Prediction Market Site InTrade Bans US Customers 260
MyFirstNameIsPaul writes "In an announcement dated Monday, Nov 26, 2012, Dublin-based InTrade stated 'that due to legal and regulatory pressures, InTrade can no longer allow U.S. residents to participate in our real-money prediction markets.' The Washington Post reports that the Commodity Futures Trading Commission filed a complaint in federal court against InTrade for 'illegally facilitating bets on future economic data, the price of gold and even acts of war,' demonstrating just how far the long arm of U.S. law can reach."
Comment removed (Score:3, Interesting)
Re:Yes, a truly shocking abuse of gov't power. (Score:5, Interesting)
Err, with rare exceptions, most national laws apply to people (citizens, residents, and visitors) within the national borders, but don't apply to people currently residing or visiting a different country. As a quick example, it's illegal for U.S. citizens, residents, and visitors to possess marijuana while in the U.S., but it's not against U.S. law for them to possess marijuana while in the Netherlands (unless Netherlands law makes it illegal).
So in this case, blocking by U.S. IP address effectively stops people in the U.S. from doing something illegal for people in the U.S. to do, while not preventing those in other countries (including U.S. citizens in other countries) from doing that same thing if it's legal where they currently are.
Re:Another stupid summary (Score:5, Interesting)
"So you think the US can stop you from purchasing wine while in Italy on vacation?... No, but that's an absolutely fucking retarded comparison. 1). Purchasing wine is not illegal in the US or Italy. 2). The transaction occurs on Italian soil, therefore the participants are subject to Italian law."
So do you think this bill passed by the U.S. House of Representatives last year (HR 313: criminalize any drug activity by U.S. citizens overseas, even if legal in the foreign country) is valid or not?
http://www.govtrack.us/congress/bills/112/hr313 [govtrack.us]