Crypto Advocacy Groups Urge Dismissal of Case Against Bitcoin Mixer Samourai
Crypto advocacy groups are calling for the dismissal of the case against Samourai Wallet, a Bitcoin mixer, which was shut down by authorities. The developers of Samourai were arrested and charged with operating an illegal money transmitting business, but the advocacy groups argue that the case is unjust. They assert that the software simply facilitates transactions and that users maintain control of their funds, which does not make the developers money transmitters according to existing regulations. Amicus curiae briefs from groups like the Blockchain Association and Coin Center, however, were not accepted by a federal judge. These organizations emphasize the importance of privacy in financial transactions, paralleling it with everyday cash transactions. The advocacy groups are concerned that classifying the developers as money transmitters would set a dangerous precedent for how software developers are treated legally. They highlight that this legal confusion comes amid increased scrutiny of crypto services and mixed signals regarding privacy in digital transactions, indicating that privacy and innovation could be stifled under current laws.
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