There have been other brushes with judicial systems. The French have found Karpeles guilty of hacking and imposed in absentia a one year jail term. The US Justice Department has expressed interest in the non-traceable money exchanges. In its prosecution of the black market Silk Road a US$10 million fine was slapped onto Mt. Gox. It has been reported that a US federal prosecutor vacationed in Tokyo shortly before the former mogul was arrested and then was seen shortly afterwards also vacationing in Slovenia, the home of BitStamp.
People who lost money, virtual or real, on the Mt. Gox fiasco are claiming a total of $22 billionUDS in losses. Three investors are claiming a total of $21 billion in losses.
Governments are generally wary of the growth of virtual money because it allows anonymous exchanges. It becomes impossible to check transactions for taxable transactions and money laundering. During the initial flush of excitement over bitcoins, there was speculation that criminals and terrorists could use the system to finance covert operations.
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