MtGox is resigning from the board of the Bitcoin Foundation as it remains unable to restart full operations after claiming to have been hit by a bug.
Prices on the exchange briefly rallied this morning— reaching as high as $349 — on rumors they were ready to restart withdrawals, but have since come back down to below $200. The remain at $580 on Coindesk.
A person familiar with the situation said it was not clear when MtGox would next update users about its technical problems. "They seem to be struggling with everything," the person said via email.
For two weeks, MtGox users have not been able to withdraw Bitcoins from their wallets because of a bug in how the wallets are processing transactions, the group says. They were also recently moved offices over what they said were security issues, which coincided with protests from users demanding their money back.
But even before the recent issues, MtGox users have long complained of withdrawal issues, along with an apparent lack of responsiveness from company head Mark Karpeles. The latest issues got the exchange kicked off Coindesk's Bitcoin price index, and has left the exchange with a blackeye within the Bitcoin community.
Here's the full statement on the resignation from the Bitcoin foundation:
Mt. Gox Resigns Bitcoin Foundation Board Seat
Effective immediately, Mt. Gox has submitted their resignation from the board of directors. We are grateful for their early and valuable contributions as a founding member in launching the Bitcoin Foundation. MtGox Co. Ltd. (Japan) held one of the three elected industry member seats. Further details, including election procedures, will be forthcoming.
SEE ALSO: The Fall Of MtGox