Streams

Arrest at JFK Prompts Fresh Scrutiny of Bitcoin

Monday, January 27, 2014

There are new questions about bitcoin, following the arrests of two men on charges they laundered money using the virtual currency. One of the arrests took place at JFK Airport.

The charges come just as New York State begins two days of hearings, aimed at bringing transparency to bitcoin transactions.

The Department of Financial Services is considering requiring a license to trade in bitcoin.

The first witnesses scheduled to appear on Tuesday include Cameron and Tyler Winklevoss, the twins memorably portrayed in the movie "The Social Network."

They will probably face some uncomfortable questions. Charlie Schrem, the man arrested at JFK on Sunday, was the CEO of a bitcoin company in which they invested.

The arrests are connected with a spectacular bust last year, of a website called Silk Road.

Authorities say Silk Road was a marketplace for illicit drugs. More than a billion dollars of trade took place there, and it was largely anonymous, because Silk Road used bitcoin.

Tags:

More in:

Comments [1]

Shelly from Ohio USA

Why do we have this bitcoin nonsense in the US???? It just another way to eventually get Ripped OFF!! People are out there hacking websites, Target Store's and all this crap, why would any dumb person take a chance using these dumb coins when the US already also has trouble with counterfeit money??? Just go to a store like a normal person and pay cash or eventually YOU will get ripped off too..Argh this makes me so furious!!!

Jan. 30 2014 09:55 AM

Leave a Comment

Email addresses are required but never displayed.

Get the WNYC Morning Brief in your inbox.
We'll send you our top 5 stories every day, plus breaking news and weather.

Sponsored

Latest Newscast

 

 

Support

WNYC is supported by the Charles H. Revson Foundation: Because a great city needs an informed and engaged public

Feeds

Supported by