MtGox has their French bank account closed last year, as the bank stated they aren't legally allowed to undertake the activities they were doing in regards to trading Bitcoins. There have been a few decisions in this regard as well as a few appeals. What is the full story behind the whole issue and have any conclusions been reached?
The important answer is on https://support.mtgox.com/entries/20568322-all-eur-transactions-will-be-temporarily-suspended-within-europe-with-immediate-effect
"While Bitcoin at a European level is so far not directly impacted by this decision, the Bank de France (France's central bank) has confirmed that because of European banking rules, monetary transfers (deposits and withdrawals) through a single entity are subject to financial regulation and therefore can only be performed by licensed financial institutions such as banks or Payment Service companies (the European Equivalent to a Money Service Business). This decision has forced us to find other payment processing partners within Europe that will allow us to quickly resume all EUR transactions for our European customers soon."
To be allowed to accept deposits, keep your funds, and allow withdrawals, mtgox ( and any other European based exchange, like virwox for example ) have to be registered as a Payment Service Company (the European Equivalent to a Money Service Business). Since virwox is in Europe, they are probably illegal if they dont have this Payment Service Company license
This is true for any website or company wanting to accept deposits, keep your funds, and allow withdrawals, bitcoin related or not This decision is not related with bitcoin, it applies to anyone.
Registering as a Payment Service company takes time and is very expensive.
more details for : Money Services Business : http://en.wikipedia.org/wiki/Money_services_business Payment Service provider : http://en.wikipedia.org/wiki/Payment_service_provider
1Such rules are typical for Europe, they should definitely get rid of them! May 28, 2012 at 8:52
Now MtGox is in Poland and their bank charges 1.30 EUR for SEPA transactions!! Charging for SEPA is prohibited in more western Europe countries, but probably all of those have these silly rules May 28, 2012 at 8:53
this is false, there are no EU law prohibiting banks to charge a fee for a SEPA transfer. the only EU rule is that the bank have to charge the same fee for local transfer and EU transfer ( SEPA ), the fee can be 0 eur or 100 eur they are free to charge.– neofuturMay 29, 2012 at 9:50
Yes I know of that rule exactly. But countries like the one I am in, Belgium, and countries around us have another law prohibiting fees for local transfers. Implicating that SEPA must be free as well. There is not one bank in Belgium that charges a fee for local bank transfers, so SEPA is free as well. What I don't get is, does that Polish bank also charge 1.20 EUR for their local transfers? I can hardly imagine actually. May 29, 2012 at 10:02
Please do not flag answers because you believe they are incorrect. That isn't what mods are for, that's what downvotes and comments are for. May 29, 2012 at 16:56