One month ago today, West Virginia Senator Joe Manchin addressed a letter to the United States Department of the Treasury and Federal Reserve calling for the ban of bitcoin.
Almost immediately, the news of Manchin’s views spread like wildfire, triggering responses of disagreement from not only the bitcoin community, but from the Bitcoin Foundation and even his own colleague, Representative Jared Polis of Colorado.
But now that the Internal Revenue Service has issued tax guidance on the digital currency, Manchin just might be changing his tune.
“Sure, it makes us look at it differently,” the Senator was quoted as saying. “It sure will. When I said what I said, it was because it was totally unencumbered. The whole thing lent itself to a lot of improprieties — especially in the underworld, if you will, whether it be drugs or arms. Those were the things I was concerned about.”
The day following Manchin’s letter submittal, Federal Reserve Chair Janet Yellen responded by saying that the Fed doesn’t have the authority to supervise or regulate digital currency.
Still, though, Manchin remains dubious on the topic:
“There still has to be transparency and a reserve base,” he said. “There has to be something that’s tangible. If the feds can’t get their hands around it to where they can secure it, then I would be very leery of investing in it or trading with it or buying with it.”
How long until he starts buying in? [source: Washington Post]
Jim 
What Senator Manchin fails to understand, as many do in this government, is that absent a fundamental change in the architecture of global government, there will never be a way for any country to “get their hands” on bitcoin. It’s like trying to nail jello to a wall. Until countries start accepting what bitcoin is, and what it means to the global community, all their efforts to tax and regulate it will be fruitless and end up costing more to the taxpayer than the efforts are worth.
Someone should setup a wallet for him for campaign contributions. I bet he would change his tune.