.nytimes.com/2014/02/25/business/apparent-theft-at-mt-gox-shakes-bitcoin-world.html}}</ref> Despite its growth, Mt. Gox faced growing operational and security challenges, compounded by the rapid expansion of its user base.<ref>{{Cite magazine |last=McMillan |first=Robert |title=The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster |url=https://www.wired.com/2014/03/bitcoin-exchange/ |access-date=2024-09-08 |magazine=Wired |language=en-US |issn=1059-1028}}</ref> Mt. Gox experienced a major theft in 2014 that resulted in the loss of a significant amount of Bitcoin.<ref>{{Cite news |last=Hern |first=Alex |date=2014-02-28 |title=MtGox files for bankruptcy in Japan after collapse of bitcoin exchange |url=https://www.theguardian.com/technology/2014/feb/28/bitcoin-mtgox-bankruptcy-japan |access-date=2024-09-08 |work=The Guardian |language=en-GB |issn=0261-3077}}</ref> Mt. Gox filed subsequently for bankruptcy in Japan on 28 February 2014 and for [[Chapter 15]] bankruptcy in Texas in March 2014.<ref name="US Bankruptcy Court case 14-31229-sgj15">{{cite web|title=Declaration of Robert Marie Mark Karpeles |url=https://www.scribd.com/doc/211626536/Karpeles-Declaration|publisher=US Bankruptcy Court for the Northern District of Texas Dallas Division|access-date=13 March 2014|page=1|format=PDF}} The document, signed by "Robert Marie Mark Karpeles", was published by ''[[Ars Technica]]'' on the [[Scribd]] website, and according to ''Ars Technica'' is a court document filed in US Bankruptcy Court.</ref><ref>{{cite magazine|url=https://www.wired.com/wiredenterprise/2014/03/gox-texas/|title=Bitcoin Exchange Mt. Gox Files for U.S. Bankruptcy as Death Spiral Continues|magazine=WIRED|access-date=24 February 2015}}</ref><ref>{{Cite magazine |last=McMillan |first=Robert |title=The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster |url=https://www.wired.com/2014/03/bitcoin-exchange/ |access-date=2024-07-11 |magazine=Wired |language=en-US |issn=1059-1028}}</ref> Karpelès [[Mark Karpelès#Arrests and convictions|was arrested in 2014]] for actions related to his role at Mt. Gox and eventually convicted of data manipulation and falsification. |
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In 2012, Karpelès became one of the founding members of the [[Bitcoin Foundation]], an organization created to promote and standardize bitcoin.<ref>{{cite news |date=23 February 2014 |title=Mt. Gox resigns from Bitcoin Foundation |url=https://www.reuters.com/article/mtgox-bitcoinfoundation-idUSL3N0LT15X20140224 |access-date=25 February 2014 |work=Reuters}}</ref> He served on its board until February 2014.'''<ref>{{cite web |date=24 February 2014 |title=Mt. Gox quits Bitcoin Foundation board |url=http://www.pcworld.com/article/2100720/mt-gox-quits-bitcoin-foundation-board.html |access-date=24 February 2015 |work=PCWorld}}</ref>''' |
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===Subsequent ventures=== |
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In 2011, Karpelès acquired the bitcoin exchange Mt. Gox from programmer [[Jed McCaleb]].<ref>{{cite web |author=Rachel Abrams Matthew Goldstein and [[Hiroko Tabuchi]] |date=28 February 2014 |title=Erosion of Faith Was Death Knell for Mt. Gox |url=https://dealbook.nytimes.com/2014/02/28/mt-gox-files-for-bankruptcy/ |access-date=24 February 2015 |work=The New York Times}}</ref><ref>{{cite web |last=Jeffries |first=Adrianne |date=1 April 2013 |title=Barons of Bitcoin |url=https://www.theverge.com/2013/4/1/4154500/mt-gox-barons-of-bitcoin |access-date=13 March 2014 |work=The Verge}}</ref> Under his leadership, Mt. Gox rapidly expanded, handling over 70% of all global bitcoin transactions by early 2014.