Some Money Launderers are More Equal than Others Part 2 – CEO of BitInstant is Arrested

No man escapes when freedom fails, the best men rot in filthy jails. And those who cried, “appease appease” are hung by those they tried to please.

– Anon

Last May, I wrote an article titled: Some Money Launderers are “More Equal” than Others, which likened the U.S. government to the pigs that ruled the roost in George Orwell’s classic novel Animal Farm. In that article, I decided to compare the way the “authorities” used money laundering laws against Liberty Reserve, versus the way they tip-toed around massive money laundering for Mexican drug cartels that HSBC engaged in. Since I wrote that article, JP Morgan has been fined tens of billions of dollars for a cornucopia of criminal activities. Meanwhile, we have yet to see a single executive arrested or put behind bars. Why?

I think it is quite obvious. The United States’ “economy” has devolved into nothing more than a state-sanctioned criminal racket. A handful of oligarchs and the corporations they control, are immune from prosecution no matter what they do. They have a complete and total license to steal with impunity. Meanwhile, if a peasant is caught stealing 10 dollars or found with a dime bag of weed, it is jail for life. ‘Merica.

So now I turn your attention to the breaking news that Charlie Shrem, the impressive, young and very talented kid behind Bitcoin exchange BitInstant, has been arrested. I had a chance to meet Charlie in person last summer at the Inside Bitcoins conference in NYC (I will be once again attend their next conference April 7-8). In my wrap-up article on the conference I wrote:

The event kicked off with keynote speaker Charlie Shrem, founder and CEO of BitInstant. For those who aren’t familiar with it, BitInstant is one of the more convenient ways to acquire bitcoins for cash. Incredibly, he is a mere 23-years old and started the company while still enrolled at Brooklyn College. He shared his experience of pitching venture capital firm after venture capital firm, and his subsequent rejection by each and every one of them. He eventually convinced his mother to seed him the $10,000 needed to start the company.

Shortly after the speech, I was able to chat with Charlie in the hallway and he couldn’t have been nicer. He immediately pointed to my “Bought with Bitcoin” shirt and told me he wanted one. The shirt’s in the mail man.

In light of the above, it makes sense that the U.S. government wants him in jail. It has become quite clear that the “authorities” are intent on either putting all our greatest minds in jail, such as Barrett Brown, or driving them to suicide, as was the case with Aaron Swartz, or forcing them into exile, as is the case with whistleblower-hero Edward Snowden. Meanwhile, it is open season for oligarchs to hunt peasants. USA! USA!

From Time:

Charles Shrem, who ran a New York-based Bitcoin exchange, was arrested Monday and charged with engaging in a money laundering scheme with a user of Silk Road, the notorious deep web black market.

In the federal criminal complaint, the Southern District of New York charges Shrem, the 24-year-old CEO of BitInstant, with three counts, including one count operating an unlicensed money transmitting business, one count of money laundering conspiracy and one count willful failure to file suspicious activity report.  Robert Faiella, a Silk Road user who operated under the name “BTCKing,” was charged with one count of operating an unlicensed money transmitting business and one count money laundering conspiracy.

Shrem is a well-known advocate for Bitcoin, and is a part-owner of EVR, the only New York City bar which to accept Bitcoin. He was such an evangelist for the currency that he earned mythic status among proponents of the virtual currency in New York. “Charlie wears the [passwords] to his bitcoin account imprinted on a ring around his finger,” one Bitcoin insider told The New York Observer last April. “I heard his co-workers call him ‘four-finger Charlie’ because they joke people will want to cut his finger off to get the key. If the price keeps going up, he could have a million dollars in that ring!”

Shrem’s company BitInstant is backed by well-known Silicon Valley investors, including Cameron and Tyler Winklevoss. The exchange has been offline for many months. A class action suit was filed against Shrem’s company, BitInstant, in August, alleging misrepresentation of the speed of its services.

Full article here.

In Liberty,
Mike

 

Like this post?
Donate bitcoins: 1LefuVV2eCnW9VKjJGJzgZWa9vHg7Rc3r1


 Follow me on Twitter.

4 Comments

 Add your comment
  1. Look into Ethereum and Mastercoin. I hear its and attempt at decentralized exchanges and so much more.

  2. this was so predictable … i tried to warn you.

    stick with gold and silver.

  3. HSBC Laundered Money for Drug Cartels and Terrorists – No individual responsible

    How HSBC hooked up with drug traffickers and terrorists. And got away with it

    Read more: http://www.rollingstone.com/politics/news/gangster-bankers-too-big-to-jail-20130214#ixzz2rddRo3Mb

  4. The good die young or rot in the prison for profits matrix
    The goons are busy so far in 2014 but don’t worry sheep are to busy talking about super pot bowl n Beyoncé screwing jayz illuminati husband on stage

Leave a Reply

8 Trackbacks

  1. Schindler’s List Producer States: “I Never Feared My Government Until Now” | A Lightning War for Liberty (Pingback)
  2. Blast from the Past – Adam Kokesh Interviews Charlie Shrem (October 2012) | A Lightning War for Liberty (Pingback)
  3. An Open Letter to Sam Zell: Why Your Statements are Delusional and Dangerous | A Lightning War for Liberty (Pingback)
  4. Hyper-Sensitive Illinois Mayor Orders Police Raid Over Parody Twitter Account | A Lightning War for Liberty (Pingback)
  5. How Chinese Oligarchs Used Fake Trade Invoices to Launder Almost $1 Trillion Globally | Liberty Blitzkrieg (Pingback)
  6. Some Leaks Are More Equal Than Others – Hypocritical D.C. Insiders Line up to Defend General Petraeus from Prosecution | Liberty Blitzkrieg (Pingback)
  7. The War on Encryption and Bitcoin – Nothing to Do with Terrorism, Everything to Do with State Control | Liberty Blitzkrieg (Pingback)
  8. Billionaire CEO of Blackstone Trolls the American Public – He Doesn’t Get Why People Are Angry | Liberty Blitzkrieg (Pingback)