Paxum Ceases Business With Bitcoin
 

Over the course of the last two weeks, Paxum has been in communication with our banking partners, Mastercard, and our auditors to evaluate the best interests of Paxum (and its clients) in relation to Bitcoin.

After much discussion and consideration it has been decided that, though Bitcoin's are not illegal, they are considered high risk. At Paxum we do not want to jeopardize our clients, or our business model, in any way. In light of that, and after considerable consultation, we have chosen to take the pro-active step of ceasing all business with Bitcoin and Bitcoin Exchangers.

This situation has also been discussed with Bitcoin Exchangers, who completely understand the motives behind this decision.

Thank you for your time.

Adult is high risk too.....

Adult is not a high risk non-legalized currency. :)

And your site really didn't get hacked... oh, wait...

I CAN Exchange BitcoinS WITH MY PAXUM FUNDS, AS I READ FAST RIGHT? :)

I'm just curious because I am actively learning more and more about bitcoin, but what makes it so "high risk"?

volatility and liquidity are big issues with BC's. Although TBH from Paxums perspective i dont see why they would need to be holding any as such meaning they would be position neutral.

biggest risk would be movingthe market if they had to buy a load to pay out a user (ie liquidity risk)

odd they did that the same time as the password resets.

bitcoins ... lol

so someone hacked the hell out of some paxum accounts and bought a shit load of bitcoins with the $ and thats that.
seems like what im reading... anyone else gettin the same?

Pretty much what it sounds like to me. Too many things happening all at once for them not to be connected.

It's too bad the guys at Paxum had to lie about it though... because as time goes on, the truth becomes more and more obvious.

interesting development:2 cents:

Bitcoin is high risk? Is it operated by inept clowns and/or penis pill peddlers or something?

so what is behind all of this? or is saturday the best day to discuss and take steps like that?

Lol:thumbsup:thumbsup

Have a great weekend everyone ...

payoneer, im comming! wait, are they jews? oh crap!

there is weapons of mass destruction in irak

yea they sucks!!!!!!

Paxum was not hacked by any Bitcoin user(s), and we have not encountered any fraudulent activity with Bitcoin and Bitcoin-related accounts.

The decision to terminate all Bitcoin associated accounts was made after much consideration and discussion, and this decision was made on Friday. This was not an overnight/impulsive choice. We had been in discussions with our banking partners, Mastercard and our auditors for the last couple of weeks, and on Friday our banking partners ended the discussions with us and stated that it was too much of a potential risk to continue doing business with Bitcoin and Bitcoin Exchangers and instructed us to close all Bitcoin-related accounts. We had no choice but to follow those instructions and therefore, all Bitcoin associations were severed on Friday.

It is easy to form 'conspiracy theories' from any circumstance and 'link' things together, however the plain truth of the matter is described above. Due to the confusion and wild speculation occurring on this forum, we thought it wise to clarify our decision.

We appreciate that so many of you care about our business, and we value your opinions of our service, however we must make decisions based, not on the popularity of the decision itself, but on wisdom and logic based on our business model and long-term goals.

As such, some of our decisions may be questioned or not be welcomed, but it is for the good of ALL our clients that we have ceased doing business with Bitcoin at this time.

Thanks again for your time.

thanks for the clarification.

that does not actually say anything, congrats.

Bitcoin is an absolute joke.

I don't think people care about your business or offering opinions. We care about the security of our money. Paxum came on the scene immediately after Epass imploded and folks are rightfully allowed to ask questions when things do not seem to add up.

Audits and then password changes.

Bitcoins no more of Friday and announce it after 2 weeks of discussions on Saturday.

Why not make security changes before audit or delay audit and show then Auditors a new more secure system?

Such a rush to do an unannounced update seems very suspicious.

Why not post the results of your audit if everything is so hunky dorey?

Suesheboy smells fish and it ain't too fresh...

If audits are being performed on a company it takes time to implement the changes and run tests so we do not wake up one day to a fucked account - given this period was two weeks - I'd say thats good change at a fast rate. Conspiracies aside, i'm sure they are trying disassociate the 'epassporte' stigma and maybe avoid some businesses that are at a risk level that jeapardizes, statistically, the portfolio in whole for the greater good. Altho the 8 hour downtown on the site last night did prevent me from drinking my face off last night in an anti-valentines day party, I wake up alert and ready to tackle the world lol.

*tear* - if paxum is still listening, please paxum me 15000 bux for this message lol j/k ty in advance lol

Paxum food.bit coin bad

Bitcoin is a non regulated "currency" with no central way of enforcing any international money laundering or anti terrorism laws, furthermore there is also no way of producing any paper-trails like with any other bank transactions.

It's the perfect tool for money laundering and terrorism.

Ahh yes.. I can see it now... caves in the Middle East lined wall to wall with bit mining clusters in order to pay for their nukes....


You watch way too much Fox News friend.

In that case why was Paxum involved with them in the first place.

/sigh........

i just poured all my check stubs on my bed and rolled around in them and rubbed them all over my body :2 cents:

Are you a man or a woman?

...and fraud operations,which is why i dont like bitcoin from start.

Ruth, in your banner it should be 100s and 1000s not 100's and 1000's.

True that Ruth :)

Disappointing but I can understand your decision.

I spent 2 days a week ago getting your API to work with Rails but now I guess that was time wasted.

Fuck you Paxum.

:1orglaugh:1orglaugh:1orglaugh:1orglaugh

Was Paxum hacked by any non-bitcoin user(s) then?

Everyone here is too smart for their own good.

Because accepting BitCoins was a good thing to begin with.

word :thumbsup

They never accepted bitcoins. They are banning others from doing bitcoin services accepting Paxum for payment.

Ah! Thanks for the clarification.

Paxum was actively recruiting customers and being represented on the bitcoin forums and exchanges. I guess they changed their minds.

One of the emails stated the change is caused by new banking regulations, whatever those are.

I don't think this is anything to do with new regs but bitcoin is currently getting a lot of negative press so maybe it was a precautionary measure.

Maybe not. The emails from Paxum indicated this apparently.
http://themonetaryfuture.blogspot.co...-business.html
https://bitcointalk.org/index.php?to...3101#msg743101
Not sure who sent the email, whether Chris or Ruth.