<ref>{{Cite news |title=Mt Gox: The brief reign of bitcoin's top exchange |url=https://www.reuters.com/article/business/mt-gox-the-brief-reign-of-bitcoins-top-exchange-idUSBREA1R06C/}}</ref><ref>{{Cite news |title=Apparent Theft at Mt. Gox Shakes Bitcoin World |url=https://www.nytimes.com/2014/02/25/business/apparent-theft-at-mt-gox-shakes-bitcoin-world.html}}</ref> However, the exchange faced significant operational and security challenges.<ref>{{Cite magazine |last=McMillan |first=Robert |title=The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster |url=https://www.wired.com/2014/03/bitcoin-exchange/ |access-date=2024-09-08 |magazine=Wired |language=en-US |issn=1059-1028}}</ref> In February 2014, Mt. Gox announced that approximately 850,000 BTC had been lost due to a hacking incident.<ref name="US Bankruptcy Court case 14-31229-sgj15" /><ref>{{cite magazine |title=Bitcoin Exchange Mt. Gox Files for U.S. Bankruptcy as Death Spiral Continues |url=https://www.wired.com/wiredenterprise/2014/03/gox-texas/ |access-date=24 February 2015 |magazine=WIRED}}</ref> |
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== Arrests and convictions == |
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⚫ | In 2010, at the age of 25, Karpelès was found guilty of fraud during a trial in absentia in France related to his actions on a private server, and he received a suspended sentence of one year in jail.<ref>{{cite news |last=Farivar |first=Cyrus |date=1 August 2014 |title=Why the head of Mt. Gox Bitcoin exchange should be in jail |url=https://arstechnica.com/tech-policy/2014/08/why-the-head-of-mt-gox-bitcoin-exchange-should-be-in-jail/ |access-date=1 August 2014 |newspaper=[[Ars Technica]]}}</ref><ref>{{cite news |last=Alonso |first=Pierre |date=1 August 2014 |title=En France, le passé trouble de l'ancien " baron du bitcoin " |trans-title=Old bitcoin baron's old trouble in France |url=http://www.lemonde.fr/pixels/article/2014/08/01/en-france-le-passe-trouble-de-l-ancien-baron-du-bitcoin_4464044_4408996.html |access-date=1 August 2014 |newspaper=[[Le Monde]] |language=fr}}</ref> |
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On February 28, 2014, Mt. Gox filed for [[bankruptcy]] in Japan, followed by [[Chapter 15, Title 11, United States Code|Chapter 15]] bankruptcy protection in [[Texas]], U.S.<ref>{{Cite magazine |last=McMillan |first=Robert |title=The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster |url=https://www.wired.com/2014/03/bitcoin-exchange/ |access-date=2024-07-11 |magazine=Wired |language=en-US |issn=1059-1028}}</ref> The collapse of Mt. Gox became a pivotal event in the history of bitcoin, highlighting the risks associated with cryptocurrency exchanges and their security vulnerabilities.<ref>{{Cite news |title=The unsinkable Mark Karpeles is willing to give Tokyo another shot |url=https://www.japantimes.co.jp/business/2024/10/21/markets/karpeles-japan-return/}}</ref> |
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⚫ | In April 2014, Karpelès was subpoenaed by the [[United States Department of the Treasury]]'s [[Financial Crimes Enforcement Network]] (FinCEN) to appear in Washington, D.C. for testimony on 18 April 2014. Mt. Gox lawyers filed a response stating that Karpelès did not have legal representation for this matter and therefore declined to appear on the initial date.<ref>{{cite news |date=15 April 2014 |title=Mt. Gox founder won't appear in U.S. for questions about bankruptcy case |url=https://www.reuters.com/article/us-bitcoin-mtgox-idUSBREA3E02S20140415 |access-date=24 February 2015 |work=Reuters}}</ref><ref>{{cite web |title=Mt. Gox founder won't attend US bankruptcy hearing |url=http://www.cnet.com/news/mt-gox-founder-wont-attend-bitcoin-exchanges-bankruptcy-hearing/ |access-date=24 February 2015 |work=CNET |publisher=CBS Interactive}}</ref> They requested a new date for his testimony, which was set for 5 May 2014.<ref>{{cite web |author=John Ribeiro |date=15 April 2014 |title=Mt. Gox seeks postponement of CEO's U.S. court deposition |url=http://www.computerworld.com/s/article/9247673/Mt._Gox_seeks_postponement_of_CEO_s_U.S._court_deposition?taxonomyId=17 |access-date=24 February 2015 |work=Computerworld}}</ref><ref>{{cite news |date=15 April 2014 |title=BBC News - MtGox chief refuses to go to Bitcoin bankruptcy hearing |url=https://www.bbc.com/news/technology-27032221 |access-date=24 February 2015 |work=BBC News}}</ref> |
