The CEO of bit-instant.com Has Been Arrested For Laundering Charges Relating To Silk Road

[ATribeCalledQ]

I knew something was fishy about bit-instant, a couple of months before Silk Road went down they changed policies and made it way harder to buy bitcoins (before you could go into a wal-mart and wire the money to bit-instant)

[QUOTE]NEW YORK (AP) - Federal prosecutors say two men are charged in New York with conspiring to commit money laundering by selling more than $1 million in Bitcoins to users of the black market website Silk Road, which lets users buy illegal drugs anonymously.

Authorities say Charlie Shrem was arrested Sunday at New York's Kennedy Airport while Robert Faiella was arrested Monday at his Cape Coral, Fla., residence.

Prosecutors say in a news release that Faiella sold Bitcoins to users seeking to buy illegal drugs on the site through a Manhattan office.[/QUOTE]

[url]http://www.jrn.com/fox4now/news/Cape-man-charged-in-NY-Silk-Road-drug-prosecution-242233441.html[/url]

[Eudoxia]

The lesson here is, don't launder money that represents a pointer to a public transaction log.

Use Federal Reserve Notes for that.