This week’s guidelines from FinCEN introduce another regulatory thorn in bitcoin’s side.
Law enforcement officials boosted Bitcoin’s legitimacy, testifying in the US Senate that existing regulations are enough to control those who misuse the currency. Meanwhile, Bitcoin shot up to new record highs (though some worry of a short squeeze).
The San Francisco-based Bitcoin exchange has called a halt to trading, ostensibly on a temporary basis. This is not the first time this has happened — Tradehill previously shut down in 2012 due to regulatory issues.