- cypherpunks-legacy - lists.cpunks.org

Re: [gsc] e-gold indictment unsealed
by Eric Cordian 07 May '07

07 May '07

Interesting. The basic question here seems to be whether electronic interchange of depository receipts for a commodity is a "money transmittal business." Money being legitimate currency of some government, or instruments representing said currency. The government has a long history, particularly where the IRS is concerned, of ruling that what something actually is, is not necessarily what it is called. I suspect what will come out of this case, is a court ruling that says that "money" is anything you can use to buy stuff with, regardless of its actual implementation, or whether it is denominated in an actual currency. This will extend the "know your customer" BS to a plethora of other businesses, and subject them to the same onerous regulatory climate banks now experience. This will be the death of e-cash. -- Eric Michael Cordian 0+ O:.T:.O:. Mathematical Munitions Division "Do What Thou Wilt Shall Be The Whole Of The Law"

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