US authorities seized the accounts of a Bitcoin digital currency exchange operator, claiming it was functioning as an “unlicensed money service business,” court documents showed Friday.
A warrant revealed by the Department of Homeland Security showed a judge signed the seizure order Tuesday for the accounts of Mutum Sigillum LCC, a subsidiary of Japan-based Mt. Gox, the world’s biggest Bitcoin exchange.
The warrant said the account based on the electronic payments platform Dwolla and held at Veridian Credit Union “was used to move money” as “part of an unlicensed money service” in violation of US law.
The US law enforcement action creates doubts about the future of Bitcoin, a mysterious digital currency which saw a flurry of interest this year which some called a bubble.
- Wiki and Josh