Slashdot Mirror
California Looking To Make All Bitcoin Businesses Illegal
An anonymous reader writes A new law has been proposed in California that would effectively outlaw all Bitcoin-related businesses that don't first get "permission." The details are vague within the bill itself, which is part of what makes it dangerous. If you're doing anything with virtual currency, you may have to go line up in Sacramento to get permission first.
If you look at the state, it's deeply in debt and politically utterly dysfunctional. Educational performance has fallen to nearly the bottom of the nation. The infrastructure is falling apart. Taxes are sky-high. The prisons are overcrowded and an embarrassment to the nation. Everything is regulated, from putting a shed in your backyard to how the hens are kept that produce your eggs. People and businesses are moving out of the state if they can.
California weather and scenery will mean that it will always remain a playground for retirees and the wealthy. And its widespread crony capitalism will keep some corporations around. But anybody with half a brain, and anybody who actually wants to innovate and accomplish something will move elsewhere.
From the text of the bill:
26004. The following are exempt from the licensing requirement described in Section 26002:
(6) A merchant or consumer that utilizes virtual currency solely for the purchase or sale of goods or services.
This bill has nothing to do with people who wish to buy or sell goods or services in bitcoins. It is intended to regulate bitcoin exchanges, presumably to avoid another Mt Gox scenario. The bill is still in its very, very early stages, and so I'm sure there are problems with the verbiage. But the headline and summary are absolute bullshit, intended to drive readers into an anti-government rage, and thus generate clicks.