Is Bitcoin Really So Evil That Sen. Chuck Schumer Must Shut it Down?


Sen. Charles Schumer, last seen attacking FourLoko, Joose, and "some of the other" caffeinated alcoholic beverages that he says are known as "blackouts in a can," is teaming up with Attorney General Eric Holder to attack Bitcoin, the peer-to-peer money substitute that is supposedly a haven for the buying and selling of illegal drugs online:

The only method of payment for these illegal purchases is an untraceable peer-to-peer currency known as Bitcoins. After purchasing Bitcoins through an exchange, a user can create an account on Silk Road and start purchasing illegal drugs from individuals around the world and have them delivered to their homes within days.

More here.

On June 1, Reason's Katherine Mangu-Ward received (and published) this email from a Bitcoin developer:

Attempting major illicit transactions with bitcoin, given existing statistical analysis techniques deployed in the field by law enforcement, is pretty damned dumb.  🙂

The developer notes also "if Silk Road truly permits deposits on their site, that makes it even easier for law enforcement to locate the 'hub' of transactions." (Side note: I would have expected a Bitcoin guy to have evolved beyond emoticons circa 1992.)

So, is Bitcoin good or bad or indifferent? Here's a video featuring Jerry Brito of Mercatus telling you everything you need to know about Bitcoin but were afraid or embarrassed or too high from illegal drugs you bought using bitcoins to ask: