With all due respect....the U.S Government has PLENTY of tools to go after those deemed to be violators of various rules and regs...with or without Blacknet, with or without encryption. For the purposes of discussion, let's assume perfect, unbreakable encryption, all undistinguishable (even in principle) from noise. Yes, I admit, that is a big assumption. What other tools can be used, well... 1. Imputed income. If you live well, and don't show enough reportable income, the IRS can determine how much you are _Really_ making, and figure your tax thereon. You disagree? Prove it in tax court. By the way, the burden of proof is on ...YOU. 2. Criminal conspiracy. Elements are a. two or more people b. a prepatory act So...if we were talking about any number of possible illicit activities, conspiracy is a really viable charge. Even if nobody ever commits the act. Think about this one next time you talk with anyone you don't know really well about anything much more controversial than the *_Lovely_* weather we've been having! 3. CCE (Continuing Criminal Enterprise). Did you know that the statute of limitations is suspended under this law? And, testimony from third party *_unidentified_* informants is admissable? 4. IRS-1040, Schedule B, Part III, Foreign Accounts and Trusts. Except for one relatively minor loophole, if you fail to report a foreign bank account, it is considered prima facie evidence of tax fraud. Sound like a really bad day in the making? 5. If you have more than $10,000 in US Dollar value in an offshore account, you are required to fill out a special form for the IRS giving your account numbers; unless you want to declare that you have more than 20 such accounts, aggregating to more than $10,000. 6. RICO. They got Mike Miliken using this...indeed, Barron's magazine did an interesting report on RICO, with the conclusion that a determined Federal Prosecutor could use the law to convict a ham sandwich. 7. Did you know that Federal prosecutors have a better than 90% conviction rate? 8. HOW does one spend "magic money"? If you have bunches of cash offshore, and bring it in, records are created. If you buy something, potential witnesses are created. Can you really expect that the clerk in wire transfer at XYZ bank (who makes $6.50/hr) won't tip off someone when you wire in the $20,000 to buy ...whatever? 9.. Spies, criminals, and others often get in trouble due to their own and others' lack of discretion. Can we really expect users of a hypothetical blacknet would never drink too much, never wish to impress someone, never trust someone unwisely? NO, I'm not an attorney...by all means, check out what I've said; and, wherever you find errors, please correct them. Hopefully, I've not given offense. I enjoy encryption, and I'm all for more of it; but, I really don't think it will be anything more than a minor inconvenince for law enforcement and prosecutors if people engage in wholesale criminal acts. The rather silly efforts in Waco, where those inside used assault rifles to shoot at battle tanks; comes to mind as analogous to use of encryption to stave off prosecution. Now...your turn. Let the Flames begin! Regards, Dave