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'''Post-Mt. Gox Ventures''' |
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On 1 August 2015, Karpelès was arrested by Japanese authorities on suspicion of accessing the Mt. Gox computer system to manipulate account balances.<ref>{{cite news |date=1 August 2015 |title=MtGox bitcoin chief Mark Karpeles arrested in Japan |url=https://www.bbc.com/news/world-asia-33745611 |access-date=1 August 2015 |work=BBC News}}</ref><ref>{{cite news |author=Jonathan Soble |date=1 August 2015 |title=Mark Karpeles, Chief of Bankrupt Bitcoin Exchange, Is Arrested in Tokyo |url=https://www.nytimes.com/2015/08/02/business/dealbook/mark-karpeles-mt-gox-bitcoin-arrested.html |access-date=1 August 2015 |newspaper=[[The New York Times]]}}</ref><ref>{{cite news |date=1 August 2015 |title=Mt. Gox bitcoin firm head arrested |url=http://the-japan-news.com/news/article/0002326865 |access-date=1 August 2015 |newspaper=[[The Japan News]] by The [[Yomiuri Shimbun]]}}</ref> Tokyo prosecutors indicted Karpelès on a series of charges, including embezzlement and aggravated breach of trust, and called for a 10-year prison sentence.<ref>{{Cite web |date=2019-03-15 |title=Mt Gox Bitcoin exchange's Karpeles avoids jail time in Japan |url=https://apnews.com/general-news-4cb64156038a48c1abbedfa64982537c |access-date=2024-07-11 |website=AP News |language=en}}</ref> He was released on bail in July 2016 with the condition that he remain in Japan.<ref>{{Cite web |date=2016-07-15 |title=Karpeles released on bail in bitcoin embezzlement case |url=https://www.japantimes.co.jp/news/2016/07/15/national/crime-legal/karpeles-released-bail-bitcoin-embezzlement-case/ |access-date=2021-03-05 |website=The Japan Times |language=en-US}}</ref> On 10 July 2017, Karpelès pleaded not guilty to the charges.<ref>{{Cite news |date=11 July 2017 |title=Chief of bitcoin exchange Mt. Gox denies embezzlement as trial opens |url=https://www.reuters.com/article/us-japan-bitcoin-mt-gox/chief-of-bitcoin-exchange-mt-gox-pleads-not-guilty-to-embezzlement-nikkei-idUSKBN19W07Z |access-date=2017-11-06 |work=Reuters}}</ref> |
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⚫ | In 2018, Karpelès joined London Trust Media, the company behind Freenode and [[Private Internet Access]], as its Chief Technology Officer (CTO).<ref name="Goldman 2018">{{cite web |last=Goldman |first=Joshua |date=2018-04-23 |title=Former Mt. Gox bitcoin exchange CEO Karpeles lands new job |url=https://www.cnet.com/news/mt-gox-bitcoin-exchange-former-ceo-karpeles-lands-new-job/ |access-date=2018-04-29 |website=CNET}}</ref>'''<ref name=":0">{{Cite web |last=Tomlin |first=Bennett |date=2023-12-19 |title=Duke Roger Ver becomes finance minister for Joseon |url=https://protos.com/duke-roger-ver-becomes-finance-minister-for-joseon/ |access-date=2024-07-11 |website=Protos |language=en-US}}</ref>''' |
