I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. But they won't be exchanging USD for crypto, they will be selling their crypto for USD!! Lol plus isnt this bud delta9 and the teams bud and the shops are selling them for him and paying him a fee to exchange there!? If so he'll be dealing with the coins from there. If that's what I understand from him growing a current type of strain you can buy with it. Besides the ones they already have that aren't Canndy! No, that's not how it works. Selling USD for Crypto or vice versa is considered money transmitting... and it's completely legal provided that you have a money transmitter license and you follow KYC/AML guidelines. Okay then, why not just follow the guidelines then. I mean if there are 1000+ shops that accept bitcoin and can follow the laws. Why can't Cann do the same? Yes they accept Bitcoin, but they do not sell Bitcoin. We are talking about two different things here. So your telling me the shops that get millions of days worth of BTC keep them in BTC? You don't think they sell them for cash on the exchanges!!? You are completely missing the point. The point is that if you want to sell CANN, or BTC, or any crypto in exchange for USD, you can be considered a money transmitter. I was incorrect when I said you need a license to accept crypto. Obviously that's not true. Anyone can accept crypto for payments. Where it gets tricky is how do you sell CANN to regular people that don't know how to acquire Bitcoin? This is where you need to be careful. We'll is just selling a "paper wallet" then after sending that person " Free "coins against any rules!?they are paying for piece of paper, not the actual coins. I mean they aren't considered money right but more of a Commodity? They were classified by the IRS as a commodity for tax purposes... but the legal system seems to be clear... http://www.dw.de/bitcoin-promoter-shrem-pleads-guilty-to-unlicensed-currency-use/a-17902990 |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. Dude. I quoted what you said directly. "Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter" And that's just not true. You're all over the place. I'm gonna have to put you in the category of "Has no idea what he's talking about." Bitcycle, You are completely correct that it's not illegal to accept cryptocurrency and you don't need a money transmitter license. I don't know how I messed that up. What I meant was if you want to sell CANN in a retail store, you are operating as a money transmitter and this can bring the Feds eyes upon you. It's not just CannabisCoin that is dealing with this... every altcoin and Bitcoin exchange company is dealing with this... getting a money transmitter license is not cheap, especially as regulations become more cumbersome. I was going to buy a Project Skyhook Bitcoin ATM a few months back but I decided to wait because there wasn't much point if you didn't have a money transmitter license. Since then I've been looking to partner with someone or a company that does have this license in order to work together. |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. But they won't be exchanging USD for crypto, they will be selling their crypto for USD!! Lol plus isnt this bud delta9 and the teams bud and the shops are selling them for him and paying him a fee to exchange there!? If so he'll be dealing with the coins from there. If that's what I understand from him growing a current type of strain you can buy with it. Besides the ones they already have that aren't Canndy! No, that's not how it works. Selling USD for Crypto or vice versa is considered money transmitting... and it's completely legal provided that you have a money transmitter license and you follow KYC/AML guidelines. Okay then, why not just follow the guidelines then. I mean if there are 1000+ shops that accept bitcoin and can follow the laws. Why can't Cann do the same? Yes they accept Bitcoin, but they do not sell Bitcoin. We are talking about two different things here. So your telling me the shops that get millions of days worth of BTC keep them in BTC? You don't think they sell them for cash on the exchanges!!? You are completely missing the point. The point is that if you want to sell CANN, or BTC, or any crypto in exchange for USD, you can be considered a money transmitter. I was incorrect when I said you need a license to accept crypto. Obviously that's not true. Anyone can accept crypto for payments. Where it gets tricky is how do you sell CANN to regular people that don't know how to acquire Bitcoin? This is where you need to be careful. |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. But they won't be exchanging USD for crypto, they will be selling their crypto for USD!! Lol plus isnt this bud delta9 and the teams bud and the shops are selling them for him and paying him a fee to exchange there!? If so he'll be dealing with the coins from there. If that's what I understand from him growing a current type of strain you can buy with it. Besides the ones they already have that aren't Canndy! No, that's not how it works. Selling USD for Crypto or vice versa is considered money transmitting... and it's completely legal provided that you have a money transmitter license and you follow KYC/AML guidelines. Okay then, why not just follow the guidelines then. I mean if there are 1000+ shops that accept bitcoin and can follow the laws. Why can't Cann do the same? Yes they accept Bitcoin, but they do not sell Bitcoin. We are talking about two different things here. |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
