Comments

You must log in or register to comment.

tektektektektek t1_j00dtjc wrote

Step by step
Heart to heart
Left right left
We all fall down
Like toy soldiers

27

snksleepy t1_j00dxo9 wrote

Huh how can the US charge Binance if they dont even operate in the US?

7

tektektektektek t1_j00eblg wrote

A country can pretend it owns the whole world when it comes to applying their laws.

The question is whether that country will willingly hand over that individual to the accusing country.

That's assuming, of course, that the individual isn't silly or unwitting enough to actually travel to that country to be captured...

7

Brook030 t1_j00ecli wrote

The possible charges unlicensed money transmission, money laundering conspiracy and criminal sanctions violations.

32

DigitalTraveler42 t1_j00ht3s wrote

They can charge him and try him in absentia and wait until he enters a US extradition treaty country and put a Red notice on him through Interpol, either way it would be "enjoy hiding out in second and third world countries until someone with guns trades you to the US".

But it's just money laundering, white collar crime, minimum security prison, if he doesn't find a way to get out of the charges by flipping for a bigger fish he should just face the charges.

7

EpicGuard t1_j00i14t wrote

$10 says Sam got brought in and immediately started bitching about what the other guys can all get away with and the fuzz just nodded their heads like "yup those are crimes too" lmao.

267

ennuinerdog t1_j00ic7g wrote

Isn't money laundering the main use of crypto in the first place?

102

ennuinerdog t1_j00ig89 wrote

Guys I'm starting to suspect that crypto has a handful of bad actors.

130

tektektektektek t1_j00jrq7 wrote

It's not nearly as opaque as cash. You're far better off stuffing €500 notes (yes, they exist) into a walking cane if you don't want to be traced. In fact:

> The note is being phased out due to concerns of widespread use for illegal purposes. Most printing of new €500 notes ceased in 2019, although existing notes will remain legal tender until further notice.

What crypto is good for is being stolen. Silly people store digital wallets on insecure storage, even sillier people let other people "hold" their digital assets. And that is easily taken from the safety of a living room chair on the other side of the planet.

51

lilrabbitfoofoo t1_j00kgq6 wrote

It's almost like trading an imaginary commodity between suckers and scammers isn't a legitimate financial business model.

Though, charging fees on those fraudulent transactions (to be paid in REAL dollars) is definitely a tried and true technique of the 1% to siphon cash from suckers and scammers alike.

22

Notorious_Junk t1_j00nk2n wrote

Yet Tether remains operational. They submit a one page pie chart for compliance and not a damn thing happens. Yes, the exchanges are corrupt, but the so-called stablecoins are where the really big fraud is happening.

76

[deleted] t1_j0103n2 wrote

What does this mean for the loans given to musk?

3

ThisAltDoesNotExist t1_j01avqk wrote

Except the blockchain is an indelible record of transactions. Cash has no clear origin and you just need a convincing story without other evidence that disproves it. This? This is from my cash only business. We're doing great!

21

DofPa t1_j01b80s wrote

r/BoycottChina

−3

plopseven t1_j01l4hp wrote

His hands in this photograph are making the international sign for “MLM.”

2

[deleted] t1_j01lezh wrote

This is how crypto dies, not with a whimper but with thunderous applause.

11

monial t1_j01zc83 wrote

Yeah. Tether does not want a competition when US opens its own scam exchange, connect it to WallStreet or Blackrock or Citadel and skimm whats left over from its society.

−2

Nonbinary_Tea t1_j01znfj wrote

Sounds like SBF is talking to Bahamas authorities after a night in the slammer being the moaning myrtle of the cells

4

Acrobatic-Rhubarb-26 t1_j020qy5 wrote

This is a horribly unflattering image - this dudes whose freakin Cro-Magnon head

4

top_value7293 t1_j0226gp wrote

He looks a little weird. Like a cartoon character

5

Yzyasir t1_j022nui wrote

It’s almost like crypto is a scam

1

shmeggt t1_j024k0c wrote

Stuffing EUR500 notes into a cane or suitcase is not money laundering. That's just moving cash around. The difficult thing is the actual laundering part....

Let's say you steal €25,000,000 in cash from a bank and you get away with it. There are no suspects... you're free. Now you have a problem: it's easy to spend small amounts of cash, but eyes will be raised if you try and buy a car or house with cash. It's also really inconvenient to use cash for other things, like plane tickets or hotel rooms. You need to get this money into a bank, and the bank is going to run a source-of-funds investigation on your €25M. This is where laundering comes into play. The easiest way to do this is to start/buy a cash-based business, like a laundromat. No one is going to check the size or busyness of your laundromat. So you do $500 a week of real business and you deposit $10,000. Unfortunately, that's going to take you almost 50 years, so as your funds grow, you need to launder the money faster and faster.

