U.S. Government Siezes Bitcoin’s Bank Account.

Written by Gary North of The Tea Party Economist based on an artile in the St. Louis Post Dispatch

Bitcoin has been promoted as digital money, an alternative to fiat money. The company’s owner’s will now get to test their theory. Their fiat money just got frozen by the federal government. The Feds seized Bitcoin’s bank account.

Everyone with any understanding of the U.S. government knew that something like this would happen. Maybe the owners planned for this. Maybe the fiat money in their account is like the $20 bill that people put in their upper drawer in the bedroom dresser: “easy money” for burglars, who will take the money and run. But one thing is for sure: the owners look silly.

If you are going to create an alternative currency, (1) have your citizenship in the Bahamas, (2) have your bank account in the Cayman Islands, (3) have your company set up on the Isle of Man, (4) register your domain name in Russia, and (5) have your site’s servers in the Netherlands.

The owners have Bitcoins in digital accounts. They announced this from the start. Maybe they can pay their lawyers with bitcoins. We will see. So will they.

Senator Chuck Schumer jumped in. He accused the company on online money laundering. He called on the government to shut them down.

People who bought bitcoins had made a lot of money this year. One Bitcoin was worth $13.50 at the start of the year. It soared to $110. It was worth pennies a couple of years ago.

If it stays at $110, that will be a good sign that the project is working.

Federal law requires organizations that provide money transmission services to register with the Treasury Department’s Financial Crimes Enforcement Network. In March, FinCEN issued guidance classifying Bitcoin exchanges as money transmitters. But according to a warrant sought by ICE and approved Tuesday, Mr. Gox had failed to register as the law requires, subjecting its funds to forfeiture.

The Bitcoin system is digital and decentralized. The Feds cannot trace the flow of funds. But they surely can confiscate digital dollars.

Continue Reading on www.stltoday.com

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About Land & Livestock Interntional, Inc.

Land and Livestock International, Inc. is a leading agribusiness management firm providing a complete line of services to the range livestock industry. We believe that private property is the foundation of America. Private property and free markets go hand in hand—without property there is no freedom. We also believe that free markets, not government intervention, hold the key to natural resource conservation and environmental preservation. No government bureaucrat can (or will) understand and treat the land with as much respect as its owner. The bureaucrat simply does not have the same motives as does the owner of a capital interest in the property. Our specialty is the working livestock ranch simply because there are so many very good reasons for owning such a property. We provide educational, management and consulting services with a focus on ecologically and financially sustainable land management that will enhance natural processes (water and mineral cycles, energy flow and community dynamics) while enhancing profits and steadily building wealth.
This entry was posted in Gold and Silver, Government Corruption, Government Failures, Money and Banking, Totalitarianism, Tyrany and tagged , , , , , , , . Bookmark the permalink.

1 Response to U.S. Government Siezes Bitcoin’s Bank Account.

  1. Gunny G says:

    Reblogged this on NOW BLOG THIS! ~ GUNNY.G: AMERICAN ! and commented:
    GyG !!!!!!!!!!!!!!!!!!!!!!!!!

    Like

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