party that distribute and exchange Bitcoin will now be subject to the same rules as Western Union . The Leslie Townes Hope is to crackdown on Bitcoin - related offense .
shape virtual currencies is crafty because it ’s hard to do it without admit that they ’re legitimate in some way . But commit the surge in Bitcoin ’s popularity — and its utility as the currency of choice for drug dealers , heavy weapon runner , and other baddies — the US government had to do something .
The new “ guidance ” issued by the US Treasury Department ’s Financial Crimes Enforcement internet is very careful to pull back a line between real and practical currentness . The real stuff isofficial government tender :
FinCEN ’s regulations delineate currency ( also refer to as “ real ” currentness ) as “ the coin and report money of the United States or of any other area that [ i ] is denominate as legal tender and that [ ii ] circulates and [ iii ] is customarily used and assume as a medium of exchange in the country of issuance . ”
Whereas practical up-to-dateness is something that sometimes acts like currency but is n’t de jure accepted :
In contrast to substantial currency , “ practical ” currentness is a medium of exchange that operates like a currentness in some environments , but does not have all the attribute of real up-to-dateness . In particular , virtual currentness does not have effectual tender condition in any legal power . This counseling addresses “ translatable ” virtual currency . This character of virtual up-to-dateness either has an tantamount value in genuine currency , or act as a substitute for real currency .
Now that all make sense but the differentiation is very authoritative to the government . The young rule basically make it clear that even though the governing does n’t think that Bitcoin is the real matter , operators like BitPay , which exchange and administer Bitcoin will be handle like businesses who telegraph money and exchange foreign currency .
As the WSJreports , that basically means that these companies will have some additional bookkeeping requirement , and that they ’ll have to report transactions of more than $ 10,000 . Whether this new guidance will be enforceable given the untraceable nature of Bitcoin remains to be see . [ FinCENviaWSJ ]
https://gizmodo.com/bitcoin-and-other-virtual-currencies-finally-get-some-r-5991951
Bitcoin
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