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On 14 March 2019, the [[Tokyo District Court]] found Karpelès guilty of one count of data manipulation for falsifying data to inflate Mt. Gox's holdings by $33.5 million.<ref name=guilty>{{Cite news |date=2019-03-15 |title=Former Mt. Gox CEO Mark Karpeles Gets Suspended Jail Term |url=https://www.bloomberg.com/news/articles/2019-03-15/former-bitcoin-baron-mark-karpeles-gets-suspended-jail-term |access-date=2024-07-11 |work=Bloomberg.com |language=en}}</ref> The court found Karpelès not guilty of all other charges and sentenced him to 30 months in prison, suspended for four years, which meant he would serve no time in prison unless he committed additional offenses over the next four years.<ref>{{Cite news |last=Dooley |first=Ben |date=2019-03-15 |title=Bitcoin Tycoon Who Oversaw Mt. Gox Implosion Gets Suspended Sentence |url=https://www.nytimes.com/2019/03/15/business/bitcoin-mt-gox-mark-karpeles-sentence.html |access-date=2024-07-11 |work=The New York Times |language=en-US |issn=0362-4331}}</ref><ref>{{Cite web |date=2019-03-14 |title=MtGox bitcoin founder learns fate on embezzlement charges |url=https://www.france24.com/en/20190315-mtgox-bitcoin-founder-learns-fate-embezzlement-charges |access-date=2024-07-11 |website=France 24 |language=en}}</ref> The court said Karpelès had inflicted "massive harm to the trust of his users" and there was "no excuse" for him to "abuse his status and authority to perform clever criminal acts".<ref name=guilty /> Karpelès issued a statement saying he was "happy to be judged not guilty" on the more serious charges and was discussing how to proceed with his lawyers regarding his conviction on the falsifying data charge.<ref>{{cite web |last1=Pham |first1=Sherisse |title=Former Mt. Gox chief Mark Karpeles acquitted of most charges in major bitcoin case |url=https://www.cnn.com/2019/03/14/tech/mark-karpeles-mt-gox/index.html |website=CNN |date=15 March 2019 |access-date=15 March 2019}}</ref> |
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In 2023, Karpelès was appointed as the Minister of Technology for Joseon, a blockchain-based state that operates its own currency, the Mun.'''<ref name=":0" />''' |
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⚫ | During the 2015 trial of [[Ross Ulbricht|Ross William Ulbricht]] for operating the [[Silk Road (marketplace)|Silk Road |
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In 2024, Karpelès announced the launch of EllipX, a new cryptocurrency exchange based in Poland, where he serves as CTO. EllipX aims to provide enhanced security features and a more transparent environment for cryptocurrency traders.<ref>{{Cite news |title=Former Mt. Gox CEO to launch EllipX crypto exchange in Europe |url=https://cointelegraph.com/news/former-mt-gox-ceo-ellipx-crypto-exchange-europe}}</ref><ref>{{Cite web |date=2024-09-04 |title=Former Mt. Gox CEO Mark Karpeles to Launch New Crypto Exchange This Month |url=https://www.blockhead.co/2024/09/04/former-mt-gox-ceo-mark-karpeles-to-launch-new-crypto-exchange-this-month-2/ |access-date=2024-09-08 |website=Blockhead |language=en}}</ref> |
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== Legal Proceedings == |
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Following the bankruptcy of Mt. Gox, Karpelès faced legal scrutiny.<ref>{{cite news |date=1 August 2015 |title=MtGox bitcoin chief Mark Karpeles arrested in Japan |url=https://www.bbc.com/news/world-asia-33745611 |access-date=1 August 2015 |work=BBC News}}</ref> In August 2015, he was arrested by Japanese authorities on charges of data manipulation and [[embezzlement]].<ref>{{cite news |author=Jonathan Soble |date=1 August 2015 |title=Mark Karpeles, Chief of Bankrupt Bitcoin Exchange, Is Arrested in Tokyo |url=https://www.nytimes.com/2015/08/02/business/dealbook/mark-karpeles-mt-gox-bitcoin-arrested.html |access-date=1 August 2015 |newspaper=[[The New York Times]]}}</ref> Tokyo prosecutors accused him of inflating Mt. Gox's holdings by $33.5 million.