2013-05-14 Department of Homeland Security Shuts Down Dwolla Payments to/frm Gox

[erk]

This is worth reading - analysis of the bust, with an informative graph:

http://numismatics.pwnz.org/?p=222

Summary - it could've been much worse, Gox will have a chance to get their crap together.

It depends, if Gox is forced to comply with legislation that has to disclose the sender and recipients of all USD transactions that they handle, the could be tricky for invalidated accounts. The may feel that they would loose too much business to do so.

[aigeezer]

That's a refreshing read. No hysteria, good analysis and interesting speculation.

"Based on how nonplussed Gox and their staff have been, as well as the resilience of the market following announcement of the seizure, I don’t think the sum value of seized funds was significant with respect to Gox’s cash flow." I hadn't thought of that, but it seems to make sense. The scale of this event may be much smaller than we might have been assuming.

"the seizure order doesn’t indicate that DHS will try to throw Karpeles in jail. Rather, they want compliance with, or less blatant disregard for, money services businesses registration requirements." Perhaps it really is this mundane and the State just likes to remind everyone of its muscle by using a "seizure" instead of a letter requesting compliance. Maybe they like the extra revenue they get from a "seizure" too - they certainly need revenue these days.