So I am reading one of the latest bits on BitCoin and I stumble across this:Money Transmitters
Stephanie Newberg, president of the Money Transmitter Regulators Association, a group of state officials, said Bitcoin will dominate her association’s agenda precisely because its legal status is unclear.
“Some states have statutes that are broad enough to do it immediately,” said Newberg, who is also deputy commissioner of banking in Texas. “Other states don’t. It’s a state-by-state question.”
JPMorgan Chief Executive Officer Jamie Dimon has said he expects that Bitcoin will be less of a threat once regulators intervene.
Bitcoin “will eventually be made as a payment system, I think, to follow the same standards as the other payment systems, and that will probably be the end of them,” Dimon said Jan. 23 in an interview on CNBC.
Bitcoin was introduced in 2008 by a programmer or group of programmers under the name Satoshi Nakamoto. It has no central issuing authority, and uses a public ledger to verify encrypted transactions.
Successful virtual currency startups will have to commit to being regulated by the states, said Fred Ehrsam, chief executive of Coinbase in San Francisco, a company that helps users buy and sell Bitcoin.
“We think California and New York will set the tone for everything else,” Ehrsam said. “When that tone is established, we’re ready to hand in licensing applications immediately.”
My question is this; and this goes out to financial experts more than anything else:
How will complying with "money transmitter" laws affect BitCoin and who will be affected?
I am not trying to say this will be good/bad; I simply don't know what this means as I don't know these laws.
Thank you for anyone who can answer this.
