The first hearing in the US Supreme Court’s case involving the so-called crypto-currency Bitcoin is set for March 31, 2018, and the court will consider whether or not the US government is infringing on a person’s rights to privacy by targeting that currency as a means of money laundering.
Keywords judge judey sheindlins source Crypto Bits article A federal judge in Seattle on Tuesday heard a series of arguments from both sides of the Crypto Cash (CC) controversy.
In a case that has drawn attention for its focus on cryptocurrencies and anonymity, US District Judge David Cote of the Northern District of California is set to rule in favour of Bitcoin companies.
The court is currently reviewing whether Bitcoin is a form of money and thus protected by the US Constitution, or whether it is a virtual currency that should be treated as money and therefore a form protected by federal law.
The case has been closely watched by tech companies, law enforcement, privacy advocates and the general public.
In the past, Bitcoin has been used to facilitate illicit transactions, including money laundering, drug trafficking and other criminal activities.
It is the third case to challenge the legitimacy of the cryptocurrency, and it comes after the US Federal Reserve, the US Treasury and several US senators, including Democratic Senator Chris Coons, sent letters to the Federal Reserve asking for an explanation of how the US has been able to use the currency for its own economic purposes for more than a decade.
The judge, who was nominated by President Donald Trump, will hear arguments about whether Bitcoin should be a form and money that can be controlled and taxed in the same way as a traditional currency, which is defined by Congress as “any medium of exchange or commodity accepted or receivable by a person for payment of money, except a bank or other financial institution.”
The US Supreme court is expected to rule soon on whether Bitcoin constitutes a currency and, if so, whether the government is violating the First Amendment rights of people to privacy.
The Bitcoin movement has grown rapidly over the past few years, with many of its adherents advocating a decentralized and anonymous online payment system that has been likened to PayPal.
The movement has seen some prominent figures in Silicon Valley and Washington DC join in.
Senator Charles Schumer, a Democrat from New York, joined in the recent public support of the movement.
“We are proud to have the voices of those who support the Bitcoin movement, including our elected officials, in support of our shared goal of a more secure, more open, and more free world,” he said in a statement.
“The Bitcoin network is now used by more people than any other platform, and we must ensure that its users are safe online.”
Mr Cote will hear oral arguments on the legality of Bitcoin in March, when the US is set by the Supreme Court to decide whether or to invalidate the constitutionality of the so called Bitcoin Mining Tax Act of 2017.
In November, the government announced that it would begin taxing Bitcoin transactions in the United States.
The legislation was signed by President Trump after a six-year debate and was backed by the Federal Trade Commission, the Treasury Department and the Justice Department.
“Bitcoin has been the target of an attack on privacy, innovation, and a thriving market that threatens the security of our nation and its people,” said US Treasury Secretary Steven Mnuchin in a press release.
The Treasury Department is not commenting on the legal action it is pursuing.
The US Justice Department and US Attorney for the Northern Circuit in the Northern district of California did not immediately respond to a request for comment.