NEW: The arrest of Larry Harmon for an alleged connection to AlphaBay raises major questions: Do bitcoiners have a right to build privacy tech?
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Coinstar isn’t illegal. Concealing a source of funds or obfuscating a trail for personal privacy isn’t illegal UNLESS the funds are the proceeds of a crime. It’s only money laundering if the funds are illicitly sourced. Mixers are legal; money laundering is already illegal.
But then the burden of proving that money (including mixed coins) coming into exchanges isn't from illegal sources is placed upon the exchanges, isn't it? Accepting mixed coins could make the exchanges liable, so exchanges are expected to track the origin of coins, right?




