Abstract
James and Pamela Fayed expanded a successful precious metals business by creating e-bullion digital currency. The online gold currency platform included a prepaid debit card that provided users with direct access to ATM withdrawals. An e-bullion account also offered advanced two-party authentication through a Crypto Card device. The business grew rapidly; however, without identification or verification of customers, criminals were able to exploit the unregulated digital currency. Fraudsters used Goldfinger Coin and Bullion, Inc. bank accounts as a method of deposit for hundreds of fraudulent Ponzi schemes. The federal government closed the business and seized the assets for failure to obtain the proper money transmitter licenses or register with FinCEN.
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Mullan, P.C. (2016). E-Bullion and Mr. James Fayed. In: A History of Digital Currency in the United States. Palgrave Advances in the Economics of Innovation and Technology. Palgrave Macmillan, New York. https://doi.org/10.1057/978-1-137-56870-0_4
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DOI: https://doi.org/10.1057/978-1-137-56870-0_4
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Publisher Name: Palgrave Macmillan, New York
Print ISBN: 978-1-137-56869-4
Online ISBN: 978-1-137-56870-0
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