Liberty Reserve is now dead (Good News For Bitcoin ?)

[Carlton Banks]

Wrong.

Mt Gox operates from Japan (this is not a US state, in case you were still unsure)

This means the Japanese authorities would have to cooperate with the US extradition orders and subpoenas etc. That won't happen. Costa Rica and Spain will give up the Liberty Reserve people. Japan won't be giving up Mt. Gox, or at a least not without an inordinate amount of backdoors arm-twisting. And when you look at both the political and the public sentiment towards the US in Japan lately, you'll realise that's also pretty unlikely.

For those that can't read, attempt the bolded text. You need to know what the argument is before you try to refute it.   

[countryfree]

The hope is that if the US has killed the whole LR system instead of looking for the bad guys who were using it, with bitcoin, there would be no other choice but to go for the individuals who use it for illegal purposes. The FBI and the CIA have assuredly what it takes to follow what's happening to the bitcoins sent to the silk road.

But I'm worried because many LR users were outside the US. How come the US can freeze their accounts?

[escrow.ms]

How come the US can freeze their accounts?

This is the main question.
They have seized whole Libertyreserve (More than 1 million customers worldwide, 45 Banks accounts and other properties,servers in different countries including switzerland,Costa Rica, Netherlands, Spain, Morocco, Sweden,Cyprus, Australia, China, Norway, Latvia, Luxembourg,United Kingdom, Russia, Canada) just because they failed to stop their peoples ( 200,000 US customers, according to them) from using it.

[MysteryMiner]

This is exactly like e-gold in back in early days. But this time I lost nothing except few empty accounts, being poor have few advantages.

Good news are that Bitcoin cannot be easily shut down. Probably MtGox will be goatsed in any moment but the tactics used to destroy Bitcoin will be messing up development and usability of original Bitcoin client. Probably fist step was manipulating devs into replacing original interface with Qt.

[Rampion]

How come the US can freeze their accounts?

This is the main question.
They have seized whole Libertyreserve (More than 1 million customers worldwide, 45 Banks accounts and other properties,servers in different countries including switzerland,Costa Rica, Netherlands, Spain, Morocco, Sweden,Cyprus, Australia, China, Norway, Latvia, Luxembourg,United Kingdom, Russia, Canada) just because they failed to stop their peoples ( 200,000 US customers, according to them) from using it.

Having money on third party services that not even attempt to comply with AML regulation is very probably a bad idea.

That's why significant money went to Gox, because at least they look like they try

[escrow.ms]

Having money on third party services that not even attempt to comply with AML regulation is very probably a bad idea.

That's why significant money went to Gox, because at least they look like they try

They had a AML policy page and i am saying again they were not doing dealing with customers directly. They had no deposit/withdraw option. People used to buy/Sell currency from  legit currency exchangers like wm-center.com/ecardone.com or from other LR users.

It was like a escrow site, Where you buy money from a legit exchanger and fill your LR account with those money and you will be able to send it to other users. Same as bitcoin.

The only difference is LR was a centralized currency.

[Its About Sharing]

Wrong.

Mt Gox operates from Japan (this is not a US state, in case you were still unsure)

This means the Japanese authorities would have to cooperate with the US extradition orders and subpoenas etc. That won't happen. Costa Rica and Spain will give up the Liberty Reserve people. Japan won't be giving up Mt. Gox, or at a least not without an inordinate amount of backdoors arm-twisting. And when you look at both the political and the public sentiment towards the US in Japan lately, you'll realise that's also pretty unlikely.

For those that can't read, attempt the bolded text. You need to know what the argument is before you try to refute it.   

What is interesting when one considers Japan, it has essentially been a US colony since WWII. They are now practicing Quantitative Easing at the behest of the US Federal Reserve. So, I do wonder how much they can be influenced by the US. One would think a lot. But, BTC being anti-fragile (see my sig), just makes us stronger...

[drrussellshane]

How to stop the use of digital currencies in drug trafficking? de-criminalize drugs.

Yeah, but that is not too likely to happen right now, as various intelligence agencies the world over like to use drug-dealing to pad their black budgets.

