How to Launder Billions of Digital Dollars
theatlantic.com
How to Launder Billions of Digital Dollars
1–10 of 62 posts
Re: How to Launder Billions of Digital Dollars
#2Ah they now have an angle to go after bitcoin.
Re: How to Launder Billions of Digital Dollars
#3> LR's most basic criminal offense is simple: It didn't know or want to know the identities of its clients. They allowed people to transfer big sums of money without checking their identification.
That this is a crime disgusts me. I should be able to do whatever I want with my money without anyone knowing who I am. That's how it worked up to the past century.
Re: How to Launder Billions of Digital Dollars
#4Many of the largest banks in the world launder much greater sums and get away with the lightest slap on the wrist. Wherever money changes hands you will find ethically challenged people making a profit.
Gangster Bankers: Too Big to Jail http://www.rollingstone.com/politics/news/gangster-bankers-t...
Re: How to Launder Billions of Digital Dollars
#5> LR's most basic criminal offense is simple: It didn't know or want to know the identities of its clients. They allowed people to transfer big sums of money without checking their identification. That this is a crime disgusts me. I should be able to do whatever I want with my money without anyone knowing who I am. That's how it worked up to the past century.
The crime isn't transferring the money. The law applies to the payment processor, who profits from often criminal activity.
Re: How to Launder Billions of Digital Dollars
#6Seems like Liberty Reserve just wasn't big enough to protect itself. If they had been bank sized they could just pay a few fines every now and then and continue to operate:
Re: How to Launder Billions of Digital Dollars
#7All you need is a bank, no detergent necessary.
Re: How to Launder Billions of Digital Dollars
#8> LR's most basic criminal offense is simple: It didn't know or want to know the identities of its clients. They allowed people to transfer big sums of money without checking their identification. That this is a crime disgusts me. I should be able to do whatever I want with my money without anyone knowing who I am. That's how it worked up to the past century.
Umm, no, you shouldn't be able to do everything you want with your money.
A payment processor has a fiduciary duty for its customers. So if you are sending $100,000 to Nigeria to pay for puppies, the Payment processor better stop this transaction to protect you form being scammed.
Now maybe you are smart and savvy enough to be not scammed but an average joe isn't.
There are many rules in the payment industry but KYC (Know Your Customer) is pretty high up in the Payment Processor's Bible. From the article it seems that Lib.Res. didn't just commit minor sins; it was designed to disregard the bible all together.
Re: How to Launder Billions of Digital Dollars
#9Dang, LR has been big in the underground communities forever. Bouncing money between international Paypal accounts and then through LR has always been the way I've heard of it being done. It will be interesting to see what follows it. Also curious if they will try to prosecute any of the LR users they are able to track down.
Re: How to Launder Billions of Digital Dollars
#10> LR's most basic criminal offense is simple: It didn't know or want to know the identities of its clients. They allowed people to transfer big sums of money without checking their identification. That this is a crime disgusts me. I should be able to do whatever I want with my money without anyone knowing who I am. That's how it worked up to the past century.
The crime isn't transferring the money. The law applies to the payment processor, who profits from often criminal activity.
Operating a medium of trade for profit that others use consensually shouldn't be illegal. The act of people trading value consensually also shouldn't be illegal. The parent post is likely affirming both of these positions.