Monday, November 18, 2013

Homeland Security Calls Bitcoin an "Emerging Threat"

Eric Blair
Activist Post

The popularity of the digital currency Bitcoin is exploding. Today's price spiked over $600, nearly double what is was just over a week ago. It seems the U.S. government now wants into the party.

Today several federal agencies weighed in on the decentralized currency. While most agencies acknowledged its legitimate uses, the Department of Homeland Security referred to Bitcoin as an emerging threat.

In a letter to the Senate Committee on Homeland Security and Governmental Affairs, DHS wrote that they have "been actively investigating the emerging threat and criminal exploitation of virtual currency systems that further transnational criminal operations."

DHS blamed "anonymity in cyberspace" and called for an aggressive posture to deal with Bitcoin and other crypto-currencies.



"The anonymity of cyberspace affords a unique opportunity for criminal organizations to launder huge sums of money undetected," they wrote. "With the advent of virtual currencies and the ease with which financial transactions can be exploited by criminal organizations, DHS has recognized the need for an aggressive posture toward this evolving trend."

Besides targeting suspected black markets like Silk Road and so-called transnational criminal networks with an aggressive posture, the DHS also targets all virtual currency platforms and exchanges.

"The multi-prong strategy employed by DHS also targets the virtual currency platforms and the network of virtual currency exchange makers."

Homeland Security seeks greater collaboration with law enforcement and private sector partners to reign in the growth and sophistication of cybercrime conducted in virtual currencies.

See their full letter with recommendations along with notes from other agencies below:


One can gather from their statement that they view financial anonymity itself as a cybercrime. Bitcoin is considered a disruptive technology to the current banking system for many reasons, privacy chief among them. The ability to store accrued labor (wealth) privately, out of the reach of government or bankers, is now being treated as money laundering.

As politicians around the world raid private bank accounts and pension funds to pay their debts to bankers, Bitcoin provides cover for citizens. As central banks race to devalue their fiat currencies -- hurting savers and consumers -- Bitcoin offers refuge. As commercial banks continue to raise fees and reduce services, Bitcoin makes them look foolish. As Wall Street continues to fudge numbers to confuse investors, Bitcoin provides transparency with an absolute supply and open transaction log.

Bitcoin solves many problems of the current financial system. That is why its popularity is skyrocketing, not because people can buy weed online with it.

But DHS is right, Bitcoin is an emerging threat -- a threat to the establishment's theft of the public -- which they clearly aim to preserve.




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43 comments:

Anonymous said...

Yeah! an emerging threat to the control grid. Don't these meat-heads understand
that there is no central server or repository for Bit Coin. They can't regulate it. The
servers will just move to countries beyond the reach of US law...

Renard Moreau said...

[ Smiles ] Finally something that the US government cannot control!

Unknown said...

The Federal Government trying to regulate Bitcoin is like a high school kid performing neuro surgery.

Anonymous said...

"The anonymity of cyberspace affords a unique opportunity for criminal organizations to launder huge sums of money undetected," You know, like the US government does.

Seen2013 said...

Read with heavy sarcasm:

Oh no do not enter the Bitcoin market, it needs to be regulated because it can be used for laundering, and we need to centralize it to prevent that. We only have the capacity to and data records of what your physical fiat currency purchases, and we already track your every move over the internet/digital world. Oh don't enter that market, we can't handle exchanging credit for cashless credit that must through peer-review calculate the units of cashless credit on the market and prevent double-spending, so we can avoid hyperinflation. Oh, the agony of going CASHLESS over an inevitable CLOUD system that we CAN't track your navigation, physical fiat purchases, and etc IN the system.

Oh no of course, we can track everything else in cashless, paperless, and etc digital world. But, we can't track that.

Anonymous said...

Sorry, Eric, you are falling for a bit of reverse psychology. Most definitely, the existence of a currency that can't be closely monitored and controlled is the highest possible level of anathema for TPTB. This is precisely why they were actively suppressing precious metals (esp. gold, of course) for decades and now want to eliminate cash altogether.

Look at the amazing the timing of Bitcoin mania. In a recent article on Armstrong Economics we are informed that Larry Summers delivered a speech at the IMF Research Conference on Nov. 8 which called for the establishment of negative interest rates (to keep the public from "hoarding" their cash) and an electronic currency.

