man sentenced to 4 years for illegal bitcoin operation

[santaClause]

This sounds like total BS. Where are the news reports of his arrest? Where are the news reports of his trial? Did they fingerprint him and immediately offer him a plea deal? Where are the indictments of all the people he was selling to/buying from? What department of the government ran the investigation/made the arrest? Arrest records are easy to verify and public record. Did they watch him for 18 months then one day say, "ok, that's enough evidence, let's wrap it up and arrest him"?

Something Awful is getting more clever.

Yeah I call BS! The media making shit up again to drive prices into the ground so that banking interests can get their hands on an ever increasing stash of bitcoins. Total garbage

[AGD]

http://qntra.net is the only website on the entire net that is showing this additional news esp. his imate number 72740-083
He is refering to a blog he wrote: http://sharethezing.blogspot.de/ in 2013
Correct me if I'm wrong: I find these posts seem to have a great lack of content and are written without any feelings. What is this? Code?
There is an email adress of the blogger JD (John D Powell) sharethezing@gmail.com
His facebook https://www.facebook.com/jdpowell.sharethezing has been deleted and even excluded from archive.org

Somebody able to contact him with that inmate number to find out what really happened? Though I am pretty sure we will not find this phantom John D. Powell.

[QuestionAuthority]

http://qntra.net is the only website on the entire net that is showing this additional news esp. his imate number 72740-083
He is refering to a blog he wrote: http://sharethezing.blogspot.de/ in 2013
Correct me if I'm wrong: I find these posts seem to have a great lack of content and are written without any feelings. What is this? Code?
There is an email adress of the blogger JD (John D Powell) sharethezing@gmail.com
His facebook https://www.facebook.com/jdpowell.sharethezing has been deleted and even excluded from archive.org

Somebody able to contact him with that inmate number to find out what really happened? Though I am pretty sure we will not find this phantom John D. Powell.

I couldn't find him.

[Zer0Sum]

It's obvious this dude wasn't exchanging bitcoins so local students could pay for college tuition.

He was certainly laundering money for at sorts of small time street/net operators...
Probably keeping next to zero KYC/AML records...
Until the Feds put him under a microscope and started doing business with him.

It's very likely that his entire operation has been taken over by the Feds...
Who are now posing as localbitcoins exchangers...
So it's hardly unusual that some dimwits on the web can't find all the details...
Even though the local press has dozens of articles on the case.

Once again Bitcoin is lumped in with petty, street level crime...
Reminds me of the sleazy dude at my Bitcoin Meetup...
That was openly bragging about 6 figure localbitcoins transactions.

[QuestionAuthority]

It's obvious this dude wasn't exchanging bitcoins so local students could pay for college tuition.

He was certainly laundering money for at sorts of small time street/net operators...
Probably keeping next to zero KYC/AML records...
Until the Feds put him under a microscope and started doing business with him.

It's very likely that his entire operation has been taken over by the Feds...
Who are now posing as localbitcoins exchangers...
So it's hardly unusual that some dimwits on the web can't find all the details...
Even though the local press has dozens of articles on the case.

Once again Bitcoin is lumped in with petty, street level crime...
Reminds me of the sleazy dude at my Bitcoin Meetup...
That was openly bragging about 6 figure localbitcoins transactions.

Don't you find it at least a little curious that every press report has exactly the same wording (cut and paste journalism) but a national inmate search shows nothing? Instead of spouting a bunch of speculation nonsense why don't you dig up more real verifiable information and let us know what really happened. I'd love to know if the Feds are really targeting Localbitcoins because I use it all the time.

[TKeenan]

Yeah I call BS! The media making shit up again to drive prices into the ground so that banking interests can get their hands on an ever increasing stash of bitcoins.

People are so dumb, it is shocking.

If this were true, then you too would be able to "get your hands" on cheap bitcoins.  You don't even have power over the media like presumably the banks do in your accusation.  Yet, when those banks force the media to make bad press driving the price of bitcoin low, nothing prevents you from taking advantage and grabbing some too.  You have a tremendous ability to profit from this.  So stop complaining and go buy some bitcoin. 

Banks today could give a shit about bitcoin.  It is far too early for any of them to start to buy bitcoin.  Only Silbert and Winkelvii could be considered 'banks' trying to amass bitcoin and they aren't doing what you allege by manipulating the press to effect prices.

How do all these conspiracy theorist assholes end up being bitcoin advocates?  One thing for sure about the bitcoin community - it is fucking full of weirdos.  Bitcoin is cool, but it sure attracts the circus freaks.

[BADecker]

Almost every win for the courts, where the person is accused by a governmental agency, is essentially a win because the person placed himself in that losing position.

The reason is that a defendant can demand to face his accuser. They agency can't come forward and be questioned on the stand. The agency can't swear or affirm anything. Why not? Because the agency is words on paper, and doesn't have a mouth, or a body to take the stand with.

In addition, there hast to be damage or harm done to the agency that can be proven to have been done by the defendant. The agency can't feel pain. The agency can't really express any damage done to it. The closest is a violation of a contract.

