A Los-Angeles-Bitcoin trader could be used for more than two years in prison, as they led an illegal money transmission business. You have made between 2014 and 2017, more than $ 300,000 per year with the trade of Bitcoin.
What makes a Bitcoin traders to jail?
The 50-year-old Theresa Tetley worked on LocalBitcoins.com under the name of “Bitcoin Maven” in Los Angeles, California. It has made transactions to the value of 6 million to 9.5 million dollars.
Tetley has already declared itself guilty of a non-registered money transfer business operated. Some of the transactions suggests that there could be a deeper Problem. A replacement for around 80 BTC was sold for only $ 70.000. This would mean a BTC price of only 875$. The prosecutors claim that it was, according to court documents, a proceeds from the drug trade.
Tetley provides a 30-month prison sentence for the crimes to be confronted, her defense team is pushing, however, a lower prison sentence of one year. The office of the Prosecutor also hopes to be able to 40 BTC (currently $ 270,000), 292.264 dollars and 25 gold bars seized.
In terms of their activities, the Prosecutor’s office in court documents, said that she “operated a black-market financial system in the Central district of California, which existed deliberately and consciously outside the regulated banking industry”.
Another illegal Bitcoin trading in America
While the case is the first of its kind in southern California, there have been other cases in which Bitcoin trader for illegal money transfer business were brought to trial.
A citizen of Detroit, was sentenced in December 2017 due to the operation of a money transmission business to 366 days in prison. Sal Mansy controlled Bitcoin transactions through a company that he owned and recorded as transactions in the value of around 2.4 million dollars over a time frame of 2 years.
Another case brought father-and-son Trading Team, Randall and Michael Lord before the court with additional allegations in connection with drugs. Last may you were met of 106 months and 46 months for the leadership of an illegal money business imposed. The son, Michael Lord, has also a charge of drug use is guilty of.
Despite all this negative news for Bitcoin is still on the way to mass Adoption.