Latest news about Bitcoin and all cryptocurrencies. Your daily crypto news habit.
The anti-money laundering bill concerning bitcoin Florida legislators just passed via an appropriations committee has been approved May 6 by both houses. The only remaining step in the process is for Floridaâs governor to sign it into law, in which case it will go into full effect.Â
Also read:Â Australiaâs Government Renews Efforts to End Double Taxation of Bitcoin
The intent of the bill is to prevent money-launderers from using bitcoin to hide funds generated from illicit activities. Florida legislators believe money launderers and other cyber criminals have been taking advantage of antiquated laws. They wanted to update them in the hopes of thwarting and undermining online financial crimes. In this regard, they have decided to call bitcoin a âmonetary instrument.â
The Miami Herald article quoted one of the law makers,
âCyber criminals have taken advantage of our antiquated laws for too long,â said House Rep. Jose Felix Diaz, R-Miami, who sponsored the bill. âBitcoin bypasses the traditional banking system, and our stateâs laws simply had not caught up to the upsurge in criminality in the world of cybercurrency.â
Case Dismissal in Florida
Jamie Redman, writing for bitcoin.com, covered the reasons why Florida lawmakers have come down so hard on bitcoinâs alleged use in cyber crimes.
Last year a âmoney launderingâ case was dismissed by a judge, because bitcoin was defined as property rather than money. The case involved a man named Michel Espinoza who sold $1,500 worth of Bitcoin to an undercover cop.
Redman said, âEspinozaâs case was dismissed because the judge considered bitcoins as a form of property. Miami-Dade officials are not pleased with the result of the Espinoza trial, and the state is appealing the judgeâs decision.â
Bitcoin Legal Quagmire
The overarching theme across the United States with bitcoin is legislators do not know how to properly define it. They cannot decide whether to call it a money or commodity. This misunderstanding has led to a situation where people have been able to successfully use bitcoin to âlaunder money.â
The IRS has officially said that bitcoin is property or a commodity.
Will Florida politicians effectively stamp out crypto-based money laundering? Let us know in the comments below.
Images via Shutterstock
At News.Bitcoin.com all comments containing links are automatically held up for moderation in the Disqus system. That means an editor has to take a look at the comment to approve it. This is due to the many, repetitive, spam and scam links people post under our articles. We do not censor any comment content based on politics or personal opinions. So, please be patient. Your comment will be published.
The post Florida Legislators Pass Bill that Targets Bitcoin-Wielding Cyber Criminals appeared first on Bitcoin News.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.