Homeland Security Arrests Bitcoin Company CEO for Alleged Money Laundering

[Cordillerabit]

On Friday Feb 9, I was arrested in my home by Department Of Homeland Security over a #Bitcoin transaction from nov 2016 and am released under a personal recognizance bond. I am being charged with:

18 USC 1956 - Money Laundering Instrument 18 USC 1956 - Money Laundering Instrumenthttps://www.fincen.gov/enforcement-actions-failure-register-money-services-business …

Asset Forfeit

THE STORY OF THE BITCOIN INC CEO
There is a lot of interesting information to be found in this particular story. It all began when the CEO of Bitcoin Inc – not to be confused with the CEO of Bitcoin the currency, as such a position doesn’t exist – got arrested over a Bitcoin transaction dating back to November 2016. It seems the Department of Homeland Security is concerned about this specific transaction for unknown reasons.

Furthermore, the CEO has been charged with involvement in a money laundering instrument. Assuming he did not adhere to specific regulations or requirements, such a charge may stick in the long run. His LocalBitcoins transaction was well below the threshold at which users need to file for an official Money Service Transmitter license. As such, charging him with money laundering seems like a bit of a stretch, but it is possible there’s a lot more to this story than meets the eye.


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