Mt. Gox was always dead in the water

The collapse of Mt. Gox might appear sudden but some say the Bitcoin exchange's demise was only a matter of time.

The collapse of Mt. Gox might appear sudden, but Bitcoin insiders say its downfall began nearly a year ago as the virtual currency exchange tangled with regulators, split from former business partners and grappled with cyberattacks.

Mt. Gox's fall lays bare the difficulties the bitcoin community faces as it tries to square its freewheeling, libertarian ideals with the rigorous regulation required in financial services and customers' needs for reliable service.

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