Canadian government plans to introduce Bitcoin regulations

The Conservative government appears concerned that digital currencies could be used to fund terrorism.

On Tuesday (February 11), Minister of Finance Jim Flaherty tabled the 2014 budget, which describes Bitcoin and other virtual currencies as "emerging risks" threatening "Canada’s international leadership in the fight against money laundering and terrorist financing".

According to the budget plan, the government will introduce "anti-money laundering and anti-terrorist financing regulations for virtual currencies, such as Bitcoin".

The government also plans to apply the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to online casinos.

The Financial Transactions and Reports Analysis Centre of Canada, the country's financial intelligence agency, is set to get millions of dollars in new funding to implement these and other changes.

Meanwhile, Bitcoin users will continue to buy coffee, Indian food, massages, and yoga clothing with the currency.

Comments (7) Add New Comment
Mark
What a complete joke! CBC reported that condos in Toronto were being sold in bulk to offshore buyers who have never even visited Canada, yet Bitcoin is an emerging threat.

How many of the mainland Chinese who buy condos in Vancouver and leave them empty actually get their finances checked to find out exactly how they earned their money? Almost none.
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WinkDinkerson
If the Cons are going after Bitcoins using the same old scare tactics of 'terrorism' and 'money laundering', then Bitcoins are probably just a threat to big finance and big banking.
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Tim
How exactly is FINTRAC going to associate transactions within the bitcoin network with particular individuals let alone for specific purposes? It may be possible to associate addresses on exchanges that interface with the conventional banking system, but there is no limit to the number of addresses an individual can create. And that's even before considering "mixing" services that could be hosted off-shore and beyond regulatory powers.

Bitcoin is not the problem -- as a currency it reflects/mediates human activity in the same way that cash does.

What a waste of taxpayers money.
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Sierra
I agree, this is just another stab by big finance etc to hold on to their millions while making millions in interest. At the same time, those struggling to get ahead and be able to provide for themselves and their families are pushed that much further below the poverty line
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crusty clowne
Corporations, governments, big business... they will tolerate Bitcoin as long as they are making money from it or it isn't costing them too much money. If they start to lose any money they will stomp down on any alternate currency like an elephant on an ant. They have an attitude of entitlement and nothing will stand in the way of this.
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Mel
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criminal
Money laundering is a victimless crime. Consider this, in the Philippines before 2001 there was no such law. In fact the government was banned from getting any information from banks, or even stepping foot inside one due to their corruption no bank wanted the government near their money.

Now it's the other way around. You can't spend $1 without the government knowing about it. They want to micro manage your entire life and steal your money to blow on military adventures like Afghanistan, and funding nonsense like "NATO missile shield batteries" for the Ukraine so Obama and Prime Minister Derper can harass Russia.

"Terrorism" is a tired excuse. Nobody is buying it anymore. Real terrorists can just put a gun to a bank employees head in Pakistan after he walks out of the office at night and demand he makes them fake IDs and matching accounts or they will whack his whole family. They aren't interested in Bitcoin, they are too stupid because they are terrorists.
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