Alan"s Money Blog

Apr 27, 2007

Bad news for e-gold users :( (like me)

E-gold Major Agents’ Accounts Seized By US Government

It now appears this morning that all large e-gold exchange agents doing business with US clients have had their e-gold accounts seized by US court order.

Here is what we know as of this morning.

  1. Icegold, AnyGoldNow, 1mdc, Omnipay and other large exchange agents have all had their accounts blocked by a US government agency court order.
  2. When attempting to log in on these accounts, the e-gold server responds that the account does not exist. It appears the accounts have been seized by the US authorities.
  3. It is now not possible to unbail bars from e-gold Ltd.

(Icegold has since opened a new e-gold account and seems to be back doing business.)

From the 1mdc web site.


Friday Apr 27 2007 - 4AM UTC

It appears that a U.S. Government court order has forced e-gold(R) to close down or confiscate all of 1mdc’s accounts. All 1mdc account’s have been closed at e-gold by order of the US Government.

Please note that it appears the accounts of many of the largest exchangers and largest users of e-gold have also been closed or confiscated overnight: millions of Euros of gold have been lost or confiscated in this event. Many of the largest exchangers are shutdown.

Realistically, it is extremely unlikely that this action will ever be reversed.

If the action is reversed, your e-gold grams remaining in 1mdc will “unbail” normally to your e-gold account.

You CAN spend your 1mdc back and fore to other 1mdc accounts. However you must be aware that it is likely your e-gold will never be released from e-gold.

Ultimately e-gold(R) is an entirely USA-based company, owned and operated by US citizens, so, as e-gold users we must respect the decisions of US courts and the US authorities regarding the disposition of e-gold and the safety and security of US citizens.

Even though 1mdc has no connection whstsoever to the USA, and most 1mdc users are non-USA, ultimately e-gold is USA based.

1mdc thanks it’s users and technical staff and support staff. From 1mdc’s point of view, 1mdc had only just started to generate income from spend fees so five years expense and experimentation was wasted.

It is the opinion of your 1mdc team that:

1. The early era of DGC privacy is over.

2. USA citizens will simply never be able to use DGCs.

3. The only DGCs that operate from now on will:
(a) Have no connection to the US
(b) Have no USA users (exactly as Swiss banks have no USA users)
(b) Will have higher ID requirements than e-gold currently does.

You are welcome to email “” but, again, the realistic view is that the e-gold(R) will never be released. Note that of all e-gold confiscated by US court order, none has ever been released.

No comments: