<p>The bitcoins are still there, but without the private keys they would be unspendable and <a href="https://bitcoin.stackexchange.com/questions/8804/is-each-bitcoin-address-unique/12740#12740">it would be highly unlikely that anybody would ever rediscover the private keys</a>.</p>

<p>However, such an attack would not hurt the bitcoin network: The previous owners would already have been compensated through the sale, and as the total value of the network remains approximately the same, the network's value would then redistribute to fewer units of bitcoin, increasing the value of each remaining unit. The attack would only make the bitcoin users wealthier.</p>

<p>Even if all but a single bitcoin were lost, the network could carry on: It has been discussed many times (see <a href="/questions/tagged/money-supply" class="post-tag" title="show questions tagged &#39;money-supply&#39;" rel="tag">money-supply</a>, <a href="/questions/tagged/divisibility" class="post-tag" title="show questions tagged &#39;divisibility&#39;" rel="tag">divisibility</a>), that it would be simple to adapt the bitcoin protocol to divide into smaller subunits. Currently Satoshi are the smallest subunit and there are 10^8 Satoshi per Bitcoin, but if the protocol were adopted to allow bitcoin to be divided to 10^16 units, there would again be sufficient money supply to serve a global market to make payments in any amounts.</p>

CC BY-SA 3.0
2013-10-06T00:12:18.803Z
Bitcoin (on-block chain at least) is already a deflationary model; some extra deflation from burning money wouldn't hurt it.
LateralFractal
CC BY-SA 3.0
2013-10-06T00:21:41.987Z
What a government could do, is buy most of the currency gradually over time, wait for an opportune moment and then sell it all off crashing any market dependent on Bitcoins. Effectively inducing hyperinflation through coordinated release of Bitcoins (any government mining co-op could do the same without tipping their hand). But that would need to need to be a question in its own right.
LateralFractal
CC BY-SA 3.0
2013-10-05T11:11:04.997Z
2013-10-05T11:11:04.997Z
2017-04-13T12:47:32.940Z
Murch
<p>Let's assume, for the sake of argument, this works and destroys the Bitcoin network.</p>

<p>Everyone who held Bitcoins would be rich, since the government had to buy those Bitcoins at whatever price they demanded. Nobody would be out money because nobody would hold Bitcoins that were no longer useful since the government had bought them.</p>

<p>What would the government accomplish in this process? Nobody would have lost any money. A new Bitcoin system could be started easily. It would have cost a fortune.</p>

<p>Destroying or losing Bitcoins is a gift to everyone who holds Bitcoins.</p>

CC BY-SA 3.0
2013-10-05T21:35:08.053Z
2013-10-05T21:35:08.053Z
David Schwartz
<blockquote>
  <p>Are the bitcoins gone then?</p>
</blockquote>

<p>Yes. More correctly they'll always be there, just unspendable. </p>

CC BY-SA 3.0
2013-10-05T10:12:22.320Z
2013-10-05T10:12:22.320Z
Anonymous
<p>Could a government, determined to stop bitcoins, just buy a lot of bitcoins and delete the wallet afterwards? Are the bitcoins gone then?</p>

<wallet><attack><money-supply>
Would it be feasible to attack the bitcoin network by buying and deleting large amounts of bitcoin?
Fabian Zeindl
# Would it be feasible to attack the bitcoin network by buying and deleting large amounts of bitcoin?

(Asked by: username_0 on 2013-10-05)

Could a government, determined to stop bitcoins, just buy a lot of bitcoins and delete the wallet afterwards? Are the bitcoins gone then?

**Tags:** wallet, attack, money-supply


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## 3 answers

### Answer by username_1 on 2013-10-05. Score: 2

The bitcoins are still there, but without the private keys they would be unspendable and [it would be highly unlikely that anybody would ever rediscover the private keys](https://bitcoin.stackexchange.com/questions/8804/is-each-bitcoin-address-unique/12740#12740).

However, such an attack would not hurt the bitcoin network: The previous owners would already have been compensated through the sale, and as the total value of the network remains approximately the same, the network's value would then redistribute to fewer units of bitcoin, increasing the value of each remaining unit. The attack would only make the bitcoin users wealthier.

Even if all but a single bitcoin were lost, the network could carry on: It has been discussed many times (see [money-supply](/questions/tagged/money-supply "show questions tagged 'money-supply'"), [divisibility](/questions/tagged/divisibility "show questions tagged 'divisibility'")), that it would be simple to adapt the bitcoin protocol to divide into smaller subunits. Currently Satoshi are the smallest subunit and there are 10^8 Satoshi per Bitcoin, but if the protocol were adopted to allow bitcoin to be divided to 10^16 units, there would again be sufficient money supply to serve a global market to make payments in any amounts.

> **Comments:**
> **username_2**: Bitcoin (on-block chain at least) is already a deflationary model; some extra deflation from burning money wouldn't hurt it.  
> **username_2**: What a government could do, is buy most of the currency gradually over time, wait for an opportune moment and then sell it all off crashing any market dependent on Bitcoins. Effectively inducing hyperinflation through coordinated release of Bitcoins (any government mining co-op could do the same without tipping their hand). But that would need to need to be a question in its own right.  

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### Answer by username_3 on 2013-10-05. Score: 1

Let's assume, for the sake of argument, this works and destroys the Bitcoin network.

Everyone who held Bitcoins would be rich, since the government had to buy those Bitcoins at whatever price they demanded. Nobody would be out money because nobody would hold Bitcoins that were no longer useful since the government had bought them.

What would the government accomplish in this process? Nobody would have lost any money. A new Bitcoin system could be started easily. It would have cost a fortune.

Destroying or losing Bitcoins is a gift to everyone who holds Bitcoins.


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### Answer by username_4 on 2013-10-05. Score: 1

> Are the bitcoins gone then?

Yes. More correctly they'll always be there, just unspendable.


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