Regulators Try to Get a Handle on Bitcoin

by Korey Clark Although cryptocurrencies, most notably bitcoin, have been around for a few years, they've been of interest mainly to tech-savvy libertarians and investors with low aversion to risk. Few state lawmakers have devoted much attention to them. But that isn't likely to last with...

Elusive Bitcoin: Regulation of Bitcoin in the U.S. Part I

The phenomenon of Bitcoin (and virtual currency in general) presents an interesting legal conundrum. It is still not clear for many where does Bitcoin fit within our legal system, and whether and how to regulate it. Today, I would like to take a closer look at the Bitcoin network, the recent legal developments...

Elusive Bitcoin: Regulation of Bitcoin in the U.S. Part II

Today, I am going to summarize FinCEN’s regulations relating to Bitcoin. The Financial Crimes Enforcement Network ( FinCEN ) is an agency within the US Treasure Department. Its mission is to safeguard the financial system from illicit use, combat money laundering and promote national security....

Alt-Currency: What Bitcoin Means for Banking

Cosmologists argue that we live in a multiverse. Granted, it’s only a theory, but it’s a plausible one that’s strengthened by new evidence supporting decades-old scientific reasoning. Even though we may never be certain if ours is just one of many or even countless parallel universes...

Elusive Bitcoin: Regulation of Bitcoin in the U.S. Part III

In this third chapter of my blog about Bitcoin regulation, I am going to focus on regulation of Bitcoin by the CFTC and the SEC. The U.S. Commodity Futures Trading Commission (the "CFTC") is an independent federal agency that regulates derivative products tied to interest rates and commodities...

Bitcoin Regulation - Addressing Compliance & Risk Issues for Financial Institutions [WEBINAR]

In 2009, a talented programmer (or group of programmers) released the first virtual currency protocol, known as Bitcoin. The Bitcoin protocol, essentially a robust P2P payment system , has now spun several other virtual currencies (Litecoin, Dogecoin, etc..) and has the potential to transform existing...

Judge Fines Texas Man $40 Million For Bitcoin Ponzi Scheme

A federal judge has ordered a Texas man and his company to pay more than $40 million in disgorgement and civil penalties for operating a Ponzi scheme using the virtual currency Bitcoin. U.S. Magistrate Judge Amos L. Mazzant handed down the order against Trendon T. Shavers and his company, Bitcoin Savings...