4 ms·
You probably did not notice, but here are some of "chilling effect" news: 1. http://www.forbes.com/sites/kashmirhill/2013/08/12/every-important-person-in-bitco
by oleganza 13y ago
You probably did not notice, but here are some of "chilling effect" news:
1. http://www.forbes.com/sites/kashmirhill/2013/08/12/every-important-person-in-bitcoin-just-got-subpoenaed-by-new-yorks-financial-regulator/ http://www.forbes.com/sites/kashmirhill/2013/08/12/every-imp...
2. http://blogs.marketwatch.com/thetell/2013/08/30/bitcoin-exchange-tradehill-suspends-trade-cites-banking-and-regulatory-issues/ http://blogs.marketwatch.com/thetell/2013/08/30/bitcoin-exch...
3. http://www.businessinsider.com/charlie-shrem-arrested-bitcoin-ceo-2014-1 http://www.businessinsider.com/charlie-shrem-arrested-bitcoi...
4. http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001....
5. http://www.nbcnews.com/tech/tech-news/bitcoin-goes-mainstream-atm-vancouver-coffee-shop-f8C11496324 http://www.nbcnews.com/tech/tech-news/bitcoin-goes-mainstrea... - scanning hands of the customers to protect ATM from raid.
etc.
If you are a merchant slightly interested in Bitcoin, your concern number 1 is "is it legal? Won't my taxman hit me with huge fines so I have to close the shop just because I did something suspicious?"
If you are a guy building an exchange your concern number 1 is "won't I go to jail for 'laundering' money for some guy who then goes and buys drugs elsewhere with coins he bought through my service". Also: FinCEN tells you to get "money transmitter" licenses in 48 states which is VERY EXPENSIVE, so only a few guys are allowed to even try.
If you are a guy with an ATM, your concern number 1 is "won't they confiscate it for investigation for several months and put me in jail meanwhile for aiding terrorists and child pornographers?"
There's a lot of pending demand to do anything related to Bitcoin. And the reason it's not serviced yet is a big legal concern and very-very-very harsh law enforcement behaviour. If you are a suspect, you've already lost. Even if you are free to go later, you already lost time, money, opportunity, some property etc. You simply can't do business in such landscape.
Free market would mean that there's no uber-controller over the entire property of the whole multi-state country. If every shop owner is free to own his piece of land how he wants and resolving disputes directly with anyone who's concerned, then you could see many more bitcoin ATMs and other businesses. But currently you are at a permanent risk of well-equipped guys with guns coming to you and taking your stuff and yourself, just for doing something innocent which is not yet explicitly allowed.