Swan Bitcoin Cracks Down on Bitcoin Mixing Services: Accounts to be Terminated

Swan Bitcoin Implements New Policies

Swan Bitcoin, a prominent bitcoin exchange platform based in California, recently announced stricter policies regarding its interaction with bitcoin mixing services. In a letter to its customers, the company stated that accounts directly involved in transactions with coin mixing services would face termination.

The decision to implement these new policies was driven by pressure from banking institutions following a proposal by the Financial Crimes Enforcement Network (FinCEN) to increase bookkeeping requirements for transactions involving mixing services.

Explaining the Change

Yan Pritzker, co-founder and CTO of Swan Bitcoin, emphasized that the company supports coin mixing as a privacy service. However, due to the need to connect with qualified custodians and banks to facilitate fiat transactions, the company has no choice but to comply with the demands of its banking partners.

Pritzker stated:

"Game theoretically, this behavior is expected and obvious. Why should a bank have to do extra work to prove innocence when the government has been telling them for years that they don't want to see mixing?"

Community Backlash

Despite Pritzker's explanation, some members of the crypto community expressed their dissatisfaction with Swan Bitcoin's new policies, arguing that they contradict the exchange's ethos.

Samourai Wallet, a wallet known for its mixing services, strongly criticized Swan Bitcoin's actions, accusing the exchange of enforcing a proposal that is not yet law. They encouraged users to close their accounts or engage with mixing services to force the exchange to terminate them.

Samourai Wallet voiced their frustration:

"It's still a proposal, you lame f*cking p*ssies. Instead of defending yourselves, you're preemptively complying? Absolute losers."

Vlad Costea, host of the Bitcoin Takeover podcast, also condemned Swan Bitcoin's actions, labeling them as "dystopian" and an attempt to create an anti-Bitcoin compliance culture. Costea, who resides in Europe, expressed that if he had access to Swan Bitcoin, he would cease using the service immediately.

Share Your Opinion

What is your perspective on Swan Bitcoin's new account termination policies? We invite you to share your thoughts in the comments section below.

Frequently Asked Questions

What are some of the benefits of a gold IRA

The best way to save money for retirement is to place it in an Individual Retirement Account. It’s tax-deferred until you withdraw it. You have total control over how much each year you take out. There are many types to choose from when it comes to IRAs. Some are more suitable for students who wish to save money for college. Others are intended for investors seeking higher returns. Roth IRAs are a way for individuals to make contributions after the age of 59 1/2, and then pay taxes on any earnings upon retirement. But once they start withdrawing funds, those earnings aren’t taxed again. So if you’re planning to retire early, this type of account may make sense.

Because it allows you money to be invested in multiple asset classes, a ‘gold IRA’ is similar to any other IRAs. Unlike a regular IRA that requires you to pay taxes on the gains you make while you wait to access them, a gold IRA does not have to do this. This makes gold IRA accounts excellent options for people who prefer to keep their money invested instead of spending it.

Another benefit of owning gold through an IRA is that you get to enjoy the convenience of automatic withdrawals. This means that you don’t need to worry about making monthly deposits. To ensure that you never miss a payment, you could set up direct debits.

Finally, gold remains one of the best investment options today. Its value is stable because it’s not tied with any one country. Even during economic turmoil the gold price tends to remain fairly stable. It is therefore a great choice for protecting your savings against inflation.

How much should you have of gold in your portfolio

The amount of capital that you require will determine how much money you can make. A small investment of $5k-10k would be a great option if you are looking to start small. Then as you grow, you could move into an office space and rent out desks, etc. This will allow you to pay rent monthly, and not worry about it all at once. You only pay one month.

You also need to consider what type of business you will run. In my case, we charge clients between $1000-2000/month, depending on what they order. Consider how much you expect to make from each client, if you decide to do this kinda thing.

As freelance work requires you to be paid freelancers, your monthly salary won’t be as high as mine. Therefore, you might only get paid one time every six months.

You must first decide what kind and amount of income you are looking to generate before you can calculate how much gold will be needed.