With crypto, you can do this a LOT easier and faster. Find a crypto exchange that doesn't do AML/KYC (there are quite a few of them) and deposit this money. Many of them will be happy to take your €25M. Now, start moving your money from exchange to exchange, from currency to currency. Do a lot of trading across different cryptos and exchanges and personal wallets.

Now, you just need to identify a set of cryptos and would have provided a huge return during this period so you can "explain" how you got a great return. Now, get an account on a more reputable exchanges (with AML/KYC), and withdraw into your bank. Money laundered!

12

shmeggt t1_j024v60 wrote

While the physical cash has no chain of custody, when making a large purchase or depositing large amounts of cash, the bank is going to need to understand source-of-funds.

This is the hard things about cash... it's hard to spend in large amounts. You really need a bank account when spending a large amount of money.

3

ThisAltDoesNotExist t1_j026afr wrote

Which is what I meant by "you just need a convincing story" and then described the most common method of money laundering.

It is also very difficult to spend a large quantity of cryptocurrency.

5

jtmarshiii t1_j026uan wrote

What do you do with the cash? This means you have to do a face-to-face transaction with is 1,000% more dangerous since this is how law enforcement will try and catch you. Everyone thinks cash is the most anonymous but it takes physical interactions and high risk of losing cash if on your person.

2

ISLAndBreezESTeve10 t1_j026wbr wrote

Ok, I searched this far, Nothing about this dude’s giant cranium. There is room for two brains in giant Mr. Potato head.

1

WildWeaselGT t1_j027ift wrote

I can’t believe Tether hasn’t completely imploded yet. I’ve been expecting it for years and it just keeps chugging along.

Literally the only reason it’s worth anything is because they say it is and everyone in crypto wants to it be true.

9

ThisAltDoesNotExist t1_j027nn5 wrote

Nonsense. The moment you try to get it into the regular banking system to spend it you face the same questions of origin.

You may as well say you don't need to spend the cash, you can just leave it in a safe.

2

shmeggt t1_j028nex wrote

Here's what you do....

"I'm a crypto investor. I trade quite a lot and have been quite successful in doing that. I invested $500 in LaunderCoin which went up by 8,000,000%. I trade a lot looking for the next great coin."

1

lilrabbitfoofoo t1_j029aq6 wrote

> They are centrally managed and issued.

This has no bearing on whether or not they are an imaginary commodity.

They still have no value. Like Bitcon.

They are all examples of the old "shares of the Brooklyn Bridge" scam, except now not only is the bridge imaginary and the seller has no rights to sell but the shares are imaginary (digital zeroes attached to a serial number) too.

Both swindlers still take real dollars from the suckers for the sale, though. :)

0

lilrabbitfoofoo t1_j02afn2 wrote

Then you seem to be fighting over them being imaginary securities instead of imaginary commodities. They fail the Howey Test, so they are not securities. But that doesn't matter. They are still worthless frauds (aka Ponzi schemes) nonetheless.

0

Bawhgawd t1_j02as3j wrote

Holy cow the fud in here is real.

1

dankdooker t1_j02bptj wrote

Yeah. The stable coins are bullshit. Why not invest in something a lot more stable, like the US dollar. All these cryptocurrencies are pure shams. A bubble is about to burst and every crypto investor will be left holding the bag. Get all your money out of crypto now. Don't be like FTX clients or Bernie Madoff clients or Amway sales. Get out and invest your money on something better, like blackjack.

13

dankdooker t1_j02bur5 wrote

crypto is ponzi sham shell game. Get out and save what dollahs you have left

5

matali t1_j02fz46 wrote

Remember the ICO craze back in 2017? We’re there again.

1

throwawayainteasy t1_j02guip wrote

Or "sell" a few NFTs for ridiculous prices that an "anonymous" wallet buys.

Given how arbitrary the pricing is, art has been used for money laundering for a very long time, and NFTs have made that even easier. You don't need to even get galleries involved to give yourself some facade of credibility.

14

[deleted] t1_j02izep wrote

His head looks AI generated.

2

ThisAltDoesNotExist t1_j02lmsn wrote

Without in person interactions yes, but there are entire books about law enforcement compromising wallets over time and mapping illicit transactions. Monero was explicitly encrypted to prevent tracking and preserve anonymity. So they banned it in the UK.

2

Ottos_jacket t1_j02noye wrote

Is that a Binance tattoo on his arm?🤣

1

Sinestero t1_j02sthh wrote

Huh, I saw their ads on reddit not so long ago

2

DetectiveTank t1_j02ussi wrote

I'm actually really only interested in the commodity vs security part because that's where the discussion about how governments are going to regulate them is.

But at least we can agree that centrally controlled proof of stake tokens are ponzis. So, I'm satisfied with that.

1

lilrabbitfoofoo t1_j02w4lj wrote

You can't legitimately regulate a Ponzi scheme. You can only shut it down, arrest the perpetrators, recover the gains from those that profited, and distribute those gains to the losers for pennies on the dollar.

