Thread

If you think an LSP is “obviously not an MSB” you’ve never spoken to a lawyer with any sense at all. It may not be an MSB, and I hope it’s not an MSB, and I think it’s probably not an MSB, but speaking with any certainty about this is absolutely impossible. The law and regulations about this are not even remotely clear and do not consider any kind of system like bitcoin, let alone lightning. Don’t talk shit about others avoiding substantial personal legal risk.

Replies (9)

↩ replying to Matt Corallo
I read the guidance a few times and understood it as meaning non-custodial mixers are not covered. I had not read the statute itself. I also read through the DoJ argument here, but at minimum does not seem ridiculous. We'll have to see what a judge makes of it (or I guess a jury?). Also best to improve the law to make it unambiguously privacy friendly ... good luck with that, then we wouldn't need cryptocurrency in the first place.
↩ replying to Matt Corallo
I guess you read the CoinCenter bit but I was at least slightly confused on the state of things here, but Iiuc guidance is not binding. Anyway leaving this here in case anyone comes along this thread later
Coin Center
DOJ's New Stance on Crypto Wallets is a Threat to Liberty and the Rule of Law
Sudden DOJ charges against non-custodial wallet developers challenge long-standing U.S. policy on money transmission. It is regulation by criminal ...