US man indicted for illegal arms exports with bitcoin

Benjamin James Cance, a Michigan-based man, is facing jail time for crimes related to illegal arms, some of which he allegedly facilitated using bitcoin.

According to the US Department of Justice press release, Cance is charged with three crimes, "The first alleges that he illegally shipped gun components that are on the Federal Munitions List overseas. The second charge alleges that he engaged in money laundering by using the profits from this business to purchase a house. Finally, Cance is charged with illegal possession of an unregistered machinegun."

The press release further added, "He also allegedly utilized electronic currencies, such as Bitcoin, to get paid for his services in an effort to hide the nature of his activities."

The anonymity feature of bitcoin transactions makes it a preferred choice for dealers of smuggled goods, as transactions are generally not susceptible to reporting for suspicious activity.

Cance has pleaded not guilty to all charges and has been released on bail.