Illegal bitcoin exchange Coin.mx busted in NYC

[DuddlyDoRight]

http://finance.yahoo.com/news/three-indicted-u-over-major-144238269.html

"Prosecutors said Shalon and Orenstein also ran payment processors IDPay and Todur, through which they collected $18 million of fees to process hundreds of millions of dollars of transactions for criminals.

Shalon was also accused of running the illegal bitcoin exchange Coin.mx with Murgio, and concealing at least $100 million in Swiss and other accounts."

this only gives a bad name to digital currency...

And pretty much any policy or design you care to mention will be assumed the mmaaaaaaannn trying to bring it down. Want a exchange to have verified owner identities with it? You're the mmaaaaaaaannn trying to bring down freedom.. Stop being a fascist..

This will be the reality and the rep till the average investor and user see bitcoin as a currency and not something valuable with nobody watching..

[CreativeCarol]

Many illegal Bitcoin activities are easily torn apart and failing many times. We'll be fine.

[DuddlyDoRight]

Many illegal Bitcoin activities are easily torn apart and failing many times. We'll be fine.

but good luck integrating it with a significant portion of society or a government when there are still people running off with millions and never identified..

I can go make a exchange or tumbler right now and run off with queued or stored bitcoin in months when it builds and nobody will ever even know my name.. I see dozens of such every few months..

Bitcoin is too grab&run to work as a currency right now..

[Amph]

Many illegal Bitcoin activities are easily torn apart and failing many times. We'll be fine.

yeah like the dude that stole that great amount of bitcoin on bitstamp, still untraced, and not caught

some of them know how to hide themselves very well, it will be practically impossible to trace

[gkv9]

Many illegal Bitcoin activities are easily torn apart and failing many times. We'll be fine.

It's easy to say, but not easy when it comes to catch those bastards who commit such crimes stealing "monies" of people...
It's just in the computer, government officials tried to trace Satoshi but did they find him really???
(NOT TRYING TO SAY THAT SATOSHI'S A CRIMINAL)...

[mobnepal]

Many illegal Bitcoin activities are easily torn apart and failing many times. We'll be fine.

Bitcoin is anonymous so it has become good way for scammers and criminal to move funds and fbi are also getting irritated to trace the transaction. However on end those people get caught not due to trace of transaction but due to some silly human mistakes like silkroad owner have done unknowingly.

[rich93]

Many illegal Bitcoin activities are easily torn apart and failing many times. We'll be fine.

yeah like the dude that stole that great amount of bitcoin on bitstamp, still untraced, and not caught

some of them know how to hide themselves very well, it will be practically impossible to trace

They didn't catch the dude that stole money from Bitfinex either, or the dude that stole money from Bter, or the dude that exit scammed the evolution market by stealing everyone's money. Sometimes they catch a thief like the Sheep marketplace owner who was arrested after exit scamming by stealing everyone's money, but most of the thieves get away with it.

[maokoto]

Thought about the same as others when I read it. 18$ million in fees? that means a pretty high volume for a exchange I have never heard about till now. If they are helping criminal activity, it is good that they are caught.

Anyone used that exchange?

[Patatas]

The question now is.. Did they have a BitLicense?

DO you really need a bitlicense to start a bitcoin exchange ? I was never aware of that ? How do we know a specific website or exchange is a approved of that license ?Does bitcoin organisation issues this licenses?

[knightkon]

First thing is that people like this make me sick, if they were truly laundering money for criminal activity, but it sickens me just as much to hear about all these laws requiring licensing and such when it comes to accepting Bitcoin.  So does this mean that everyone who accepts Bitcoin for payment needs to have a license?  How far will ti go? People need to start stand up and fighting this before the governments shuts it down before we can push it forward.

[snarlpill]

While I have no idea about the money laundering or hacking allegations, and therefore will not speak of it, I can say that I used Coin.mx dozens of times in the past to buy BTC instantly with my credit/debit card. Nearly every transaction was flawless; could deposit, purchase, and withdraw funds instantly once verified. The few times that there were slight hiccups, due to site maintenance or something similar, their Support team was amazing and very helpful. They also had a great referral system where you and the person you referred got $5-$15 of Bitcoin for free, which they honored every time. Their exchange was one of the only BTC exchanges I would actually recommend to people, because they were honest and easy to use.

I just wanted to speak up on their behalf, with other people commenting calling them scammers. In my personal experience buying Bitcoin through them I can say that they were very legitimate. I have no idea about the claims of illegal activity, but I am sad to see them caught up in that if true. Also, their fees for buying BTC with credit/debit were pretty high, but with many people scamming them with chargebacks after buying BTC, the fees had to be higher to account for that.

[fiulpro]

http://finance.yahoo.com/news/three-indicted-u-over-major-144238269.html

"Prosecutors said Shalon and Orenstein also ran payment processors IDPay and Todur, through which they collected $18 million of fees to process hundreds of millions of dollars of transactions for criminals.

Shalon was also accused of running the illegal bitcoin exchange Coin.mx with Murgio, and concealing at least $100 million in Swiss and other accounts."

100 million $ :O

but it's a famous exchange?
never heard of it!

[mayax]

the next ones are Kraken, Coinsetter, US exchangers without financial license.