FinCEN quizzed on mining regs
Do the FinCEN virtual currency regulations apply to Bitcoin miners in addition to exchanges? No one seems sure, but now, one consultant wants to find out. A US consulting firm has written to the Financial Crimes Enforcement Network (FinCEN) in the US, asking it to clarify its position on bitcoin mining. Atlantic City Bitcoin (ACB), registered in the state of New Jersey, has requested an administrative ruling to determine once and for all how the FinCEN rules, announced in March, apply to mining. ACB's beef concerns what it highlights as a disparity in FinCEN guidance. The guidance says: "A....
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FinCEN, The US Department of Treasury Financial Crimes Enforcement Network, has issued a ruling that tries to clear up what could be a problem for Bitcoin mining. The problem is explained by whether someone who mines Bitcoins for themselves can trade the Bitcoins for fiat money at an exchange or spend them without being classified as a Money Service Business (which forces the miner to register with FinCEN). Many Bitcoin miners have been concerned that tough regulation from FinCEN would mean that they would have to require an auditor staff, hence making it hard for individuals to mine....
Some good news came out of the US Treasury Department for American Bitcoin miners. Anyone mining Bitcoins for his or her own purposes and not for the benefit of others will not be consider a money services business and will thus have no obligation to register with FinCEN, according to a ruling by the group. FinCEN, or the Financial Crimes Enforcement Network, has thus far required any US-based Bitcoin business to register as money transmitters. But if you are mining Bitcoins simply for your own digital currency wealth and spending those earnings for your sole benefit, then you don’t fall....
The US Financial Crimes Enforcement Network (FinCEN) has issued new rulings indicating that digital currency-related cloud mining and escrow services should not be considered money transmitters. The two releases came via what appear to be responses to requests from businesses seeking to better understand FinCEN's policies. FinCEN, the bureau of the US treasury that collects and analyzes financial transactions, has previously released influential decisions regarding how consumer bitcoin miners and bitcoin investors should be regulated under money transmission laws. Published letter rulings....
The Financial Crimes Enforcement Network (FinCEN) has announced that it will soon propose new regulation affecting cryptocurrency holdings at foreign exchanges. This proposal is separate from the one FinCEN recently proposed on cryptocurrency wallets. FinCEN’s New Crypto Rules FinCEN, a bureau of the U.S. Department of the Treasury, issued a notice on Thursday regarding a new filing requirement for cryptocurrencies. FinCEN detailed: Currently, the Report of Foreign Bank and Financial Accounts (FBAR) regulations do not define a foreign account holding virtual currency as a type of....
To say bitcoin is considered to be in a gray area in the realm of financial regulation isn't a stretch. Seemingly daily, new reports are coming out that suggest the fact. Take a look at the Casascius Bitcoin mint, which was indirectly shut down by FinCEN for being "considered" a money services business. Or take a look at what happened this week in India, when authorities raided an exchange because they thought it conflicted with preventative money-laundering legislation. But we're finally getting some clarity when it comes to bitcoin mining, and what miners do with the bitcoin they've....