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In 2006, U.S.-based digital currency exchange business [[Gold Age]] Inc., a New York state business, was shut down by the U.S. Secret Service after operating since 2002.<ref>{{Cite magazine |last=McCullagh |first=Declan |date=30 March 2001 |title=Secret service raids Gold-Age |magazine=[[Wired (magazine)|Wired]] |url=https://www.wired.com/politics/law/news/2001/03/42745 |access-date=9 January 2014}}</ref> Business operators [[Arthur Budovsky]] and Vladimir Kats were indicted "on charges of operating an illegal digital currency exchange and money transmittal business" from their apartments, transmitting more than $30 million to digital currency accounts.<ref name="Hesterman2013" /> Customers provided limited identity documentation, and could transfer funds to anyone worldwide, with fees sometimes exceeding $100,000.<ref name="Hesterman2013">{{Cite book |last=Hesterman |first=Jennifer L |url=https://books.google.com/books?id=pX5uOpcXkdgC&pg=PA218 |title=The Terrorist-Criminal Nexus: An Alliance of International Drug Cartels, Organized Crime, and Terror Groups |date=17 April 2013 |publisher=CRC Press |isbn=978-1-4665-5761-1 |page=218}}</ref> Budovsky and Kats were sentenced in 2007 to five years in prison "for engaging in the business of [[Money transmitter|transmitting money without a license]], a felony violation of state banking law", ultimately receiving sentences of five years' probation.<ref name="boddiger2013">{{Cite news |last1=Boddiger |first1=David |last2=Arias |first2=L |date=24 May 2013 |title=Millions of dollars in limbo after shuttering of digital currency site Liberty Reserve |work=The Tico Times |location=San José, Costa Rica |url=http://www.ticotimes.net/More-news/News-Briefs/Millions-of-dollars-in-limbo-after-shuttering-of-digital-currency-site-Liberty-Reserve-_Saturday-May-25-2013 |url-status=dead |access-date=9 January 2014 |archive-url=https://web.archive.org/web/20131231234813/http://www.ticotimes.net/More-news/News-Briefs/Millions-of-dollars-in-limbo-after-shuttering-of-digital-currency-site-Liberty-Reserve-_Saturday-May-25-2013 |archive-date=31 December 2013}}</ref>
In April 2007, the U.S. government ordered [[E-Gold]] administration to lock/block approximately 58 E-Gold accounts owned and used by The Bullion Exchange, AnyGoldNow, [[IceGold]], GitGold, The Denver Gold Exchange, GoldPouch Express, [[1MDC]] (a [[Digital gold currency|Digital Gold Currency]], based on [[e-gold]]) and others, forcing G&SR (owner of OmniPay) to liquidate the seized assets.{{fact|date=January 2024}}
A few weeks later, E-Gold faced four indictments.<ref>{{Cite web |date=24 April 2007 |title=#07-301: 04-27-07 Digital Currency Business E-Gold Indicted for Money Laundering and Illegal Money Transmitting |url=http://www.usdoj.gov/opa/pr/2007/April/07_crm_301.html |access-date=11 December 2013 |publisher=Usdoj.gov |archive-date=29 April 2007 |archive-url=https://web.archive.org/web/20070429013908/http://www.usdoj.gov/opa/pr/2007/April/07_crm_301.html |url-status=live }}</ref>
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