Currency Exchange vs. Money Transmission

[Junko]

Could someone kindly please explain in layman's terms the difference between currency exchange vs money transmission - in regards to bitcoin, of course.

And is using localbitcoins considered currency exchange or money transmission?

[BurtW]

Could someone kindly please explain in layman's terms the difference between currency exchange vs money transmission - in regards to bitcoin, of course.

And is using localbitcoins considered currency exchange or money transmission?

I was arrested, had my Bitcoins, cash, all my computers, and other property seized, was thrown into solitary confinement and charged with operating a money transmittal business without a license all for simply trading Bitcoins on localbitcoins.com.

I claimed I was an investor trading for my own account, they claimed it was a business.  

In the end, after about $300,000 in legal fees and extortion payments, we agreed to disagree.

You can read all about it here:

http://www.burtw.com

http://www.jmwagner.com

https://bitcointalk.org/index.php?topic=1182005

(and many other threads here on this forum, just google my name + Bitcoin)

[Junko]

Could someone kindly please explain in layman's terms the difference between currency exchange vs money transmission - in regards to bitcoin, of course.

And is using localbitcoins considered currency exchange or money transmission?

I was arrested, had my Bitcoins, cash, all my computers, and other property seized, was thrown into solitary confinement and charged with operating a money transmittal business without a license all for simply trading Bitcoins on localbitcoins.com.

I claimed I was an investor trading for my own account, they claimed it was a business.  

In the end, after about $300,000 in legal fees and extortion payments, we agreed to disagree.

You can read all about it here:

http://www.burtw.com

http://www.jmwagner.com

https://bitcointalk.org/index.php?topic=1182005

(and many other threads here on this forum, just google my name + Bitcoin)

Yeah, man. I read about you and your story. Sounds like a shitty thing that happened to you to say the least. I can't even begin to imagine what it must have been like for you and your family to go through that whole ordeal. I hope you are able to recoup your losses in time.

[Dank14]

I never knew you could get arrested for being a bitcoin trader.

Need a licence to trade bitcoins?

Are they saying what localbitcoins is doing is wrong or what?