There are already tons of shops in America that accept crypto as payment. http://www.bitcoinvalues.net/who-accepts-bitcoins-payment-companies-stores-take-bitcoins.htmlCall me paranoid, but your posts are sounding a little bit negative toward cannabiscoin lately. Am I wrong here? I agree, it will be the exact same thing as bitcoin. So this should be the same way for Cann. Why would cann be a money transmitter when bitcoin is not, unless your taking about the exchanges that have fiat to btc. I really dont see a problem here. Anyone that operates a Bitcoin ATM is supposed to follow AML/KYC guidelines and should register as a money transmitter or they could end up in hot water. Let me ask you a question, why do you think that Coinbase needs your Photo ID and other personal information to make an account? |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. But they won't be exchanging USD for crypto, they will be selling their crypto for USD!! Lol plus isnt this bud delta9 and the teams bud and the shops are selling them for him and paying him a fee to exchange there!? If so he'll be dealing with the coins from there. If that's what I understand from him growing a current type of strain you can buy with it. Besides the ones they already have that aren't Canndy! No, that's not how it works. Selling USD for Crypto or vice versa is considered money transmitting... and it's completely legal provided that you have a money transmitter license and you follow KYC/AML guidelines. |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. Dude. I quoted what you said directly. "Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter" And that's just not true. You're all over the place. I'm gonna have to put you in the category of "Has no idea what he's talking about." Yeah I mispoke. |
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To be honest... I'm not surprised you guys are annoyed that people bring up the difficult issues surrounding crypto. These are real issues that should be addressed. These are issues that our team discussed with CANN to address together. It's what we take into account while we build CannaPay. The issue of money transmitting licenses and FinCEN regulations. You guys think you can just go sell CANN for cash in a retail business? I highly recommend you contact Coinbase, ProjectSkyhook ATMs, or any other business that is involved in USD <---> BTC transactions http://www.theverge.com/2014/2/7/5390782/three-bitcoin-traders-arrested-in-florida-on-money-laundering-chargesRead what I write and stop reacting emotionally. |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
You've been going fine, but now you've stepped into the realm of the blatantly not true. There's nothing about accepting crypto as a merchant that makes your a money transmitter. I never said accepting crypto is illegal... I said that a business that goes into exchanging USD for crypto requires a money transmitter license. *edit* You are right, I mispoke. I meant that if you exchange USD for Crypto you can be considered a money transmitter. |
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I called Nick, the original Potcoin dev two weeks ago and we discussed this very issue. The Potcoin team is well aware of the legal issues surrounding crypto and River Rock dispensary in Colorado is taking a very cautionary approach to accepting cryptocurrencies for Cannabis. Once you start accepting crypto for Cannabis in a retail business, you are putting yourself under Federal jurisdiction as a money transmitter.
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For purposes of the guidance, FinCEN refers to the participants in generic virtual
currency arrangements, using the terms “exchanger,” “administrator,” and “user.” An exchanger
is a person engaged as a business in the exchange of virtual currency for real currency, funds, or
other virtual currency. An administrator is a person engaged as a business in issuing (putting
into circulation) a virtual currency, and who has the authority to redeem (to withdraw from
circulation) such virtual currency. A user is a person that obtains virtual currency to purchase
goods or services on the user’s own behalf.
The guidance makes clear that an administrator or exchanger of convertible virtual
currencies that (1) accepts and transmits a convertible virtual currency or (2) buys or sells
convertible virtual currency in exchange for currency of legal tender or another convertible
virtual currency for any reason (including when intermediating between a user and a seller of
goods or services the user is purchasing on the user’s behalf) is a money transmitter under
FinCEN's regulations, unless a limitation to or exemption from the definition applies to the
person.7
The guidance also makes clear that “a user who obtains convertible virtual currency
and uses it to purchase real or virtual goods or services is not an MSB under FinCEN's
regulations.”
http://www.fincen.gov/news_room/rp/rulings/pdf/FIN-2014-R001.pdf |
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I'd like to propose some changes to KYC/AML rules. Criminals have been known to use their ill gotten gains to eat at restaurants and shop in grocery stores. I guess criminal activity can work up an appetite. It is incumbent upon restaurants to ensure that the money their customers are paying has come from legitimate sources. All restaurants should ask for ID and a utility bill before serving customers. They also need to ask their customers for their employer information and annual income. Self employed customers can produce a business license or other such documentation to prove the legitimacy of their income. Grocery stores also need to comply with these rules but in addition, grocery stores should ask for social security numbers as well. Maybe then we can protect children and fight Al Qaeda ISIS.
Government AML regulations put the burden on financial institutions, not regular businesses. Many banks are choosing not to accept anonymous cash deposits into bank accounts... such as JP Morgan Chase, which now only allows people to deposit cash into their own account. Any cash deposit or cash withdrawal of more than $10,000 is required to be reported to the Federal government. |
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Add in the fact that the dispensary will be selling CANN for fiat...
