Author Archives: Michael Froomkin

Checking In With Bitcoin (2)

Hacker steals $250k in Bitcoins from online exchange Bitfloor | Ars Technica

The future of the up-and-coming Bitcoin exchange Bitfloor was thrown into question Tuesday when the company’s founder reported that someone had compromised his servers and made off with about 24,000 Bitcoins, worth almost a quarter-million dollars. The exchange no longer has enough cash to cover all of its deposits, and it has suspended its operations while it considers its options.

This comes on the heels of news of the collapse of what’s been called a giant Bitcoin Ponzi scheme. See Official: Bitcoin Loan Shark ‘pirateat40’ Defaults for details:

A mountain of problems have been growing the past several weeks surrounding the recent drama around massive Bitcoin lender, pirateat40, as reports of fund inaccessibility came out of the wood work.

Purported to have had somewhere around 500,000 BTC in Bitcoin Savings & Trust, his fund that was offering deposit account holders up to 7% weekly interest on their holdings. The lending service provider announced a default on borrowed assets just a short while ago; the estimated value for the defaulted assets is $5,000,000 USD.

Actually, the amazing part is that Bitcoin isn’t totally dead.

Previously: Bitcoin & Gresham’s Law & Botnets (2/22/12); Checking In With Bitcoin (10/25/11) and Why Bitcoin Isn’t As Exciting as it May Sound (6/11/11).

Posted in Cryptography, Econ & Money | Comments Off on Checking In With Bitcoin (2)

A Strange and Sad Dispute

Chisom v. Jindal is odd and sad. A federal district judge is required to adjudicate a dispute between Justices of the Supreme Court of Louisiana as to who has the most seniority. The most senior will become the next Chief Justice of that court.

At issue is the time-in-grade of Justice Bernette Joshua Johnson who, if all her years of service to the Louisiana Supreme Court are counted, will soon become Louisiana’s first black Chief Justice. Her first six years of service on the court were in a special seat created pursuant to a federal consent decree designed to remedy longstanding Louisiana racial gerrymandering of judicial electoral districts that had prevented black majority districts from electing a Justice of their choice.

The sad part comes not only from a state Supreme Court’s members being unable to settle this among themselves but from the fact that this dispute happened at all. At least from reading Judge Susie Morgan’s opinion in Chisom v. Jindal, this doesn’t even seem like a close case: the consent decree said that the new, temporary, seat that Justice Johnson occupied was to be “equal” to all the others and that she would “receive the same compensation, benefits, expenses, andemoluments of office as are now or as may hereafter beprovided by law for justices of the Louisiana Supreme Court.” Thus her seniority began there, and not when (after redistricting) Justice Johnson won further terms.

I don’t know what it means when state Supreme Court Justices are suing each, or choking each other (details here; further proceedings here), but it can’t be good.

Spotted via WSJ Law Blog.

Posted in Law: Everything Else | 6 Comments

Shorter David Brooks

‘In his convention speech about his second term, Obama could promise to govern like the Green Party, like a Democrat, or like a Republican; I’d sure like the Republican best.’

Long-form column, The Elevator Speech, if you must.

‘Shorter’ concept pioneered by Daniel Davies and institutionalized by Elton Beard.

Posted in 2012 Election | Comments Off on Shorter David Brooks

Do You Read Jotwell?

jbookglobeThe ABA is looking for nominations to its legal Blawg 100 list. It would be nice if someone who reads Jotwell but is not otherwise affiliated with it were to nominate it.

We’re working on our annual list of the 100 best legal blogs, and we’d like your advice on which blawgs you think we should include.

Use the form below to tell us about a blawg—not your own—that you read regularly and think other lawyers should know about. … We may include some of the best comments in our Blawg 100 coverage. But keep your remarks pithy—you have a 500-character limit.

Friend-of-the-blawg briefs are due no later than Sept. 7, 2012.

An online law journal isn’t exactly what it sounds like they are looking for, but it’s worth a try.

Posted in Jotwell | Comments Off on Do You Read Jotwell?

The $23,800 Bug Bite

Greg Knauss describes his son’s $23,800 bug bite, and why Obamacare (and thus this coming election) is important.

This is how medicine is supposed to work. Everybody has been kind and patient and our stay has been nothing but reassuring and comfortable. Alerts were raised when they should have been, and professionals acted accordingly. Score one for the American medical establishment.

The bill is $23,800.

I’ll have to have to pay less than 6% of that, because I’m lucky enough to still have insurance.

Two years ago, the company I worked for up and skedaddled — that’s how you say it, right? — to Texas, for a “better business environment” than you can apparently find in California. I think that means that the CEO doesn’t have to pay state taxes and is allowed to hunt low-level employees for sport. I’ve been working as an independent contractor since — and having a good time doing it — but I haven’t been able to find private insurance. Everybody loves the small businessman, the fabled self-sufficient entrepreneur, unless he’s got a history of kidney stones and a ruptured disc and, delicately put, a “problematic height/weight ratio.” They didn’t say which way it was problematic, but I think it’s insurance industry jargon for “Tubby McLardass.”

But California — in an effort, no doubt, to discourage business — lets former employes extend their COBRA coverage for an additional 18 months after the federal limit runs out. I’m paying the full premium, but I and my family have insurance.

It’s good, I suppose, to be reminded that although President Obama has been so disappointing in so many things I care about — torture, drone killings, Guantanamo, stimulus, bank fraud, immigration (until election pressure got to him) — things could be even worse.

But the Republican convention just finished up, and tens of thousands of people gathered in Tampa to cheer every mention of reversing the Patient Protection and Affordable Care Act. The PPACA is how literally tens of millions of Americans can avoid having a bug bite wipe them out financially.

Uniformed troops are out of Iraq, although that has at least as much to do with the Iraqis kicking us out as it does with the Administration’s determination to leave. We did get almost a quarter loaf on health care, and the cause of gay rights has advanced.

Spotted via rc3.

Posted in 2012 Election, Health Care | 4 Comments

Facts

John Perr has 15 Things the GOP Doesn’t Want You to Know About Taxes and the Debt (complete with charts!) at Crooks and Liars.

Probably too much information all at once for many people, which I suspect is a big part of why the Romney campaign is doing as well as it is. Here are shortcuts to each item:

  1. President Obama Cut Taxes for Almost All Working Americans
  2. Ronald Reagan Tripled the National Debt
  3. George W. Bush Doubled the National Debt
  4. Reagan Raised Debt Ceiling 17 Times, Bush Seven
  5. Tax Cuts Don’t Pay for Themselves
  6. Almost All Working Americans Pay Taxes
  7. The GOP’s “Job Creators” Don’t Create Jobs
  8. Low Capital Gains Taxes Fuel Income Inequality…
  9. …But Not Investment
  10. The Estate Tax Has Virtually No Impact on Family Farms and Businesses
  11. Income Inequality Has Reached an 80 Year High…
  12. …While the Federal Tax Burden Has Hit a 60 Year Low
  13. Romney-Ryan Plan Another Massive Tax Cut Windfall for the Wealthy
  14. Romney, Ryan Won’t Say Which of the $1 Trillion in Tax Breaks GOP Will End
  15. Romney-Ryan Will Add More Debt Than President Obama
Posted in Econ & Money | Comments Off on Facts