Armstrong reports that Summers' speech is "being hailed as brilliant, succinct, and a ground-breaking presentation that explained what many say is the most pressing economic matter of our time." Great, huh? Furthermore Armstrong notes that "The speech is being widely praised of course by Paul Krugman who never saw other people’s money as their property but really just a toy of the state for their manipulating pleasure." Right on, Krugman! OK, I'm being facetious, but we get the point.

If Bitcoin wasn't looked upon by TPTB as a conditioning tool, then they never would have run so many stories on its spectacular rise in the MSM. This is classic modus operandi - ignore the revolutionary idea if it is a threat and then use all available resources to excise it when the time is right. That's not what we've been witnessing. Instead, the mainstream generated Bitcoin mania has become Facebook-esque. Now there are expectations that it will circulate in that Libertarian ideological bastion known as China?

There are other clear signs the model of technocracy is getting its big rollout right now Once again, I urge Activist Post to do a write up and post of Patrick Wood's recent youtube presentation on Technocracy and the Trilateralists. (Note that Summers is a Trilateralist.)

It's time to put the narrative together. We have no time to waste. Aaron Russo was right, we get too distracted with individual causes/stories and lose sight of the bigger picture.

Anonymous said...

9/11 happened and a monster was born... it's ostensible goal: Security; It's actual goal: MOAR FUNDING

Bitcoin is (if anything) an antidote to the real threat - which is corporate-state authoritarian-overreach... a major exponent of which is Homeland Security.

Anonymous said...

The minute they clamp down the Internet.....
and to keep the Matrix intact they will have to at some point
is the minute Bitcoin ceases to exist

Anonymous said...

From AP's "must read from around the web section": BERNANKE: Bitcoin 'May Hold Long-Term Promise'

Bernanke is praising Bitcoin? When the fiat pope kisses Bitcoin's paw, what other indicator does one need that it's being used as a psyop tool?

Right now many Bitcoin holders are experiencing massive dopamine spikes in their nucleus accumbens. Does this kind of enthusiasm reflect a rational attempt to escape the Matrix? Or maybe the old "gold having intrinsic value" notion has been replaced with a form of Big Brother tulip mania. Caveat emptor, profit may come but not freedom.

Anonymous said...

Anonymous: Get your own blog and write about it then?

Dat Sneefa said...

a bottle of lotion is a threat to these people

Anonymous said...

While I believe the Bitcoin philosophy is a good one...can't the government shut down the internet, thereby preventing you access to your Bitcoin wallet? With their monitoring the internet, can't they also "see" your online transactions using Bitcoin?

Anonymous said...

"the emerging threat and criminal exploitation of virtual currency systems that further transnational criminal operations"

They didn't call bitcoin an emerging threat, they called "virtual currency systems that further transnational criminal operations" an emerging threat.

Blowing their response out of proportion will give them leeway to make a less severe, but still inflated, policy.

Anonymous said...

About time, I am hoping that monetary system will collapse. Yeehaa

Anonymous said...

Au Contraire... Talk about cognitive dissonance:
Bill Still's latest report:

Still Report # 126 - Feds Love Bitcoin

https://www.youtube.com/watch?v=ipGIOip5zc4

Anonymous said...

Bill Still's video is filled with untruths he heard in the media, like that Silk Road sold weapons. He's also wrong about scarcity. Yes, only a certain amount will ever be mined, but Bitcoin is almost infinitely divisible...Next, he's wrong that they can't be anonymous. Clearly he hasn't used them or investigated it beyond finding a video clip to back up his argument. Finally, the computing power used by the bitcoin network also gives it its strength. Will it make some people wealthy for being savvy enough to innovate, yes. So what?

Anonymous said...

....homeland insecurity....nuff said.

Edwin Vieira said...

"They" do not have to regulate the BitCoin system itself. They will regulate the users, by requiring reports on BitCoin accounts and transactions, for the purpose of collecting various taxes, in the same manner as foreign bank accounts must be reported, and as FDR required reports on private gold ownership as the prelude to confiscation. "They" may not have control of the BitCoins themselves; but they do have control over the people who use them.

Anonymous said...

I wrote several weeks back that Bitcoin will get shut down just like NORFED/Liberty Dollar did just a few years ago. It's just a matter of time before the banksters strike. There's not a chance in hell that they will sit by quietly and watch a threat grow too large.

There's only one way out of this Matrix folks. A revolution. Not a violent one, but rather a revolution of our minds. We really need to evolve beyond money, politics, and poverty, and we'd better start soon.

