31 Aug '13, 3pm

Bitcoin-Friendly Internet Credit Union Suddenly Dumps Accounts, Citing 'Regulatory Issues'

The Internet Archive Federal Credit Union, an experimental financial institution run by the eponymous nonprofit that archives web history, has established itself as a Bitcoin haven. In contrast to traditional banks, which snubbed businesses built around the virtual currency, the IAFCU basically put up a Bitcoin welcome sign. "These are not drug dealers, money launderers, or whatever. These are average folks," IAFCU CEO Jordan Modell told Wired. That all changed yesterday, however, when the credit union announced it will be dumping its Bitcoin clients. "Certain operational and regulatory issues came up including some that apply to new credit unions like ours," IAFCU CEO Jordan Modell wrote in a blog post. "Until we have further clarity, we are unable to service some of our corporate members."

Full article: http://www.economicpolicyjournal.com/2013/08/bitcoin-frie...

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