[2016-05-07] Liberty Reserve Creator Sentenced to 20 Years Jail Time

[jdebunt]

Even though the difference between Bitcoin – a decentralized payment protocol with no leader or owner – and Liberty Reserve – centralized and owned by Budovsky – could not be more evident, the US legal system might see things differently. Then again, they should also trial the Federal Reserve as fiat currency is the most common payment method among criminals all over the world.

https://news.bitcoin.com/liberty-reserve-creator-jail-time/

[Cyaren]

Even though the difference between Bitcoin – a decentralized payment protocol with no leader or owner – and Liberty Reserve – centralized and owned by Budovsky – could not be more evident, the US legal system might see things differently. Then again, they should also trial the Federal Reserve as fiat currency is the most common payment method among criminals all over the world.

https://news.bitcoin.com/liberty-reserve-creator-jail-time/

Damn, that's harsh IMO. I just hope that Perfectmoney or Payeer isn't the next victim.

Moral of this story? Follow KYC and AML regulations while dealing with fiat, kids

[a7mos]

Liberty Reserve was a great payment processor before the US government seize the site and shut down it. I used to use it.
they could do that because it was centralized. US wants to stop anything they can not control or monitor