Bitcoin News

Angry Uncle Sam

Will Uncle Sam Criminalize Concealed Ownership of Cryptocurrencies?

Owners of Bitcoin or other cryptocurrencies might get ensnared by the latest efforts on Capitol Hill to address money laundering. In late November, the US Senate Judiciary Committee held a hearing on S. 1241, the Combating Money Laundering, Terrorist Financing, and Counterfeiting Act of 2017, introduced by Sens. Chuck Grassley (R-IA), and Diane Feinstein (D-CA). The problem is that S. 1241 would revise the definition of “financial institution” in US law to include digital currencies and digital exchanges. Specifically, S. [...]

Read more...
bitcoin cash

Are Bitcoin Billionaires Cashing Out?

One of the perennial knocks against Bitcoin has been its price volatility. Compared to other financial assets, Bitcoin is incredibly volatile, with intraday price swings often exceeding the percentages that would stop trading on major financial exchanges. There are a few reasons for that, one of them being that Bitcoin markets are still relatively new, immature, and thinly traded. That means that things that might affect other markets only weakly will have outsized effects on the Bitcoin market. The [...]

Read more...
Goldman Sachs

Goldman Sachs to Start Bitcoin Trading

In another sign of the ongoing mainstreaming of Bitcoin, those in the know report that Wall Street investment bank Goldman Sachs is planning to set up a Bitcoin and cryptocurrency trading desk. Current plans are to have the operation up and running by June of this year, if not earlier. Goldman is already one of the banks involved in clearing the recently-begun Bitcoin futures contracts offered by CBOE and CME. Goldman’s stance on Bitcoin runs counter to the public statements [...]

Read more...
banning virtual currency

CFTC Warns Investors of Risks of Virtual Currency Trading

The US Commodity Futures Trading Commission issued a customer advisory to inform the public of possible risks associated with investing or speculating in virtual currencies or recently launched Bitcoin futures and options. “Virtual currency is a digital representation of value that functions as a medium of exchange, a unit of account, or a store of value, but it does not have legal tender status,” the CFTC said. Further, virtual currencies are sometimes exchanged for US dollars or other currencies, [...]

Read more...
locked down cryptocurrency

The Tax Reform Bill Will Affect Cryptocurrency Trading

The recent tax reform bill brought many welcome changes to taxpayers and should benefit most people through lowering their tax bills. But for cryptocurrency traders and investors there was one change that the tax bill made that could see them liable to pay taxes that they up to now have been avoiding. The tax reform bill changed the types of in-kind transactions that are eligible to remain free from capital gains taxation. An in-kind transaction is one in which an [...]

Read more...
virtual currency

CFTC Proposes Rule on Virtual Currency “Actual Delivery” in Retail Transactions

The Commodity Futures Trading Commission has proposed a legal interpretation of its authority over retail commodity transactions involving virtual currencies like Bitcoin. The proposal details the conditions under which the retail trading of such currencies would not have to comply with the agency’s rules. More specifically, “The Proposed Interpretation sets out the CFTC’s view regarding the ‘actual delivery’ exception that may apply to virtual currency transactions,” according to the agency. Retail commodity transactions are subject to the Commodity Exchange Act “as [...]

Read more...
terrorist using computer

Pakistani-Born Long Island Resident Accused of Laundering Crypto to Help ISIS

Crypto critics felt vindication after years of warning that digital money could be used by the likes of terrorists. According to Time, a woman born in Pakistan and residing in Long Island is accused of laundering Bitcoin and other cryptocurrencies and wiring the money overseas to ISIS. Zoobia Shahnaz, 27, has been charged with bank fraud, conspiracy to commit money laundering, and money laundering. It is unclear how long she has been in the US and she had no [...]

Read more...
hands reaching into cryptocurrency ICO box

SEC Cease and Desist Order Stops Munchee ICO

Munchee Inc., a San Francisco-based company selling digital tokens to investors to raise capital for its blockchain-based food review service, brought its initial coin offering to a halt recently, after the US Securities and Exchange Commission delivered a cease and desist order that declared the company’s conduct constituted unregistered securities offers and sales. According to the commission’s order, the privately owned firm had created an iPhone application for people in the US to use to review restaurant meals. In October [...]

Read more...
bitcoins

Futures Industry Group Slams Bitcoin Derivatives

Bitcoin futures are now officially “a thing,” and one of the futures industry’s leading trade groups was not pleased about how it happened. Futures Industry Association CEO and President Walt Lukken recently wrote an open letter to Commodity Futures Trading Commission Chairman Christopher Giancarlo outlining the concerns his members have with the process in which cryptocurrency futures have come to market. “In light of the CFTC and the [National Futures Association]’s public statements regarding the riskiness of the underlying cryptocurrency [...]

Read more...
bitcoin going up and down

Cryptocurrency Prices Fluctuating Wildly Before Christmas

Prices of cryptocurrencies have fluctuated wildly in the days before Christmas. Bitcoin hit an all-time high of nearly $20,000 earlier this week before falling at one point on Friday to below $11,000. At the time of writing, Bitcoin was trading at around $13,500. Bitcoin wasn’t the only cryptocurrency to be hit on Friday, as most cryptocurrencies experienced similar plunges, wiping out anywhere from a quarter to a third of overall cryptocurrency market capitalization. Check out the latest price of bitcoin Some [...]

Read more...