21

When withdrawing bitcoins from Mt. Gox, there is an option with a checkbox next to it titled "Open Transaction (6 confirmations)".

What does this do to my withdrawal?

I'm thinking this is probably a mislabeling for an option that ensures that even if the receiving address is for another customer account at Mt. Gox that the transaction will be sent through the blockchain. Otherwise, if those transactions are handled internally without appearing on the blockchain then it is difficult to prove that a bitcoin payment was sent.

17

I just asked on the #mtgox IRC channel, and was told:

06:36 < dooglus> what does the "Open Transaction (6 Confirmations)" option
                 do when withdrawing BTC?
06:48 < Cory> If the Bitcoin address you're withdrawing to is a MtGox address,
              it will use the network and blockchain anyway.
06:49 < Cory> Otherwise, if that option is not checked, they will only internally
              transfer the funds.
06:53 <@MagicalTux> and instantly

So there you have it.

I suggested they should label it differently:

07:13 < dooglus> it would be better to use some different text for that option -
                 like "use bitcoin network even for transfers to mtgox deposit
                 addresses" for instance
07:19 <@MagicalTux> dooglus: it use to be something like that, but people were
                    complaining it was not clear enough
  • 3
    They could leave the text as it is, and put a more detailed explanation (like the old text) as a popup. – o0'. Mar 11 '12 at 10:30
  • Yes, stating "(6 confirmations)" really isn't accurate or helpful. What if the recipient confirms it after just two? – Stephen Gornick Mar 11 '12 at 11:11
  • The (6 confirmations) is how quickly a transfer from one MtGox account to another will be accepted if you tick that box! I agree, it could be an awful lot clearer. – Chris Moore Mar 12 '12 at 3:10
  • Even with an "Open Transaction", MtGox is both the sender and the receiver, right? Why don't they accept it without any confirmations? Just to discourage this option (which incurs unnecessary block chain overhead)? – Thilo Mar 13 '12 at 1:43
  • That's a good question. Maybe they like as many as possible of the coins they control to be at least 6 blocks old to help prevent transaction fees. You have the option of doing an "internal" transaction which keeps their coins old, so if you decide to go the "open" route, you're the one that's going to wait for the coins to age, not them. Just a guess. – Chris Moore Mar 13 '12 at 5:16

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.