Like they did with Madoff and the "investors" who made money off the Ponzi scheme. To avoid going to prison as de facto accomplices (they couldn't prove they didn't know it was a scam), they returned all of their gains to a common pool.

2

YAMAGLACHI t1_j02yakp wrote

Give me $25mil of currency and Ill show you how to live without the tiniest bit of concern for the remainder of my life. Its exceptionally easy to use cash to pay for everything in daily life. IF you have half a brain.

0

shmeggt t1_j02z0lo wrote

That's very true if you want to live modestly. If that was the case, you probably wouldn't have stolen $25M. You can easily buy a cheap used car with cash.... you can pay rent on an apartment with cash...

5

YAMAGLACHI t1_j032ypj wrote

Whats modestly? With that amount of money you can afford payments on everything and would never have to own a thing. And you dont have to live modestly. All of which can be made through CCs and cashiers checks. You only run into problems when you try to buy outright or deposit money into a bank. You lump sum youre toast. You make small, regular deposits you get flagged for structuring. You keep cash on hand and/or spread out in safety deposit boxes. I can live more than modestly on cash and CCs. And I can still grow the money off the books.

−2

Override9636 t1_j035ieg wrote

Question: What if I invent a currency and then lie about its value to get people to invest in in?

Well...you will be arrested.

But what if I want their money more than the person who has it?

...Still illegal

That doesn't follow, no, I want it more, sir. This guy just doesn't understand ponzi schemes crypto.

1

autotldr t1_j03858h wrote

This is the best tl;dr I could make, original reduced by 70%. (I'm a bot)


> U.S. prosecutors may charge Binance, the largest cryptocurrency exchange, and its top executives with money laundering and sanctions violations, the latest twist in a probe that began in 2018 and gained traction during the FTX collapse that shocked the industry.

> Binance and its CEO have been instrumental in reacting to the recent collapse of the FTX exchange, which rocked the industry.

> First, as rumors of FTX's insolvency began to circulate, Binance pulled the plug on $529 million in FTX token holdings, a move that undermined its now-bankrupt rival.


Extended Summary | FAQ | Feedback | Top keywords: Binance^#1 FTX^#2 report^#3 exchange^#4 collapse^#5

1

autotldr t1_j038778 wrote

This is the best tl;dr I could make, original reduced by 70%. (I'm a bot)


> U.S. prosecutors may charge Binance, the largest cryptocurrency exchange, and its top executives with money laundering and sanctions violations, the latest twist in a probe that began in 2018 and gained traction during the FTX collapse that shocked the industry.

> Binance and its CEO have been instrumental in reacting to the recent collapse of the FTX exchange, which rocked the industry.

> First, as rumors of FTX's insolvency began to circulate, Binance pulled the plug on $529 million in FTX token holdings, a move that undermined its now-bankrupt rival.


Extended Summary | FAQ | Feedback | Top keywords: Binance^#1 FTX^#2 report^#3 exchange^#4 collapse^#5

1

autotldr t1_j03882a wrote

This is the best tl;dr I could make, original reduced by 70%. (I'm a bot)


> U.S. prosecutors may charge Binance, the largest cryptocurrency exchange, and its top executives with money laundering and sanctions violations, the latest twist in a probe that began in 2018 and gained traction during the FTX collapse that shocked the industry.

> Binance and its CEO have been instrumental in reacting to the recent collapse of the FTX exchange, which rocked the industry.

> First, as rumors of FTX's insolvency began to circulate, Binance pulled the plug on $529 million in FTX token holdings, a move that undermined its now-bankrupt rival.


Extended Summary | FAQ | Feedback | Top keywords: Binance^#1 FTX^#2 report^#3 exchange^#4 collapse^#5

1

pratKgp t1_j03cjpx wrote

Is there any billionaire who is clean? People should stop treating them as their idol.

1

Enjoying_A_Meal t1_j04871z wrote

I mean, people said the same thing the other 6 times Crypto crashed by over 70%, so their track record ain't all that great. What makes you think it won't bounce back and go even higher like all the previous times in the past 10 years? What's different about this time?

−3

jas2628 t1_j04bxxi wrote

I think that people are finally questioning what the value of crypto actually is, especially since many of the returns seem to be fraudulent.

Why would Bitcoin go up? It only will if more people buy in, with the assumption that it will continue to go up.

3

bkornblith t1_j04w4fq wrote

Almost like there’s a theme here

1

iRedditonFacebook t1_j0509za wrote

>With crypto, you can do this a LOT easier and faster

People who don't figure this out this are usually the ones losing all their money and act surprised when someone runs off with millions.

1

dankdooker t1_j06jrrl wrote

This is true. It's people driven. Speculator driven. It's not business profit driven. There's nothing behind it. It's religious. If people believe in it, it will continue. It's all based on pure speculation.

2