[CasinoBit]

Ah, the Land of the Free

After all, only criminal terrorists want to bank anonymously.

The charges against Liberty Reserve are vicious, to say the least. The Financial Crimes Enforcement Network claims that the service “is not designed for legitimate use,” and that it is “designed to facilitate money laundering and illicit finance.”

[TippingPoint]

What is interesting when one considers Japan, it has essentially been a US colony since WWII. They are now practicing Quantitative Easing at the behest of the US Federal Reserve. So, I do wonder how much they can be influenced by the US. One would think a lot. But, BTC being anti-fragile (see my sig), just makes us stronger...

I think so too.  Mt. Gox could be Gaijin to them.  China casts a very large shadow.  If the U.S. asked Japan to squeeze Mt. Gox, I don't think there would be a great deal of negotiating.

[escrow.ms]

Ah, the Land of the Free

After all, only criminal terrorists want to bank anonymously.

The charges against Liberty Reserve are vicious, to say the least. The Financial Crimes Enforcement Network claims that the service “is not designed for legitimate use,” and that it is “designed to facilitate money laundering and illicit finance.”

Currently they are just claming not proving.

[Its About Sharing]

Ah, the Land of the Free

After all, only criminal terrorists want to bank anonymously.

The charges against Liberty Reserve are vicious, to say the least. The Financial Crimes Enforcement Network claims that the service “is not designed for legitimate use,” and that it is “designed to facilitate money laundering and illicit finance.”

Currently they are just claming not proving.

Yes as is typical. I'm sure the news stories will come out that proves their point. Something like "I did apply to use LR but due to having no criminal record I was refused." 
Fun to watch criminals act legit (since the inception of governments). And it is even more fun to see them being squeezed lately.

Enjoy the fireworks once they start and enjoy a much better world, but it will take some time.

[escrow.ms]

Yes as is typical. I'm sure the news stories will come out that proves their point. Something like "I did apply to use LR but due to having no criminal record I was refused."  
Fun to watch criminals act legit (since the inception of governments). And it is even more fun to see them being squeezed lately.

Enjoy the fireworks once they start and enjoy a much better world, but it will take some time.

Much better world?

Well ask from legit peoples like me who lost their money for nothing.
It might be funny for you but for us and others who lost their money it's not.

I am not american and at the end i just want to say.

Fuck you american govt. Stop forcing your fucking dumb rules on us.

[Its About Sharing]

Yes as is typical. I'm sure the news stories will come out that proves their point. Something like "I did apply to use LR but due to having no criminal record I was refused."  
Fun to watch criminals act legit (since the inception of governments). And it is even more fun to see them being squeezed lately.

Enjoy the fireworks once they start and enjoy a much better world, but it will take some time.

Much better world?

Well ask from legit peoples like me who lost their money for nothing.
It might be funny for you but for us and others who lost their money it's not.

I am not american and at the end i just want to say.

Fuck you american govt. Stop forcing your fucking dumb rules on us.

Funny for me? What on earth are you talking about?

Read my post a bit closer...

[high110]

I wonder if I should move my BTCs to a private wallet.

[Rampion]

I wonder if I should move my BTCs to a private wallet.

Well, that's always safer.

Anyhow, listen carefully to what the sheriffs say about BTC (minute 28:00). Basically, that they are not AGAINST them, that they are FOR innovation including virtual currencies, as long as the exchanges comply with FinCEN regulation:

http://www.davidnews.com/2013/05/liberty-reserve-laundered-6-billion.html

NO FEAR

[CasinoBit]

Yes as is typical. I'm sure the news stories will come out that proves their point. Something like "I did apply to use LR but due to having no criminal record I was refused."  
Fun to watch criminals act legit (since the inception of governments). And it is even more fun to see them being squeezed lately.

Enjoy the fireworks once they start and enjoy a much better world, but it will take some time.

Much better world?

Well ask from legit peoples like me who lost their money for nothing.
It might be funny for you but for us and others who lost their money it's not.

I am not american and at the end i just want to say.

Fuck you american govt. Stop forcing your fucking dumb rules on us.

It think he meant criminals as in governments, being squeezed.