Topic: Homeland Security Hearing Today! (Read 2721 times)

That went really well, I'd say.

Props to Mr . Murck as well. I didn't have much opinion on the Bitcoin Foundation before, and now, it is a bit more favourable, I thought his position and delivery were both pretty good.

you think the US will rollover and quit the petrodollar empire cuz bitcoin?

No surprise here at all.

THIS JUST SHOWS that a ridiculous number of people on bitcointalk and on reddit are overly paranoid when it comes to our government. Is government bloated? Yes. Is there corruption? Sure.

But the government officials don't really understand bitcoin. But they do understand that the invention of the internet is the one major commodity that the US has created in the last 40 years worth a damn that has also given a huge boast to our economy and sustained our reputation as innovators in the world.

Bitcoin is an extension of the internet in their minds.

There really isn't a panel of 8 white haired men sitting around an iron table plotting how to control all of our lives. Most people, including those "in power" spend time really focusing on the mundane details of their own self-absorbed lives.

Just like most of us.

The US government is not going to threaten bitcoin. Bitcoin has much more to worry about from the banks who get to decide who can set up shop in the US and who can't.

Panel 2

Much agreed with panel 1 with respect to current regulation. There was complaint that per-state MSB is a poor system, and that guidance from the IRS, FinCen is crucial to supporting growth domestically and urged that the USGOV help in that regard. Ernie Allen complained about the difficulty of law enforcement in tracking down bitcoin users, however, it was in contradiction to Panel 1, and later he suggested that no additional regulations were necessary, but rather inclusion of exchanges, domestically, in MSB and know your customer regulations would aid in fighting crime (and bringing a regulatory environment to support that was crucial). The bitcoin rep complained about the inability for companies associated with bitcoin to open domestic bank accounts was frustrating to innovation and has lead to the 3 major exchanges being in Japan, China, and Europe. The general concensus around comsumer protection laws was that bitcoin is risky, the users know its like cash today, but that as it evolves to a wider user base, then additional regulations may become necessary however the panelists seemed to agree that industry-lead insurances (escrow) is likely the path forward rather than creating mass legislation to mitigate risks.


Senator: Do you know who the inventor of bitcoin is? (Comments by panel) So you think it might be Al Gore?

The Sen. Tom Carper and the panel FinCen, Secret Service, and Homeland Defense were all bullish. One of them even stated that virtual currency is no different from other forms of exchange and trade with respect to abuse and criminal activity.  NONE of them asked congress to increase regulation of any kind, and the Sen asked if regulation is too high here, driving business out of the country, to which they responded that it will get worse everywhere else and remain the same here (US). They also seem unconcerned with the DeepWeb and virtual currencies, citing Liberty Reserve, SilkRoad, et al as examples where by current regulation was capable of doing the job.

All in all, panel 1 seemed bullish.

Watching it right now. And also witnessed 700$ ATH in gox just a minute ago

Thanks. I'd appreciate that.

bitcoin is the threat????and  weapons sold in America is commonplace?
alcohol is sold in specialty shops and restaurant must have licenses to sell it, but no less drunk than elsewhere.
My dear Americans, when will you understand that everything what is prohibited in your country only becomes more interesting for your citizens ..
God bless America and Bitcoin. maybe it would be good to do your eUSD!
within half an hour of listening 1000x said criminal activity....sux
criminal activity is sale arms to yours citizens..and not ideal deflationary system, which prevents the fattening of banks and the creation of the global crisis ...

So far, I'm pleasantly surprised by the tone of the hearing. All the panelists keep mentioning how digital currencies themselves are a legitimate financial innovation and are not illegal. They are drawing a clear line between bitcoin itself and the use of it by some people for crime. I think this is bullish.

Copied from: https://bitcointalksearch.org/topic/us-agencies-tell-senate-bitcoins-offer-legitimate-benefits-337751

Quite positive - what you think?

