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Bitcoin Virtual Cash Gets Money-Laundering Rule

Sara Eisen takes a look at Bitcoin, what it is and how it's used. She speaks on Bloomberg Television's "Market Makers." (Source: Bloomberg)

Why would anyone use Bitcoins?--

Bitcoin Virtual Cash Gets Money-Laundering Rule - "The FBI report last year said Bitcoin attracts cybercriminals who want to move or steal funds. "Bitcoin might also logically attract money launderers and other criminals who avoid traditional financial systems by using the Internet to conduct global monetary transfers," the report said. An FBI spokeswoman declined to comment when asked about the agency's concerns regarding virtual currencies. For now, the size of the bitcoin market is so small that it could be difficult or costly to move and exchange large amounts of illicit funds. Another danger: extreme price fluctuations. The value of a bitcoin rose to more than $60 a unit from less than $49 on one exchange following the release of FinCen's new guidance—a move that Mr. Garzik attributed partly to a new level of certainty and legitimacy that federal recognition attaches to bitcoin transactions."

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