Article Image

IPFS News Link • Bitcoin

Bitcoin Isn't Money, Rules US Judge in Money Laundering Case

•, Lester Coleman

U.S. Magistrate Judge Hugh B. Scott ruled in a money laundering case in Buffalo, N.Y. that bitcoin is more like a commodity and is not a form of currency, according to a local news report. He recommended the money laundering charge be dropped against the defendant since bitcoin isn't money.

Scott is not the first U.S. judge to rule that bitcoin is not money.

In another money laundering case last year, Miami-Dade Circuit Judge Teresa Mary Pooler stated it is very clear, even to someone with limited knowledge in the area, that bitcoin has a long way to go before it is the equivalent of money.

But in yet another case last year, U.S. District Judge Alison Nathan in Manhattan rejected the claim to dismiss charges related to a defendant's alleged involvement in an unlicensed bitcoin exchange, The defendant argued that bitcoin wasn't money and therefore doesn't fall under the purview of federal law of prohibiting any operation of an unlicensed money transmitting operation.