21 Jun '13, 9am

Bitcoin shunned by big banks as Mt Gox halts dollar payouts

Bitcoin shunned by big banks as Mt Gox halts dollar payouts

In March, the federal agency responsible for enforcing the nation's anti-money-laundering laws, the Treasury Department's Financial Crimes Enforcement Network, spelled out what exchanges like Mt. Gox must do in order to stay in the good graces of US regulators. Although some have said that the regulations are confusing and inappropriate for small businesses (for example, coffee shops that give cash back in exchange for Bitcoins technically must also register as money transmitters) the FinCEN's director says they were designed to take virtual currencies such as bitcoin to the next level. "I will not deny that there are some troublesome providers out there," said FinCen director Jennifer Shasky Calvery, according to a transcript of a speech she gave in Washington on 13 June. "But, that is balanced by a recognition of the innovation these virtual currencies provide."

Full article: http://www.wired.co.uk/news/archive/2013-06/21/mt-gox-stops

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