Was Liberty Reserve killed because of illegal PORN?
 

Arthur Budovsky Belanchuk, 39, on Friday was arrested in Spain as part of a money laundering investigation performed jointly by police agencies in the United States and Costa Rica. (owner of Liberty Reserve)

Budovsky's businesses in Costa Rica apparently were financed by using money from child pornography websites and drug trafficking.

Budovsky and Kats were sentenced to five years in prison for engaging in the business of transmitting money without a license, a felony violation of state banking law, but got probation.

Full article here:
http://www.ticotimes.net/More-news/N...ay-May-24-2013

my guess is that they wanted to stop him because he accepted payment for illegal porn and illegal services in general, so they wanted to give a pause to the illegal activites, not his money laundering, what do you think?

Probaly,good move by authorities.

just as e-gold owner douglas jackson got slapped a few years back...

the problem with ecurrency is that all the criminals migrate to it sooner or later...

evocash-closed because of crime
1mdc - closed because of crime
liberty reserve- closed because of crime
webmoney -crippled and survives ONLY and i mean ONLY because its russian and putin likes it


bitcoins/litecoins with their "anon" (not really anon if you have to use an exchanger) aspect make it the holy grail for crime and eventually a piss easy target for the law...

What about BC?

Ukash need to take heed of this turn of events.

bitcoin is next and those ponzicoins

illegal porn??? :1orglaugh

Yeah bitcoin is used for selling illegal services and illegal products also, what do you think will happend to bitcoin? will the authorities close it or find a way to close it?
obviously its the next "dollar" for all illegal services.

Related: perfectmoney.com decided to no more register US citizens:
Dear Perfect Money Customers,
Due to changes in our policy we forbid new registrations from individuals or companies based in the United States of America. This includes US citizens residing overseas.

LR was mostly used for ponzi schemes, basically frauds:

MLM: http://en.wikipedia.org/wiki/Multi-level_marketing
Forex: http://en.wikipedia.org/wiki/Foreign_exchange_market
HYIP: http://en.wikipedia.org/wiki/High-yi...stment_program

And... illegal stuff for example buy stolen credit cards or drugs (witnessed it while tracking some carder of our cam site, followed in him into an irc channel where buying cards for lr).

It could be some of those who had LR accounts may switch to bitcoins, but it is too volatile for them perhaps. But if more like perfectmoney , egopay , solidtrustpay , okpay and whatever are shut down, really these guys may have to go bitcoin (or litecoin or whatevercoin). Still when buy or sell for dollars the exchangers can be closed.. they should do really a barter, things for bitcoins and bitcoins for things, with no any dollar in middle or in the process.

all the liberty reserve scammers will now move to bitcoins...

bit coin will crash the moment the police hit mtgox...

then the LR and bitcoin scammers will move to litecoins...

and the cycle continues like locusts coming in for the feed...

Someone eat locusts too...

http://farm6.static.flickr.com/5294/...07e2648f_o.gif

Sources from the US financial Authorities told GoogleFeed that the Losses of Liberty Reserve clients could be around 68 Million Dollars.

-> so bigger fiasco than Epassporte

I had in epassporte, and even though they collapsed, I got my money back
they let me spend it, not cash it, I had to buy a lot of stuff I don't need:)

Fethard.biz on the other hand ...took away the money.

Lots of search and seizures coming. Its good biz if you wear a FED black hat. :winkwink:
IRS, Treasury and FBI always follow, find, take the money.

There's no way to "close" bitcoin or any of its dozen alt/clonecoins since they use a distributed P2P network of clients and miners. Shutting down exchanges could hurt the currency, but that doesn't stop people trading privately.

bitcoin like currencies might also be a future threat for goverment controlled currencies,
I think bitcoin is an act of freedom, on the other hand with no real rules around it
it generates a lot of illegal services, I can't even begin how many.

It'll wipe 100s of millions off the current value of Bitcoins though, perhaps more :2 cents:

Mt Gox has proved themselves incompetent with the whole Dwolla fiasco anyway, people no longer trust them considering Mt Gox lied about being a money transmitting service.

Plus Mt Gox trade is down quite a lot in the past 2 weeks with the biggest increases going to Bitstamp & BTC-e. FYI you'd be an idiot to use Bitstamp, based in the EU in Slovenia, fake UK mailing address as their official business address and WHOIS privacy on their domain name, yeah that's trust worthy! :1orglaugh

Between Bitstamp & BTC-e I'd choose the Russian one if I had to because at least they are not as likely to get shut down in the medium term

It's still playing Russian roulette though :pimp

It doesn't matter anymore if you're doing legitimate transactions with Bitcoin/Litecoin, you're just putting a big red target on your back considering the amount of criminal gangs who are using it for Drug trafficking & Money Laundering etc

Let's hope nobody starts using banknotes for illegal transactions.

I read that Liberty was a target because of their involvement with child porn and drug trafficking. Its only a matter of time before it all caves in.

Glad somebody said it!

Also you guys talk like the current banking systems are totally legit. lol

Legit? Hell fucking no. lol. In control? Yes. No one despises current system more than me.