<ref name="guilty">{{Cite news |date=2019-03-15 |title=Former Mt. Gox CEO Mark Karpeles Gets Suspended Jail Term |url=https://www.bloomberg.com/news/articles/2019-03-15/former-bitcoin-baron-mark-karpeles-gets-suspended-jail-term |access-date=2024-07-11 |work=Bloomberg.com |language=en}}</ref> After a lengthy trial, Karpelès was acquitted of the more serious charges, including embezzlement and breach of trust.<ref name="guilty" /> However, in March 2019, the [[Tokyo District Court]] found him guilty of data manipulation.<ref name=":1">{{Cite news |last=Dooley |first=Ben |date=2019-03-15 |title=Bitcoin Tycoon Who Oversaw Mt. Gox Implosion Gets Suspended Sentence |url=https://www.nytimes.com/2019/03/15/business/bitcoin-mt-gox-mark-karpeles-sentence.html |access-date=2024-07-11 |work=The New York Times |language=en-US |issn=0362-4331}}</ref> He was sentenced to 30 months in prison, suspended for four years, meaning he would not serve jail time unless he committed additional offenses during that period.<ref name=":1" /> |
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⚫ | In April 2014, Karpelès was subpoenaed by the [[United States Department of the Treasury]]'s [[Financial Crimes Enforcement Network]] (FinCEN) to appear in Washington, D.C. for testimony on 18 April 2014. Mt. Gox lawyers filed a response stating that Karpelès did not have legal representation for this matter and therefore declined to appear on the initial date.<ref>{{cite news |date=15 April 2014 |title=Mt. Gox founder won't appear in U.S. for questions about bankruptcy case |url=https://www.reuters.com/article/us-bitcoin-mtgox-idUSBREA3E02S20140415 |access-date=24 February 2015 |work=Reuters}}</ref><ref>{{cite web |title=Mt. Gox founder won't attend US bankruptcy hearing |url=http://www.cnet.com/news/mt-gox-founder-wont-attend-bitcoin-exchanges-bankruptcy-hearing/ |access-date=24 February 2015 |work=CNET |publisher=CBS Interactive}}</ref> They requested a new date for his testimony, which was set for 5 May 2014.<ref>{{cite web |author=John Ribeiro |date=15 April 2014 |title=Mt. Gox seeks postponement of CEO's U.S. court deposition |url=http://www.computerworld.com/s/article/9247673/Mt._Gox_seeks_postponement_of_CEO_s_U.S._court_deposition?taxonomyId=17 |access-date=24 February 2015 |work=Computerworld}}</ref><ref>{{cite news |date=15 April 2014 |title=BBC News - MtGox chief refuses to go to Bitcoin bankruptcy hearing |url=https://www.bbc.com/news/technology-27032221 |access-date=24 February 2015 |work=BBC News}}</ref> |
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⚫ | During the 2015 trial of [[Ross Ulbricht|Ross William Ulbricht]] for operating the [[Silk Road (marketplace)|Silk Road]] marketplace, his defense argued that Karpelès, rather than Ulbricht, was the individual behind the pseudonym "Dread Pirate Roberts".<ref>{{Cite web |last=Paul |first=Kari |date=2015-01-15 |title=Defense in Silk Road Trial Says Mt. Gox CEO Was the Real Dread Pirate Roberts |url=https://www.vice.com/en_us/article/xyw53j/defense-in-silk-road-trial-says-mt-gox-ceo-was-the-real-dread-pirate-roberts |access-date=2019-05-31 |website=Vice |language=en-US}}</ref> [[Homeland security|Homeland Security]] Investigations agent Jared Der-Yeghiayan had also suspected Karpelès during the 2012–2013 investigation, though no evidence supported this theory.<ref>{{Cite web |last=Jeong |first=Sarah |title=Was Mt. Gox CEO The Dread Pirate Roberts? The DHS Once Believed It |url=https://www.forbes.com/sites/sarahjeong/2015/01/16/dhs-agent-thought-mt-gox-ceo-was-dpr/ |access-date=2024-09-10 |website=Forbes |language=en}}</ref> Karpelès denied any involvement on [[Twitter]],<ref>{{cite web |date=15 January 2015 |title=Mark Karpeles on Twitter: "This is probably going to be disappointing for you, but I am not and have never been Dread Pirate Roberts." |url=https://twitter.com/MagicalTux/status/555892860654862337 |access-date=28 January 2015}}</ref> and Ulbricht was ultimately convicted.<ref name="ars-conviction">{{cite web |last=Mullin |first=Joe |date=4 February 2015 |title=Ulbricht guilty in Silk Road online drug-trafficking trial |url=https://arstechnica.com/tech-policy/2015/02/ulbricht-guilty-in-silk-road-online-drug-trafficking-trial/ |access-date=4 February 2015 |work=Ars Technica}}</ref> |
