Root Admin MrD Posted May 26, 2013 Root Admin Share Posted May 26, 2013 Hello everyone, Unfortunately since friday, when the LibertyReserve website was not accessible, some rumors about the owner being arrested in a FBI operation started to spread in the digital world. Now is confirmed that Arthur Budovsky Belanchuk, the owner of Liberty Reserve, has been arrested in Spain for money laundering.This was revealed by a joint investigation by the Spanish and US police agencies. Libirty Reserve's main domain - libertyreserve.com is not showing the original site, its pointing to a sinkhole (internet gate to analyze all the incoming traffic). The domain was transferred on May 24,2013 to point to shadowserver.org's name server - a server used by the US Governments to seize a website that has did an online fraud. Check your for yourself here - http://whois.sc/libertyreserve.com One of many LR customer, worried about his funds, contacted LR and was told that they will not be closing down but are taking a break and that LR will be back "new and better" and finally said that funds will stay there , with no reduction or increase in value. This sounds too good to be true as we've all seen in similar cases - e-gold.com for example it takes years for the goverment to return the funds (actually what remains from the funds after all the lawers and proesecutors are paid) You can read more about this on TicoTimes , BitcoinMagazine or BehindMLM Have you lost any funds in LibertyReserve ? I have had several hundreds. What you do you think is going to be the future of e-currencies industry after this terrible news? Moving more into bitcoins ? Wait your opinions. Link to comment Share on other sites More sharing options...
forex35 Posted May 26, 2013 Share Posted May 26, 2013 Wow. I feel sorry for the people who lost money in liberty reserve accounts... I think bitcoins will have the same fortune in futere... perhaps not the coins, but the exchangers will be restricted through goverments, so the will become worthless perhaps... Link to comment Share on other sites More sharing options...
Root Admin MrD Posted May 26, 2013 Author Root Admin Share Posted May 26, 2013 How to get your money back from LibertyReserve I spend the whole morning reading forums and I was quite shocked to see the amounts people keep in their e-currency accounts. While some were keeping several dozens dollars there are users that complain of loosing thousands and up to hundred of thousands dollars. And the sums may be real as Liberty Reserve was the most traded' e-currency in the latest years. You could practically purchase anything from tangible goods like cars to hosting, bets on casinos, forex trades or investments. If you have had money in Liberty Reserve read bellow to find out what's going to happen next. E-bullion case The main problems of this shady payment processors is that are owned by a single person and if something happens to the owner (getting sick, get arrested) then the whole business is shut down. I don't know how many of you recall but back in 2007 or so there was a payment processor called E-bullion run by a respectable lady which have been shut to death by her husband. The authorities seized $24,000,000 in gold bullion and $60,000 cash What happen next? The website was closed and no one got any of the funds back. I have had an account on E-bullion and all the profile details have been filled right including postal address and email, but I've never received any letter regarding my funds. E-gold case E-gold was one of the most used e-currency for several years until was shut down by the US Gov. All the funds have been seized by the federals and one Value Access Plan was created so legit users could get their money back. Or what will remain after all the bills with lawyers, prosecutors and administrators will be paid. As all my account details of the account were correct I've received several emails and letters informing me about the case and hows the process going. The good news is that while some of the funds will be spent on bills many accounts have had incorrect contact details and the owners could not be reached so they cant claim the funds, which will be redistributed in the pool. So i expect that legit users will receive most of the funds back. Liberty Reserve case As you could see from the two analysed cases there are differences and similarities with Liberty Reserve. Since 2011, It seems the owner of Liberty Reserve started to send big chuncks of money into bitcoins while other funds are kept in bank accounts. This could help him continue the business as bitcoins can not be seized (atleast not yet) but for that to come he needs to be out of jail. And this is quite difficult as he was on probation after he was jailed in US back in 2006 for running a financial business without proper license - GoldAge. IF the authorities from Costa Rica will seize the bank accounts of Liberty Reserve then will need to create a plan to return the funds back to users. However the authorities in South America are known for not rushing in doing anything so the waiting may be quite long and disturbing. Conclusion There are chances to see your money, or atleast some of back but for this to happen is very important to have all your account details correctly filled. Otherwise you could not be reached and all the money are lost forever. Also make sure you verify the email associated with Liberty Reserve for updates and respond accordingly. Link to comment Share on other sites More sharing options...
strosdegoz Posted May 26, 2013 Share Posted May 26, 2013 I translated the TV News to English from Spanish. Get more details here and watch the video about the arrest of the Liberty Reserve owner. http://blog.donothingmoney.com/liberty-reserve-shutdown-confirmed-news-video/ Link to comment Share on other sites More sharing options...
Root Admin MrD Posted May 26, 2013 Author Root Admin Share Posted May 26, 2013 I translated the TV News to English from Spanish. Get more details here and watch the video about the arrest of the Liberty Reserve owner. http://blog.donothingmoney.com/liberty-reserve-shutdown-confirmed-news-video/ Thank you for that strosdegoz. Is very informative. Here is the youtube video, in spanish with the news. http://www.youtube.com/watch?feature=player_embedded&v=UH1ryOM-iyk You find the translation of the news in english on strosdegoz blog. Link to comment Share on other sites More sharing options...
Guest Titito Posted May 26, 2013 Share Posted May 26, 2013 Edit. We will solve this matter on PM. Thank you for bringing up this issue. Link to comment Share on other sites More sharing options...
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