SNAKEBELLY said...

Hey DHS, back off! Your issue is with perceived foreign terrorist threats and enhancing TSA fondling techniques. Let the Department of the Treasury worry about bitcoins.

Anonymous said...

DHS is the emerged national security threat...

Anonymous said...

Bitcoin is freedom. That's why homeland security hates it.

Anonymous said...

Phuck the DHS. What a bunch of friggan terrorists! They ARE the threat !

Anonymous said...

Why is laundering money a greater crime than acquiring the money through criminal activities?

Anonymous said...

There are no bitcoin servers, its a peer to peer crypto currency. Everyone that has the client installed on their computers also has the entire blockchain of every transaction, every bitcoin. It cannot be destroyed without blowing the entire planet back to the stone age.

Oh, and, there are about 300 other "alt-coins" or other crypto coins out there right now that are just waiting to take over if they ever manage to crash bitcoins.

btw: if you are not into crypto currency then you are one of them.

desertspeaks said...

uh huh, it's a threat to the PRIVATE FOR PROFIT CORPORATION KNOWN AS THE FEDERAL RESERVE!

Anonymous said...

Why is the Government the only one who is allowed to have monopolies? ei banking, education, passinger RR, postal system, now healthcare, and PRIVACY. I mean the 2nd amendment is for the people not our Government, the people should have privacy and the government should only pertain to national security.

rikhard said...

look guys, don't you see that this is just another NWO PRS (problem, reaction, solution) psyop?

all they want is a cashless society that would increase their control over us all and bitcoin is the answer....

remember that bitcoin isn't an anonymous currency!

Seen2013 said...

Anonymous said...
"Sorry, Eric, you are falling for a bit of reverse psychology."

While my initial sarcastic post should have made it known, I agree. I think people need to research crypto-currencies. I do know for a fact early in Greece's financial crisis one was offered to it as an alternative currency, and it mirrored Bitcoin quite well with maybe some exceptions. In any case, what truly caught my attention was that the Rothschilds not only played an intricate role in creating and promoting it, one was even one of this particular one's board members. Look it up.

Bitcoin is specifically designed to be cashless via an internet/digital currency in which peer-reviewed calculation of units in circulation dictates value, and it seeks to prevent double-spending. In many ways, it attempts to mimic the Gold and Silver standard without being redeemable in either to the best of my knowledge.

This means it's cashless, and it's digital attributes tie into Biometrics, National ID, and etc that once firmly cemented doesn't allow users to pull out after the transition. Peer-reviewed is essentially a central bank. Control the peers, you control the currency, which is precisely how the Board of Governors operate.

So, I want to get this straight. Our goal to prevent a Cashless and Regulated human capital and resources Police State is to promote a Cashless Currency that inevitably operates on a Cloud system to track the units in circulation and etc helping to normalize a big piece for the transition of stage 4 roll out?

Anonymous said...

"the price spiked over $600, nearly double what is was just over a week ago" - duh, are you people that stupid not to see bitcoin for the fraudulent bubble that it is. Said it before, and say it again - bitcoin is a fake, a fraud, and a scam - the price is driven by nothing more than ga-ga eyed greed. Now, on the other hand, I have some investment grade tulips....

Anonymous said...

And BTW, try buying some Maple Leafs with bitcoin - good luck.

Anonymous said...

Hey US government! Either give us a FREE way to transfer money online that cuts the banks COMPLETELY out of the loop or shut the fuck up alright? Moving to a digital economy that gives banks a % of every single transaction is NOT an option! You wouldn't let them take a % of every cash transaction, why would you think it sensible for digital transactions?

Anonymous said...

Speculation in a pyramid system on a currency not backed by gold, silver, a solid resource, or anything will have to burst sooner or later or only a few will be able to get some as too expensive like actual goal, many already lost those bitcoins accumulated stolen by hackers.

Dean Striker said...

This post is loaded with good solid information, which runs WAY beyond whatever issues there might be with Bitcoin... or not.
It began with the Constitution creating this GOVERNment of Force and handing it powers way beyond the pale, of which one of the worst was putting FedGov in full control of "money" and making competition supposedly "illegal".
Skipping to 1960, calling "money laundering" illegal, allowing Gov to seize property with little or no justification, then the Patriot Act, DHS and all that has followed.
All that, and more, brings us to Bitcoin and others which are sorely needed to counteraction the woes of fiat money having been forced upon the populace.
So I am putting this on my website and Sharing around. Those who are in love with tyranny will never get it, but there are those of us who can THINK.

