‘Wild West days are over’ as court of appeal overturns a ruling that declared Bitcoin is not money

The sale of Bitcoin for profit is now considered unregulated money transference and needs to be registered with Florida’s Office of Financial Regulation, according to a Miami court.

The Miami Herald has reported that the Third District Court of Appeal has overturned a previous decision that dismissed felony charges against Michell Espinoza, who was charged with illegally transmitting and laundering $1,500 worth of Bitcoin.

Detectives in 2014 discovered Espinoza had been selling Bitcoin through LocalBitcoins.com. Espinoza was advertising the sale of Bitcoins only to be approached by an undercover detective.

Espinoza was arrested in the lobby of a Miami Beach hotel alongside Pascal Reid. Reid pleaded guilty to acting as an unlicensed broker and was later sentenced to probation. As part of his deal, he agreed to teach law enforcement about Bitcoin.

Charles Evans, a Barry University economics professor, served as a defense witness and testified that Bitcoin is not actual money. He claimed, “Basically, it’s poker chips that people are willing to buy from you.”

Several months later, Circuit Judge Teresa Mary Pooler concurred with Evans’ sentiment and ruled Bitcoin was not “tangible wealth” and “cannot be hidden under a mattress like cash and gold bars.”

Pooler also commented, “Bitcoin has a long way to go before it is the equivalent of money.”

However, this decision has now been overturned.

Reportedly, Espinoza’s “Bitcoins-for-cash business requires him to register as a payment instrument seller and money transmitter,” under Florida law.

Espinoza’s charges have now been reinstated, though no trial date has been declared.

Evans later stated, “The Wild West days are over. The regulators and prosecutors are trying to bring order to all the chaos – and this is part of the process.”

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