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⚫ | In 2010, at the age of 25, Karpelès was found guilty of fraud during a trial in absentia in France related to his actions on a private server, and he received a suspended sentence of one year in jail.<ref>{{cite news |last=Farivar |first=Cyrus |date=1 August 2014 |title=Why the head of Mt. Gox Bitcoin exchange should be in jail |url=https://arstechnica.com/tech-policy/2014/08/why-the-head-of-mt-gox-bitcoin-exchange-should-be-in-jail/ |access-date=1 August 2014 |newspaper=[[Ars Technica]]}}</ref><ref>{{cite news |last=Alonso |first=Pierre |date=1 August 2014 |title=En France, le passé trouble de l'ancien " baron du bitcoin " |trans-title=Old bitcoin baron's old trouble in France |url=http://www.lemonde.fr/pixels/article/2014/08/01/en-france-le-passe-trouble-de-l-ancien-baron-du-bitcoin_4464044_4408996.html |access-date=1 August 2014 |newspaper=[[Le Monde]] |language=fr}}</ref> |
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==References== |
==References== |
Revision as of 14:07, 22 October 2024
Mark Karpelès | |
---|---|
Born | Mark Marie Robert Karpelès 1 June 1985 Chenôve, France |
Occupation | Entrepreneur |
Known for | Former CEO of Mt. Gox |
Mark Marie Robert Karpelès[1] (born June 1, 1985) is a French entrepreneur and former CEO of the bitcoin exchange Mt. Gox. Under his leadership, Mt. Gox became one of the largest bitcoin exchanges globally, handling over 70% of all bitcoin transactions at its peak before filing for bankruptcy in 2014.[2][3][4]
Early life and education
Karpelès was born in Chenôve, France, and is the son of geologist Anne-Robert Karpelès.[5] Raised in Dijon,[5][6] France, he attended Collège Prieuré de Binson in Châtillon-sur-Marne from 1995 to 2000.[7] He continued his education at Lycée Claude Bernard and completed his studies at Lycée Louis Armand in Paris in 2003.[7]
Career
Tibanne Co. Ltd.
In 2009, Karpelès moved to Japan, where he founded Tibanne Co. Ltd., a Tokyo-based technology firm specializing in IT services and bitcoin-related technology.[8] Through Tibanne, Karpelès developed software to support the growing bitcoin ecosystem.[9]
Bitcoin Foundation
In 2012, Karpelès became one of the founding members of the Bitcoin Foundation, an organization created to promote and standardize bitcoin.[10] He served on its board until February 2014.[11]
Mt. Gox
In 2011, Karpelès acquired the bitcoin exchange Mt. Gox from programmer Jed McCaleb.[12][13] Under his leadership, Mt. Gox rapidly expanded, handling over 70% of all global bitcoin transactions by early 2014.[14][15] However, the exchange faced significant operational and security challenges.[16] In February 2014, Mt. Gox announced that approximately 850,000 BTC had been lost due to a hacking incident.[1][17]
On February 28, 2014, Mt. Gox filed for bankruptcy in Japan, followed by Chapter 15 bankruptcy protection in Texas, U.S.[18] The collapse of Mt. Gox became a pivotal event in the history of bitcoin, highlighting the risks associated with cryptocurrency exchanges and their security vulnerabilities.[19]
Post-Mt. Gox Ventures
In 2018, Karpelès joined London Trust Media, the company behind Freenode and Private Internet Access, as its Chief Technology Officer (CTO).[20][21]
