aba@atlas.ex.ac.uk writes:
Technologically it would be possible to have multiple ombudsmen, or even have the recovery key be secret share split amongst ecash users in such a way that some chosen percentage of agreement would be required before cash could be traced, or revoked (made worthless).
I need to make the legal situation plainer: This is an all or nothing situation. Dirty money is dirty money. If the host government(s) decide that your institution was willfully blind to the transmission of dirty money, they can seize substitute assets. I'm not saying _should_, I'm not saying that there aren't fairer ways, but any and all assets in "cooperating" countries _will_ become fair game if the government decides you've let your institution be used for money laundering. This property may be transitive -- if another institution knows or should have known that your institution knows or should have known that the money was dirty, _they_ may find their assets in cooperating countries seized. Furthermore, as I mentioned in Part the Second, countries are blatantly paid off for cooperating. In fact, Munroe mentioned after his talk that the Swiss are among the very quickest to freeze assets, although they are very slow to unfreeze them.... I'm not saying there aren't clever ways around this -- it's an arms race, and one that bankers, regulators and LEAs perceive themselves to be losing. Nevertheless, I don't think that anyone, regardless of their intentions, should get involved in international money transmission unless they are fully aware of the tools and techniques that may be brought to bear against them.