Mark Karpeles

Karpeles' lawyer Nobuyasu Ogata said Friday his client was just trying to reduce risks for Mt. Gox users.

The court suspended the sentence for Mark Karpeles for four years, finding the French national guilty of data manipulation but innocent on charges of embezzlement, Kyodo said.

The head of collapsed Bitcoin exchange MtGox is facing fresh embezzlement charges today, as Japanese media said some of the allegedly stolen funds were spent on prostitutes.

Tokyo police said they had arrested France-born Mark Karpeles, 30, for moving 20 million yen ($166,000) in client money to his bank account, as he faces fraud allegations over the disappearance of hundreds-of-millions-of-dollars-worth of the virtual currency.

The French-born Karpeles, 30, was arrested last month in connection with the disappearance of hundreds of millions of dollars worth of the virtual currency.

At least one crucial question remains unanswered: where is the money?

Japanese authorities issued a fresh arrest warrant for France-born Mark Karpeles, over claims he stole millions from clients.

Mark Karpeles has been held without formal charges for three weeks, as allowed under Japanese law.

Karpeles is suspected of manipulating data on the exchange's computer system in 2013 to artificially create about $1 million in Bitcoins.

Japanese police on Saturday arrested Mark Karpeles, head of the MtGox Bitcoin exchange, after a series of fraud allegations led to its spectacular collapse and hammered the digital currency's reputation.

Defense lawyers for Ross Ulbricht, the alleged mastermind of online criminal enterprise Silk Road, sought to convince New York jurors on Thursday that the wrong man was in the dock.

As the most prominent trade group pushing adoption of the electronic currency bitcoin begins its annual conference on Friday, it is being roiled by controversy.

A document uploaded onto its website and signed by bankruptcy administrator, attorney Nobuaki Kobayashi, said that he would conduct an investigation regarding the liability of the representative director of the company, Mark Karpeles, regarding the missing assets.

CEO Mark Karpeles says he has been hurt by accusations he masterminded the theft, and wants to return the Bitcoins and cash to some 127,000 creditors.

During an online chat, Karpeles moved the equivalent of $170 million in bitcoin at today's market rates - the virtual equivalent of a bank manager flashing a wad of cash in a wallet to establish credit. The gesture - with a sly wink to the "geek" culture Karpeles believed he shared with many of his 50,000 customers at the time, including an interes...

Karpeles' lawyer Nobuyasu Ogata said Friday his client was just trying to reduce risks for Mt. Gox users.

The court suspended the sentence for Mark Karpeles for four years, finding the French national guilty of data manipulation but innocent on charges of embezzlement, Kyodo said.

The head of collapsed Bitcoin exchange MtGox is facing fresh embezzlement charges today, as Japanese media said some of the allegedly stolen funds were spent on prostitutes.

Tokyo police said they had arrested France-born Mark Karpeles, 30, for moving 20 million yen ($166,000) in client money to his bank account, as he faces fraud allegations over the disappearance of hundreds-of-millions-of-dollars-worth of the virtual currency.

The French-born Karpeles, 30, was arrested last month in connection with the disappearance of hundreds of millions of dollars worth of the virtual currency.

At least one crucial question remains unanswered: where is the money?

Japanese authorities issued a fresh arrest warrant for France-born Mark Karpeles, over claims he stole millions from clients.

Mark Karpeles has been held without formal charges for three weeks, as allowed under Japanese law.

Karpeles is suspected of manipulating data on the exchange's computer system in 2013 to artificially create about $1 million in Bitcoins.

Japanese police on Saturday arrested Mark Karpeles, head of the MtGox Bitcoin exchange, after a series of fraud allegations led to its spectacular collapse and hammered the digital currency's reputation.

Defense lawyers for Ross Ulbricht, the alleged mastermind of online criminal enterprise Silk Road, sought to convince New York jurors on Thursday that the wrong man was in the dock.

As the most prominent trade group pushing adoption of the electronic currency bitcoin begins its annual conference on Friday, it is being roiled by controversy.

A document uploaded onto its website and signed by bankruptcy administrator, attorney Nobuaki Kobayashi, said that he would conduct an investigation regarding the liability of the representative director of the company, Mark Karpeles, regarding the missing assets.

CEO Mark Karpeles says he has been hurt by accusations he masterminded the theft, and wants to return the Bitcoins and cash to some 127,000 creditors.

During an online chat, Karpeles moved the equivalent of $170 million in bitcoin at today's market rates - the virtual equivalent of a bank manager flashing a wad of cash in a wallet to establish credit. The gesture - with a sly wink to the "geek" culture Karpeles believed he shared with many of his 50,000 customers at the time, including an interes...