In 2023, Karpelès was appointed as the Minister of Technology for Joseon, a blockchain-based state that operates its own currency, the Mun.[21]
In 2024, Karpelès announced the launch of EllipX, a new cryptocurrency exchange based in Poland, where he serves as CTO. EllipX aims to provide enhanced security features and a more transparent environment for cryptocurrency traders.[22][23]
Legal Proceedings
Following the bankruptcy of Mt. Gox, Karpelès faced legal scrutiny.[24] In August 2015, he was arrested by Japanese authorities on charges of data manipulation and embezzlement.[25] Tokyo prosecutors accused him of inflating Mt. Gox's holdings by $33.5 million.[26] After a lengthy trial, Karpelès was acquitted of the more serious charges, including embezzlement and breach of trust.[26] However, in March 2019, the Tokyo District Court found him guilty of data manipulation.[27] He was sentenced to 30 months in prison, suspended for four years, meaning he would not serve jail time unless he committed additional offenses during that period.[27]
In April 2014, Karpelès was subpoenaed by the United States Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) to appear in Washington, D.C. for testimony on 18 April 2014. Mt. Gox lawyers filed a response stating that Karpelès did not have legal representation for this matter and therefore declined to appear on the initial date.[28][29] They requested a new date for his testimony, which was set for 5 May 2014.[30][31]
During the 2015 trial of Ross William Ulbricht for operating the Silk Road marketplace, his defense argued that Karpelès, rather than Ulbricht, was the individual behind the pseudonym "Dread Pirate Roberts".[32] Homeland Security Investigations agent Jared Der-Yeghiayan had also suspected Karpelès during the 2012–2013 investigation, though no evidence supported this theory.[33] Karpelès denied any involvement on Twitter,[34] and Ulbricht was ultimately convicted.[35]
In 2010, at the age of 25, Karpelès was found guilty of fraud during a trial in absentia in France related to his actions on a private server, and he received a suspended sentence of one year in jail.[36][37]
References
- ^ a b "Declaration of Robert Marie Mark Karpeles" (PDF). US Bankruptcy Court for the Northern District of Texas Dallas Division. p. 1. Retrieved 13 March 2014. The document, signed by "Robert Marie Mark Karpeles", was published by Ars Technica on the Scribd website, and according to Ars Technica is a court document filed in US Bankruptcy Court.
- ^ "Bitcoin rebounds to $57,000 after billions in Mt. Gox refunds fueled a selloff". Quartz. 8 July 2024. Retrieved 11 July 2024.
- ^ "Germans, Mt. Gox, or Feds: Who Caused the Bitcoin Dip?". Financial and Business News | Finance Magnates. 8 July 2024. Retrieved 11 July 2024.
- ^ Zielinski, Radek (8 July 2024). "Mt. Gox to repay investors in Bitcoin". ReadWrite. Retrieved 11 July 2024.
- ^ a b Gautronneau, Vincent (3 January 2014). "Le génie côte-d'orien qui fait trembler le net". Le Journal de Saône et Loire (in French).
- ^ Mick, Jason (5 March 2014). "Bitcoin King: Mt. Gox CEO Mark Karpelès' History of Arrests, Firings". DailyTech. Archived from the original on 9 March 2014. Retrieved 9 March 2014.
- ^ a b "Mark Robert KARPELÈS, 28 ans (TOKYO, CHATILLON SUR MARNE, PARIS)". Copains d'avant – L'Internaute (in French). CCM Benchmark Group. Retrieved 27 February 2014.
- ^ "US judge freezes assets of Mt.Gox bitcoin exchange boss". CNBC. 12 March 2014.
- ^ David Meyer (31 May 2013). "A Bitcoin Exchange Goes for Respectability". Businessweek.com. Archived from the original on 7 June 2013. Retrieved 24 February 2015.
- ^ "Mt. Gox resigns from Bitcoin Foundation". Reuters. 23 February 2014. Retrieved 25 February 2014.
- ^ "Mt. Gox quits Bitcoin Foundation board". PCWorld. 24 February 2014. Retrieved 24 February 2015.
