Regulating Bitcoin: The Shitstorm is Coming!

On Sunday, two prominent members of the Bitcoin community were arrested on charges of money laundering. More specifically, they were charged with laundering money from the infamous Silk Road – the black-market website where all manner of illegal drugs were sold; including cannabis, cocaine, crack, etc.

Then, on Tuesday, there was an informal Bitcoin hearing in New York conducted by Benjamin Lawsky, superintendent of the New York Department of Financial Services. The purpose of the hearing was to debate how Bitcoin should be effectively regulated. Here’s a quote from that meeting: “Tweaks around the edges are not enough,” Mr. Lawsky said between panels, suggesting the department would come up with something within several months. He has been talking about developing something he’s calling a “bitlicense” for firms that want to operate as bitcoin brokers or exchanges.

Now, here’s where the shit-storm will kick in. Bitcoin has been designed from the ground-up for government and bank independence. Soon, you’ll be able to live your life free of governments snooping on what you do with your money. There will be no excessive bank charges or hidden fees, anyone and everyone can have a free, secure and anonymous wallet without interference from authorities.

Bitcoin will and is undermining the business models of Visa, Mastercard, Paypal and big banks. These large companies will not go down without a fight, expect them to put immense pressure on governments to highly regulate, undermine and perhaps even ban Bitcoin.

The shitstorm is coming... mark my words!

Source: [link to bcchitchat.com]