[2014-10-17] Bitstamp will give unverified accounts to the government

[Lethn]

https://www.cryptocoinsnews.com/bitcoin-exchange-bitstamp-will-give-unverified-accounts-government/

[LiteCoinGuy]

Bitstamp said that accounts and account balances could be transferred to a third-party administrator or government authorities, who may in turn determine the ownership of any funds. Still, it cautioned that “the exact mechanism has not yet been determined”.

of course  

http://www.coindesk.com/bitstamp-unverified-accounts-risk-government-seizure-28-days/

[aigeezer]

Just deactivated my Bitstamp account because of this. Life goes on.

[ThomasCrowne]

I suspect they are going to be only the first of many to do so unfortunately.

[marcus_of_augustus]

To ever leave BTC on any exchange is stupid given the recent history.

[Lethn]

I'm probably going to be using CoinCorner anyway and see how that goes they trade in pounds.

[aigeezer]

To ever leave BTC on any exchange is stupid given the recent history.

Agreed, although I find as a pragmatic matter that there are usually crumbs left over at an exchange after most withdrawal transactions.

Not to pull a Godwin, but somehow this factoid (from Wiki) springs to mind when I think about the Bitstamp story:

"The classical period of witchhunts in Europe and North America falls into the Early Modern period or about 1400 to 1700, spanning the upheavals of the Reformation and the Thirty Years' War, resulting in an estimated 70,000 to 100,000 executions.

The last executions of people convicted as witches in Europe took place in the 18th century. In the Kingdom of Great Britain, witchcraft ceased to be an act punishable by law with the Witchcraft Act of 1735."

Plus ça change.

[bitsmichel]

To ever leave BTC on any exchange is stupid given the recent history.

Newbies might not know about Mt Gox. If you want to trade, there are not much alternatives than exchanges.

Bitstamp said that accounts and account balances could be transferred to a third-party administrator or government authorities, who may in turn determine the ownership of any funds. Still, it cautioned that “the exact mechanism has not yet been determined”.

of course 

http://www.coindesk.com/bitstamp-unverified-accounts-risk-government-seizure-28-days/

 
Nobody needs a trusted authority to control their financial assets. Why do people use Bitstamp? Does it have any advantages?

[Paladin69]

I'm sure info on all accounts is being handed to the Government, not just unverified ones.