- ^ Rachel Abrams Matthew Goldstein and Hiroko Tabuchi (28 February 2014). "Erosion of Faith Was Death Knell for Mt. Gox". The New York Times. Retrieved 24 February 2015.
- ^ Jeffries, Adrianne (1 April 2013). "Barons of Bitcoin". The Verge. Retrieved 13 March 2014.
- ^ "Mt Gox: The brief reign of bitcoin's top exchange".
- ^ "Apparent Theft at Mt. Gox Shakes Bitcoin World".
- ^ McMillan, Robert. "The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster". Wired. ISSN 1059-1028. Retrieved 8 September 2024.
- ^ "Bitcoin Exchange Mt. Gox Files for U.S. Bankruptcy as Death Spiral Continues". WIRED. Retrieved 24 February 2015.
- ^ McMillan, Robert. "The Inside Story of Mt. Gox, Bitcoin's $460 Million Disaster". Wired. ISSN 1059-1028. Retrieved 11 July 2024.
- ^ "The unsinkable Mark Karpeles is willing to give Tokyo another shot".
- ^ Goldman, Joshua (23 April 2018). "Former Mt. Gox bitcoin exchange CEO Karpeles lands new job". CNET. Retrieved 29 April 2018.
- ^ a b Tomlin, Bennett (19 December 2023). "Duke Roger Ver becomes finance minister for Joseon". Protos. Retrieved 11 July 2024.
- ^ "Former Mt. Gox CEO to launch EllipX crypto exchange in Europe".
- ^ "Former Mt. Gox CEO Mark Karpeles to Launch New Crypto Exchange This Month". Blockhead. 4 September 2024. Retrieved 8 September 2024.
- ^ "MtGox bitcoin chief Mark Karpeles arrested in Japan". BBC News. 1 August 2015. Retrieved 1 August 2015.
- ^ Jonathan Soble (1 August 2015). "Mark Karpeles, Chief of Bankrupt Bitcoin Exchange, Is Arrested in Tokyo". The New York Times. Retrieved 1 August 2015.
- ^ a b "Former Mt. Gox CEO Mark Karpeles Gets Suspended Jail Term". Bloomberg.com. 15 March 2019. Retrieved 11 July 2024.
- ^ a b Dooley, Ben (15 March 2019). "Bitcoin Tycoon Who Oversaw Mt. Gox Implosion Gets Suspended Sentence". The New York Times. ISSN 0362-4331. Retrieved 11 July 2024.
- ^ "Mt. Gox founder won't appear in U.S. for questions about bankruptcy case". Reuters. 15 April 2014. Retrieved 24 February 2015.
- ^ "Mt. Gox founder won't attend US bankruptcy hearing". CNET. CBS Interactive. Retrieved 24 February 2015.
- ^ John Ribeiro (15 April 2014). "Mt. Gox seeks postponement of CEO's U.S. court deposition". Computerworld. Retrieved 24 February 2015.
- ^ "BBC News - MtGox chief refuses to go to Bitcoin bankruptcy hearing". BBC News. 15 April 2014. Retrieved 24 February 2015.
- ^ Paul, Kari (15 January 2015). "Defense in Silk Road Trial Says Mt. Gox CEO Was the Real Dread Pirate Roberts". Vice. Retrieved 31 May 2019.
- ^ Jeong, Sarah. "Was Mt. Gox CEO The Dread Pirate Roberts? The DHS Once Believed It". Forbes. Retrieved 10 September 2024.
- ^ "Mark Karpeles on Twitter: "This is probably going to be disappointing for you, but I am not and have never been Dread Pirate Roberts."". 15 January 2015. Retrieved 28 January 2015.
- ^ Mullin, Joe (4 February 2015). "Ulbricht guilty in Silk Road online drug-trafficking trial". Ars Technica. Retrieved 4 February 2015.
- ^ Farivar, Cyrus (1 August 2014). "Why the head of Mt. Gox Bitcoin exchange should be in jail". Ars Technica. Retrieved 1 August 2014.
- ^ Alonso, Pierre (1 August 2014). "En France, le passé trouble de l'ancien " baron du bitcoin "" [Old bitcoin baron's old trouble in France]. Le Monde (in French). Retrieved 1 August 2014.