Anonymous said...

If they think Bitcoin is a threat, they are going to collapse when they figure another crypto currency MYU bit.ly/1fTzake , like bitcoin but does not require the Internet. Even if they switch of the Internet they cannot kill it...

Anonymous said...

Well that's bitterly ironic coming from a known NWO luciferian murdering organization. All the "awake" souls see the new homeland stasi as the threat already!

Anonymous said...

Did anyone follow the senate panel review? The US Government praised Bitcoin and the potential uses for good. The general consensus was that "emerging technologies like bitcoin (it was compared to cell phones/internet/e-mail) can help the U.S. stay on top in innovation if we can work together to help it thrive, but at the same time we want to mitigate the potential uses for harm". From what I saw, I think the US government is doing the right thing and anyone with half a brain who is willing to put effort understands this as well. The biggest concern was in protecting consumers against fraud and they said that having these technologies is great to decrease transaction fees for consumers. If you think that US government is stupid to not recognize the great potential of this technology while maintaining a watchful eye and working in mitigating potential fallout then you need to do a bit of research. Go to CSPAN where the last two days they have aired on live television the discussion of getting to understand this new technology. In the same manner it would greatly help if those of us who support bitcoin can help keep help mitigate the bad, i.e., money laundering, tax evasion, murder for hire, and a few other negative impacts. It is up to us, the international public to make or break the currencies reputation like the silk road did.

Anonymous said...

Nice to see Dr. Edwin Vieira weigh in on this issue. Vieira is a renowned constitutional scholar and author of a seminal book on the US monetary system.

It's possible to simultaneously support decentralized currency models and maintain an ability to recognize an establishment threat or play. Life isn't always an exercise in polar opposites.

Einstein said it best. We can't solve problems by using the same kind of thinking we used when we created them.

Anonymous said...

What is bitcoin? I dunno. Alternative currency or electronic Mark of the Beast?
All I know is that bitcoin is rapidly increasing in value just like any federal reserve directed bubble and gold and silver are being crushed despite incredible demand.
The Senate praises bitcoin, mandated vaccines and Obamacare.
TPTB do not hate bitcoin- they are promoting it.
TPTB hate when you use cash to buy organic food from a Farmer's Market. They especially hate it when you use gold/silver to purchase organic food from independent farmers.
The FDA hates it when you buy and consume raw milk because it is so dangerous that more than a billion Indians on the sub-continent consume raw milk virtually without incident.
Who is Krugman?
Ph.D. Economist and Professor at Princeton University. Opinion writer for lthe propaganda mill (NYTimes). Received the Nobel Prize in Economics, the prize having been established by the Swedish Central Bank and thereafter folded into the Nobel committee.
The entity which you continue to misname as your government- is actually United States Incorporated.
Now, go back and reread.

Anonymous said...

i went to disney world this year..they had personalized cards to enter the parks..you flash in against a sensor and simultaneously place your finger on a detector that matches your fingerprint to the card..its supposed to be for quicker access to the park, but anyone with a brain knows its the government and NSA keeping track of every person alive..the world is a scary fucking place

Causal Observer said...

Require reports under threat of what?A Bitcoin transaction is one trivial step away from complete anonymity. How will the TPTB enforce their bluff? The examples you bring are apples to bitcoin oranges , from another age, leaving paper and other trails unlike properly anonymized bitcoin.

Anonymous said...

The depertment of homeland security is filled with criminals and terrorists. They are the real threat.

Its true an internet "kill switch" could disable bitcoin so maybe its time to begin more local "mesh networking." There's localbitcoins.com where people can meet in person and establish the rapport with local people and then begin set up a mesh networks outside of the internet.

Even "town scripts" would be fine with me as an alternative if bitcoin was no longer available. As long as people in the town have their needs met I'm happy. If I had to travel maybe I would look for situations and locations that would accept gold and silver coins. It would take some research but anything is better than supporting this fraudster money cartel of klepto-parasites a.k.a. the new world order

Anonymous said...

The Bitcoin currency is uncontrolled, therefore it is unpredictable. Very soon this currency will be illegal or Non-refundable. The US government has no control over this currency, i mean you dont pay tax on the currency, and you can have money that the government can never take from you. Dangerous currency for the government

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