Money Laundering? Has it gone too far?

[Elwar]

It seems like every little thing that has to do with someone interacting with money recently is being interfered with in the name of "money laundering" laws.

Why are we just accepting the idea that money needs to be controlled so that the "bad guys" can't use it? Putting restrictions on every little thing in the name of whatever Money Laundering laws are supposed to be fighting?

Don't those laws make the dollar less fungible? Pretty much destroying the currency?

$1 held by a drug dealer no longer equates to $1 held by a liquor store owner. The drug dealer needs to pay extra to get $1 worth of value from that one dollar.

Louisiana used "money laundering" to pass a law against using cash to buy used stuff ( http://liberty247.net/its-now-illegal-to-use-cash-to-buy-used-goods-in-this-state/ ).

They use it to make sure every bank has tons of information on us, every Bitcoin exchange needs to know all about us. It makes it harder to move your cash around, giving Bitcoin a huge advantage over holding dollars.

When the money the drug dealers hold is worth less than the rest of the money it actually funnels more money to drug dealers since they can charge more and they need more to work within the black market. That is why they end up with stacks and stacks of money. It actually gives them an advantage over everyone else in the world of cash.

It's just insane.

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[NUFCrichard]

Yesterday I tried to withdraw some money from a online betting account, I had deposited using paypal and the options for withdrawl were either paypal or straight to my account.
I selected straight to my account, then got an email a few hours later saying that to prevent money launderng, all withdrawls must be made by the same method as the deposits!

I also have a FX account which I need to do a KYC-esque update for every 6 months, why? Money laundering.. It is a bit over the top nowadays, I agree.  Wait until harsher cash controls come in.

I often wondered when at the airport why people have to declare when they have more than x amount of cash with them.  They can do what they want in a free society, why can't they travel with all their money in cash form?

[countryfree]

They can do what they want in a free society, why can't they travel with all their money in cash form?

Who said that we were living in a free society?

[Vod]

I often wondered when at the airport why people have to declare when they have more than x amount of cash with them.  They can do what they want in a free society, why can't they travel with all their money in cash form?

You can travel with as much cash as you want.  They just ask you declare over $10,000.

[Blazr]

You can travel with as much cash as you want.  They just ask you declare over $10,000.

Do NOT go to the US with more than $10,000 in cash, even if you declare it. I once made that mistake. It isn't fun at all

"Are you carrying anything on you I should know about?"
"Yes I have $15,000 in cash"
"Ok come right this way sir"

[notlist3d]

This is nothing new.  Part of reason a exchange cost so much to set up in US is making sure it complies with KYC and other laws in each state, specifically not to be considered a money launder.

These laws are part of the reason I never did try to sell BTC on localbitcoins and see if I could profit.  Just to much liability I don't want.

"Bitcoins First Fellon" - http://www.coindesk.com/bitcoins-first-felon-charlie-shrem-begins-2-year-sentence/
Is Charlie Shrem in part for money laundering.

[chennan]

You can travel with as much cash as you want.  They just ask you declare over $10,000.

Do NOT go to the US with more than $10,000 in cash, even if you declare it. I once made that mistake. It isn't fun at all

"Are you carrying anything on you I should know about?"
"Yes I have $15,000 in cash"
"Ok come right this way sir"

Why not carry bitcoin with your mobile phone Bitcoin wallet? You can load as many bitcoin as possible. No one will force you to claim your bitcoin holding. Besides that, bitcion is not recognized currency yet.

[Nick Markus]

It seems like every little thing that has to do with someone interacting with money recently is being interfered with in the name of "money laundering" laws.

Why are we just accepting the idea that money needs to be controlled so that the "bad guys" can't use it? Putting restrictions on every little thing in the name of whatever Money Laundering laws are supposed to be fighting?

Don't those laws make the dollar less fungible? Pretty much destroying the currency?

$1 held by a drug dealer no longer equates to $1 held by a liquor store owner. The drug dealer needs to pay extra to get $1 worth of value from that one dollar.

Louisiana used "money laundering" to pass a law against using cash to buy used stuff ( http://liberty247.net/its-now-illegal-to-use-cash-to-buy-used-goods-in-this-state/ ).

They use it to make sure every bank has tons of information on us, every Bitcoin exchange needs to know all about us. It makes it harder to move your cash around, giving Bitcoin a huge advantage over holding dollars.

When the money the drug dealers hold is worth less than the rest of the money it actually funnels more money to drug dealers since they can charge more and they need more to work within the black market. That is why they end up with stacks and stacks of money. It actually gives them an advantage over everyone else in the world of cash.

It's just insane.

So money in the hand of a drug dealer are worth less, ha ncie try but how will they know who really is a drug dealer, or not. I think that US is getting far away from the word freedom. 

