Money Laundering

Paypal, Skrill, Payza, Bitcoin, Second Life, World of Warcraft, Everquest ....

The government is naive, reckless or delusional if it granted licenses to companies such as Paypal, Skrill etc (non-bank money transmitters).  NY State is even more so, if it wants to license and encourage crypto currencies such as Bitcoin.  These government agencies are shamelessly trying to get on the bandwagon to look cool.  It takes a clear head and common sense to realize that these off bank channels will be utilized by criminals for money laundering.  Internet Gambling is illegal in the US.  Yet, these government agencies trust these non-bank money transmitters (especially crypto currencies such as Bitcoin) that they will not facilitate Internet Gambling and other crimes?

Here is why you should avoid off bank channels (or extreme caution if you must use them):

• There is no consumer protection if the other party scams you
• If the other party scams you, you cannot go to court and you have no recourse because these companies are protected by binding mandatory arbitration
• Your money is not protected by FDIC insurance or any other government protection
• Because these non-bank transmitters sell your personal info, you become target for crimes such as kidnap, identity theft etc (Privacy Policy is unenforcible because of arbitration protection)
• By using these non-bank transmitters, you will be supporting and encouraging Internet Gambling, drugs, human trafficking etc

Do you play online games? If you exchange real money for virtual currencies (in online games such as World of Warcraft, Second Life etc), you are supporting money laundering!