I recommend starting with $1k-$2k in gold and working my way up.

What are the fees for an IRA that holds gold?

The Individual Retirement Account (IRA), fee is $6 per monthly. This includes account maintenance and any investment costs.

If you want to diversify, you may be required to pay extra fees. These fees vary depending on what type of IRA you choose. Some companies offer free check accounts, but charge monthly fee for IRA accounts.

In addition, most providers charge annual management fees. These fees vary from 0% to 11%. The average rate is.25% annually. However, these rates are typically waived if you use a broker like TD Ameritrade.

Is physical gold allowed in an IRA.

Not only is gold paper currency, but it’s also money. People have used gold as a currency for thousands of centuries to preserve their wealth and keep it safe from inflation. Today, investors invest in gold as part a diversified portfolio. This is because gold tends do better in financial turmoil.

Today, Americans prefer precious metals like silver and gold to stocks and bonds. Although owning gold does not guarantee that you will make money investing in it, there are many reasons to consider adding gold into your retirement portfolio.

Another reason is the fact that gold historically has performed better than other assets in times of financial panic. The S&P 500 declined 21 percent during the same period. Gold prices increased nearly 100 per cent between August 2011 – early 2013. During these turbulent market times, gold was among few assets that outperformed the stocks.

One of the best things about investing in gold is its virtually zero counterparty risk. You still have your shares even if your stock portfolio falls. But if you own gold, its value will increase even if the company you invested in defaults on its debt.

Finally, gold offers liquidity. This allows you to sell your gold whenever you want, unlike many other investments. Because gold is so liquid compared to other investments, buying it in small amounts makes sense. This allows you to profit from short-term fluctuations on the gold market.

Do you need to open a Precious Metal IRA

Precious metals are not insured. This is the most important fact to know before you open an IRA account. If you lose money in your investment, nothing can be done to recover it. This includes all investments that are lost to theft, fire, flood, or other causes.

Protect yourself against this type of loss by investing in physical gold or silver coins. These coins have been around for thousands and represent a real asset that can never be lost. You would probably get more if you sold them today than you paid when they were first created.

If you decide to open an IRA account, choose a reputable company that offers competitive rates and products. Consider using a third-party custody company to keep your assets safe and allow you to access them at any time.

When you open an account, keep in mind that you won’t receive any returns until your retirement. Don’t forget the future!

Statistics

  • Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
  • The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
  • This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
  • (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
  • Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)

External Links

bbb.org

forbes.com

finance.yahoo.com

investopedia.com

How To

The History of Gold as an Asset

From ancient times to the beginning of the 20th century, gold was used as a currency. It was universally accepted and loved for its beauty, durability, purity and divisibility. Due to its value, it was also internationally traded. Because there were no internationally recognized standards for measuring and weighing gold, the different weights of this metal could be used worldwide. For example, in England, one pound sterling was equal to 24 carats of silver; in France, one livre tournois was equal to 25 carats of gold; in Germany, one mark was equal to 28 carats of gold; etc.

The United States started issuing American coins in the 1860s made of 90% copper and 10% zinc. This caused a drop in foreign currency demand which resulted in an increase of their prices. The United States began minting large quantities gold coins at this time, which led to a drop in the price. Because the U.S. government had too much money coming into circulation, they needed to find a way to pay off some debt. They decided to sell some excess gold to Europe in order to do this.

Most European countries distrusted the U.S. Dollar and began to accept gold as payment. Many European countries began to use paper money and stopped accepting gold as payment after World War I. The price of gold rose significantly over the years. Today, although the price fluctuates, gold remains one of the safest investments you can make.

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By: Sergio Goschenko
Title: Swan Bitcoin Cracks Down on Bitcoin Mixing Services: Accounts to be Terminated
Sourced From: news.bitcoin.com/swan-bitcoin-to-terminate-accounts-interacting-with-bitcoin-mixing-services/
Published Date: Tue, 14 Nov 2023 05:30:03 +0000

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