In addition, the defendant can counter-claim-sue. His counterclaim has to be answered before that agency can go forward with its case. His claim should be done by himself, as a man, requiring the damaged man present himself so that he can repay him for the damages. If a damaged or harmed man does not come forward, he wins the whole thing. If some human comes forward with a claim of harm of damage, then they go the next step.

This never happened in this case. The guy got scared and made a deal. He hanged himself, essentially.

[botany]

Banks today could give a shit about bitcoin.  It is far too early for any of them to start to buy bitcoin.  Only Silbert and Winkelvii could be considered 'banks' trying to amass bitcoin and they aren't doing what you allege by manipulating the press to effect prices.

I doubt if banks will try to amass bitcoins, even when they begin dealing in them.
They always try to hedge their exposure to foreign currencies; I am sure bitcoin will be treated like a foreign currency by them.

[exoton]

It's obvious this dude wasn't exchanging bitcoins so local students could pay for college tuition.

He was certainly laundering money for at sorts of small time street/net operators...
Probably keeping next to zero KYC/AML records...
Until the Feds put him under a microscope and started doing business with him.

It's very likely that his entire operation has been taken over by the Feds...
Who are now posing as localbitcoins exchangers...
So it's hardly unusual that some dimwits on the web can't find all the details...
Even though the local press has dozens of articles on the case.

Once again Bitcoin is lumped in with petty, street level crime...
Reminds me of the sleazy dude at my Bitcoin Meetup...
That was openly bragging about 6 figure localbitcoins transactions.

Don't you find it at least a little curious that every press report has exactly the same wording (cut and paste journalism) but a national inmate search shows nothing? Instead of spouting a bunch of speculation nonsense why don't you dig up more real verifiable information and let us know what really happened. I'd love to know if the Feds are really targeting Localbitcoins because I use it all the time.

I would speculate they do target LBC, likely the more active traders that trade very large amounts of bitcoin (and that have larger margins). You can probably get around the government investigating you via LBC is to create multiple accounts all with stopping when your business reaches a certain level

[ngupowered]

Almost every win for the courts, where the person is accused by a governmental agency, is essentially a win because the person placed himself in that losing position.

The reason is that a defendant can demand to face his accuser. They agency can't come forward and be questioned on the stand. The agency can't swear or affirm anything. Why not? Because the agency is words on paper, and doesn't have a mouth, or a body to take the stand with.

In addition, there hast to be damage or harm done to the agency that can be proven to have been done by the defendant. The agency can't feel pain. The agency can't really express any damage done to it. The closest is a violation of a contract.

In addition, the defendant can counter-claim-sue. His counterclaim has to be answered before that agency can go forward with its case. His claim should be done by himself, as a man, requiring the damaged man present himself so that he can repay him for the damages. If a damaged or harmed man does not come forward, he wins the whole thing. If some human comes forward with a claim of harm of damage, then they go the next step.

This never happened in this case. The guy got scared and made a deal. He hanged himself, essentially.

Yes, that's because he was charged as a person subject to the jurisdiction, and not as a man standing in common law.

-- A citizen has no rights but that conferred by law --

[Beliathon]

Wut.

He traded $3 million and got 4 years + 3 years supervised released? holy crap seems a bit excessive.

Anyone got PACER? would love more info on this case. It sounds like they nabbed him for not being a money transmitter (IE not having the right paperwork) not because any money laundering had occurred, which is kinda ridiculous if thats the case.

Oh $#!T, I think I know who that is.  

I'm certain he would not want me to name him, but I know a guy in that area with a sick mine. If it is who I think, there could be more to this story than a mine.

It says he was running an exchange.

Deal in the FEDs market and they call up Merica to lay the Fing pwn down on you.

YOU WILL BE PUNISHED for competing with the USD, as I have warned many times before... the govs are just starting the war... it will get bad.. very bad.. you should have bitcoins competely offline that no one knows you own.  DO NOT PUT THEM IN A bank saftey box like a putz either, they will torture you to find out the passphrase.  No one can know about your stash.. not a soul.  Only put 10-20% of your holdings there.. the NSA knows you have bitcoins when they come for them "I have non" will land you waterboarded for months at utter best.

This one is correct. They will fight viciously until they realize it's hopeless... and then fight some more. Look at the failed war on drugs.

Remember kids, the only thing a capitalist hates more than a communist is a competitor.

[coinmaster222]

Thats why in early january I will be setting up an exchange in the UK where its more btc friendy,to start with changing up to 5000 dollars per day with no to little wait time depending where you are in the world.Money will be sent to your bank account.

[altcoinex]

Cases in the last year 'James Shadid' presided over: http://dockets.justia.com/search?judge=James+Shadid&court=ilcdce&cases=between&after=2014-1-1&before=2014-12-16

Court records tend not to be lacking, it surely is not a matter of 'hasn't made it into the system yet' etc.  I'm skeptical.

[coinmaster222]

Why people deal in crypto currencies in places where its illegal just register a company in the isle of man and your sound