Under U.S. law, trading Fiat for Crypto would qualify them as money transmitters and puts them under the scrutiny of the federal government. http://www.azdfi.gov/Licensing/Licensing-FinServ/MT/MT.htmlThe logistics of operating a dispensary and registering with FinCEN under current Federal Laws regarding Cannabis, is probably the most risky thing I can imagine doing as you are essentially inviting the Feds into your dispensary. http://www.fincen.gov/Now that Ross Ulbricht and Charlie Shrem are facing Federal drug trafficking and money laundering charges, I think the government is going to watch this sector very closely. http://www.coindesk.com/ross-ulbricht-pleads-guilty-new-drug-charges/I'm telling you guys this because I don't want anyone to get hurt or involved in something that could land them in prison. My advice for CannabisCoin? Take it slow and follow the laws. |
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Am I the only one here wondering about the economics of this entire thing?
We have an maximum amount of 106,000,000 coins with currently 21873600 coins being mined. With a pegg of 1:1 and an assumed price of $10 a pegg the current coin supply would be worth $2187360000 worth of coins or in other words twohundredsevetysixmillion dollar or in other words more than all other altcoins together. However, the current price of the coinis $0.015 or 1/10000 of the given pegg. Now when people are coming to your business and starting exchanging CANN for candy are you going to sell them the price at a lose? Do you believe the price will rise this extreme until you start exchanging the CANN for candy? How are you planning this to happen with so many people holding and trading with the coin? How are you dealing with vortality?
Here's my frank opinion on the price pegging. If this was the intention of the devs from the beginning, it would have been wiser to pre-mine the coin 100% or use the Ripple network and issue IOUs. This way they could give away the coins to their clientele and to medical users of other states. There would not be 22,000,000 on the market right now, there would be as many as they distributed based upon how much Cannabis they could sell at that price. This is not to say it can't be done - it's just that using this method of coin distribution makes the logistics quite complicated in terms of getting businesses and growers to essentially take losses for an uncertain amount of time. People have families to feed and mortgages to pay, they need USD, so I would think it will be difficult for them to do this. I don't know, I have a degree in Economics so I think I'm a little biased. I would be REALLY interested to see if there is an economist on the CANN team that can put together some type of 5-10 year plan on how they expect this to work. Given the current legal situation regarding cryptocurrency and Cannabis, I imagine this project could take that long to get started. Also, I would highly encourage people to get acquainted with the KYC/AML (anti-money laundering) laws if you plan on approaching business to take CANN: http://www.coindesk.com/bitcoin-law-what-us-businesses-need-to-know/Disclaimer: I am head of Public Relations and an Economic Analyst for the Cannacoin Dev team. -Patrick |
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The POS interest will be 1%
ETA at the moment is between 30-60 days
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What is the ETA for POS implementation? And what will the interest rate be?
Any plans to peg Cannacoin to 1gram of MJ?
So, let's be realistic here. In order to peg 1 gram of MJ to 1 Cannacoin, you have to have someone who is able to produce and sell enough to do that. Saying you are going to peg the price, and actually doing it, are two different things. Let's say that someone wants to exchange 1,000 CCN for 1,000 grams. That would be highly unrealistic at the moment. Moreover, given the current legal issues surrounding both crypto and Cannabis in Washington State and other states, it is best to develop our platform and get more coins distributed. At the moment, we are more interested in developing our platform and moving to Proof-of-stake before we attempt to do this. However, given our low amount of coins compared to other coins, it is far more realistic for us to peg prices. In the short-term, we WILL be pegging the price of products on our cannacoin.cc/store as we improve it and put more goods on there. In short, there's a lot of development that needs to get done before this would be logistically possible. |
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This is our USB installer and bootable drive that allows people to run a secure Linux wallet on any PC (works on some Macs as well) now going into a beta for the team, soon to be released as an ISO for download on torrent and hosting service.
This is very clever and great thinking... make using crypto, in this case, CCN... easy for the masses and the computer challenged. I really like this and will be putting it to good use. Thanks. A lot of people worry about running a hot wallet on their main operating system for security reasons. We will put together a guide on how to use this for folks. Cheers! |
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You guys interested in working with the Cannacoin to setup a multipool? We are switching to POS 2.0 and want to get a multi-pool started before the transition that pays out in CCN. josh@cannacoin.ccor PM me |
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This is our USB installer and bootable drive that allows people to run a secure Linux wallet on any PC (works on some Macs as well) now going into a beta for the team, soon to be released as an ISO for download on torrent and hosting service.   |
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