U.S. Agencies Tell Senate Bitcoins Offer Legitimate Benefits
2013-11-18 05:01:00.13 GMT


By Max Raskin
     Nov. 18 (Bloomberg) -- The Department of Justice and
Securities and Exchange Commission are telling a U.S. Senate
committee that Bitcoins are legitimate financial instruments,
boosting prospects for wider acceptance of the virtual currency.
     Representatives from the agencies told the U.S. Senate
Committee on Homeland Security and Governmental Affairs ahead of
a hearing today that the digital money offers benefits and
carries risks, like any other online-payment system, according
to letters they released before the meeting.
     The committee scheduled the hearing “to explore potential
promises and risks related to virtual currency for the federal
government and society at large” after the Silk Road Hidden
Website was shut down in October. The closing of the
marketplace, where people could obtain drugs, guns and other
illicit goods using Bitcoins, is helping fuel a rally in the
virtual currency as speculators bet that the digital money will
gain more mainstream acceptance.
     “The FBI’s approach to virtual currencies is guided by a
recognition that online payment systems, both centralized and
decentralized, offer legitimate financial services,” Peter
Kadzik, principal deputy assistant attorney general, wrote in a
letter yesterday. “Like any financial service, virtual currency
system of either type can be exploited by malicious actors, but
centralized and decentralized online payment systems can vary
significantly in the types and degrees of illicit financial risk
they pose.”

                          Virtual Money

     Introduced in 2008 by a programmer or group of programmers
going under the name of Satoshi Nakamoto, Bitcoin is being used
to pay for everything from gourmet coffee to smartphones on the
Internet. There are almost 12 million Bitcoins in circulation,
according to Bitcoincharts, a website that tracks activity
across various exchanges.
     Bitcoins were trading for $460 apiece yesterday on
Bitstamp, one of the more active online exchanges, where the
digital money is traded for dollars, euros and other currencies.
The virtual currency reached a record of $473 yesterday, and is
up more than 30-fold so far this year.
     “Two years ago it was alarm when Silk Road first came on
the scene,” said Jerry Brito, senior research fellow at the
Mercatus Center at George Mason University who is also
testifying in front of the committee today. “Since then,
Congress has been educating itself and understands that there
are great potential benefits, and like any new technology there
are going to be some challenges. But they see there is a balance
to be struck here and they are generally positive on the
technology.”

                       Gaining Acceptance

     Since the virtual currency exists as software that’s
designed to be untraceable, it’s an attractive tender for those
seeking to transact anonymously via the Web. While the closing
of Silk Road initially caused the digital money to lose a third
of its value within days, Bitcoins have recovered and rallied to
record levels as speculators and investors bet that the currency
will be less of a fad and gain more mainstream acceptance.
     Ben Bernanke, chairman of the Federal Reserve, is also
weighing in on the hearing, saying that it has no plans to
regulate the currency.
     “Although the Federal Reserve generally monitors
developments in virtual currencies and other payments system
innovations, it does not necessarily have authority to directly
supervise or regulate these innovations or the entities that
provide them to the market,” Bernanke wrote in a letter to the
committee.
     The hearings will bolster the view that Bitcoins are an
acceptable alternate means of conducting transactions, and that
their use will grow, said Brito.
     “These hearings means Bitcoin is finally coming into its
own; it’s a real thing and it’s not going anywhere and these
hearings highlight that,” he said.

For Related News and Information:
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Top Technology Stories:TTOP

--Editors: Reed Stevenson, Kevin Miller

To contact the reporter on this story:
Max Raskin in New York at +1-212-617-0443 or
[email protected]

To contact the editor responsible for this story:
Pui-Wing Tam at +1-415-617-7327 or
[email protected]

Opening speech by Sen. Carper, nothing we don't know yet. He already used email as an analogy to digital currency.

Happening now, wach this:

http://www.c-span.org/Live-Video/C-SPAN3/

as usual, politics gather to discuss how to "ruin" anything good 

thanks

A post on /r/bitcoin says http://www.c-spanvideo.org/schedule/

anyway we can get a live feed?

How will this affect the price of bitcoin?
http://www.hsgac.senate.gov/hearings/beyond-silk-road-potential-risks-threats-and-promises-of-virtual-currencies
Seems like it's gotten some media attention.