[BADecker]

Who wants competition? Fiat is money laundering. The banks do it. They don't want competition.

[NUFCrichard]

I often wondered when at the airport why people have to declare when they have more than x amount of cash with them.  They can do what they want in a free society, why can't they travel with all their money in cash form?

You can travel with as much cash as you want.  They just ask you declare over $10,000.

But why? If I am free to travel with more than $10k, why do they need to know that I am travelling with more than $10K? I would guess people declare they have more than $10k once, then either don't want to declare again, or leave the cash at home.  The governments are happy to give the banks trillions of $, they are happy to make your life uncomfortable to help them out too.

We are supposed to be living in a free society, I am aware that that illusion is paper thin, but it is often said and ideally would be enforced.

[Daniel91]

In my country, the former prime minister is accused for corruption and money laundering. The accused are also more former ministers in the government, known professor at university, big business people and others.
Based on this facts, at least in my country, yes, Money Laundering and corruption has gone to far.
In my opinion the problem is in the awareness of society about this problem and the morality of the people at the top.

[panju1]

They use it to make sure every bank has tons of information on us, every Bitcoin exchange needs to know all about us. It makes it harder to move your cash around, giving Bitcoin a huge advantage over holding dollars.

I am not sure that Bitcoin has a huge advantage over holding dollars. Because of the money laundering laws, converting bitcoins to fiat which can be readily used will be much tougher.

[notlist3d]

They use it to make sure every bank has tons of information on us, every Bitcoin exchange needs to know all about us. It makes it harder to move your cash around, giving Bitcoin a huge advantage over holding dollars.

I am not sure that Bitcoin has a huge advantage over holding dollars. Because of the money laundering laws, converting bitcoins to fiat which can be readily used will be much tougher.

The advantage is you could travel with a huge amount of cash via btc.  You would not need huge carry on's like you would with a massive amount of cash.

As far as changing it back to FIAT that is a little harder as you will need an exchange in your country.  In a perfect world you could one day use a bitcoin ATM.

[sana54210]

Money laundering is growing faster than ever, there are more sophisticated methods which a person can easily launder money without ever being noticed. And it is funny that recently governments pointed their fingers on bitcoin, whereas if you take US Dollar example, it is laundered in an astronomical number and the situation is the same with any other country. When bitcoin becomes fully mainstream, this will go down.

[Snorek]

Money laundering is growing faster than ever, there are more sophisticated methods which a person can easily launder money without ever being noticed. And it is funny that recently governments pointed their fingers on bitcoin, whereas if you take US Dollar example, it is laundered in an astronomical number and the situation is the same with any other country. When bitcoin becomes fully mainstream, this will go down.

What exactly will change then? Because if bitcoin will be the same as it is now, there won't be any suffcient way to stop money laundering. Unless we ban every site similar to bitmixer or impose something as radical as bitcoin ownership registration.

[LiteCoinGuy]

You can travel with as much cash as you want.  They just ask you declare over $10,000.

Do NOT go to the US with more than $10,000 in cash, even if you declare it. I once made that mistake. It isn't fun at all

"Are you carrying anything on you I should know about?"
"Yes I have $15,000 in cash"
"Ok come right this way sir"

Why not carry bitcoin with your mobile phone Bitcoin wallet? You can load as many bitcoin as possible. No one will force you to claim your bitcoin holding. Besides that, bitcion is not recognized currency yet.

A man was arrested for refusing to give his phone’s passcode to border agents

http://uk.businessinsider.com/alain-philippon-arrested-for-refusing-to-give-phone-passcode-to-cbsa-agents-2015-3?r=US


in that case, do it right.

[Nick Markus]

  Ouch, that is good reason why not to hold your coins in your phone.

[countryfree]

Ouch, that is good reason why not to hold your coins in your phone.

Unfortunately, a laptop would not make any difference. They could ask for its password as well.

[notlist3d]

Ouch, that is good reason why not to hold your coins in your phone.

Unfortunately, a laptop would not make any difference. They could ask for its password as well.

It goes for anything there that is encrypted.  Even a usb stick could be encrypted and legally if they told you to un-encrypt it you legally have to. 

It is not a bitcoin law, but a technology law.  Yes it's completely stupid, and you should know local laws before traveling to be prepared in-case something like this is required.

[erikalui]

For a common man, there is nothing like a free society.

Even if you sell or buy anything, you need to declare it and pay taxes. They don't want anyone to have black money or store money in their own house. If one wants to not invest money in the bank, he is considered to have black money and is forced to pay taxes on each and every product else he is considered to be money laundering.

Even when my parents sold their house and we got 50% cash in hand, we were asked several questions while investing it in the bank and made us to give them proof as well. Our money and their rules & regulation.

When I withdraw money as well, I need to answer their useless questions that why I am taking out so much money, where will I be using it