2013-03-25 CNN: 'Funny money' has officially entered the real world

[21after2]

From CNN:

Last week, new U.S. government rules regulating online currencies affirmed the value of what was previously passed off as funny money. Now companies that issue or exchange online cash would have new bookkeeping requirements. For instance, transactions of more than $10,000 would have to be reported.

While one of the big draws of virtual currencies is that they're independent and generally sheltered from the government's watch, the new rules are unlikely to ruin their allure. If anything, they effectively pull the currencies offline and into the mainstream world of finance, making them infinitely more valuable.

...

One thing is almost certain, though: It will regulate Bitcoin, the fastest-growing online currency. Launched in 2009, the online currency works almost like real money. It can be used to buy anything from upgrades on Reddit to pizza. And as Cyrus Sanati reported in December, it's increasingly used to conduct all sorts of shady business, making the anonymous sale and purchase of everything from drugs to guns possible.

More specifically, the new regulations come at the urging of federal authorities. In April 2011, the FBI recommended that third-party exchanges of Bitcoins be forced to follow the same anti-money laundering rules that banks are supposed to follow.

Full article: http://finance.fortune.cnn.com/2013/03/25/online-currency-regulations/

[nevafuse]

while they play a relatively small role, at least for now, bankers nonetheless view their rise as potentially dangerous to the health of the economy. Because virtual currencies aren't backed by a central bank or controlled by a central administrator, their values are vulnerable to wild swings.

Can there really be bankers out there that are worried about something with a $1B market cap?  If bitcoin was a stock on NASDAQ, it'd be ranked 2100th.  About the same market cap as WD-40.  I don't see many bankers talking about the potential dangers of WD-40 going under.  Now being on par with WD-40 is pretty impressive IMO, I still doubt most bankers have bitcoin even on their radar. 

Maybe when we reach the top 500, which requires a $10B+ market cap & $900/BTC, bankers can start becoming worried of how to transition to using bitcoin instead of fiat.

[Roger_Murdock]

Shouldn't it be "real money has officially entered a funny money world"?

[The Bitcoin Catalog]

Shouldn't it be "real money has officially entered a funny money world"?

^^This

[keystroke]

Shouldn't it be "real money has officially entered a funny money world"?

^^This

+Infinity

[JackH]

Shouldn't it be "real money has officially entered a funny money world"?

^^This

+Infinity

This x 100

[Bees Brothers]

Shouldn't it be "real money has officially entered a funny money world"?

When reading from CNN you need to translate their Orwellian Doublespeak (funny talk into real talk).

Another example of CNN Doublespeak is the picture of Monopoly money representing "funny money".
The reality is that Monopoly money has out performed Federal Reserve notes.

http://www.youtube.com/watch?v=ofIEGVLBoP0

[ButchHashidy]

Shouldn't it be "real money has officially entered a funny money world"?

^^This

+Infinity

...and beyooond!