There are no regulations about cryptos, so it is not illegal.
But even with laws the elite powers do it all the time and don't get caught, so doesn't matter.
For the most part yeah.. but !
USA & CAN and maybe others long ago instituted tax laws.
Most of you are probably guilty of Tax fraud.. same thing that took down Al Capone.
Further more there has been incidents popping up over the years.
The FBI arrested guys in Florida who used Localbitcoins to move about 30k worth of BTC.
They were arrested in a parking lot. (for violating Florida anti-money laundering laws)
The CIA requested the head of the BTC foundation (Gavin) to a meeting and we don't know what was said.
Exchanges that have a getting verified procedure do so to be compliant with US authorities.
A bunch of exchanges have admitted to complying with requests via the 3 letter agencies.
Coinbase & Cryptsy admitted it and i suspect Poloniex has been too among others.
So you are all not free and in the clear.
Ask Ripple.. they were fined by FiNCEN
Oh and see why i am the smart one here ?
https://www.sec.gov/investor/alerts/ia_virtualcurrencies.pdfI am the one who posted that here on the forum way back.
Oh and join the Cryptsy class-action lawsuit and maybe the Coinbase one brewing too.