22 Mar '13, 5pm

Bitcoin and Other Virtual Currencies Finally Get Some Regulation

Mario Aguilar View Profile Email Twitter Google Plus RSS Companies that distribute and exchange Bitcoin will now be subject to the same rules as Western Union. The hope is to crackdown on Bitcoin-related crime. Regulating virtual currencies is tricky because it's hard to do it without admitting that they're legitimate in some way. But given the surge in Bitcoin's popularity—and its utility as the currency of choice for drug dealers, gun runners, and other baddies—the US government had to do something. The new "guidance" issued by the US Treasury Department's Financial Crimes Enforcement Network is very careful to draw a line between real and virtual currency. The real stuff is official government tender : FinCEN's regulations define currency (also referred to as "real" currency) as "the coin and paper money of the United States or of any other country that [i] is designate...

Full article: http://gizmodo.com/5991951/bitcoin-and-other-virtual-curr...

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