you found silk road? >> it's easy.r ip address so no one can really track it and that's what makes this very significant and that's this whole idea about the free internet and that's why the guys no matter how many times the feds try to take it down they start rebuilding and they believe they can't completely be taken down. >> if you want your pot, you can go to silk road and get it. >> listen, people can go to silk road and buy all sorts of things. >> it is your choice if you do that. >> absolutely. >> and you can get in trouble from it, right? >> absolutely. you have to think when we talk about pot and when we talk about the idea that, you know, it could be legalized in certain places, it's already legalized, one of the things our source told was, you know, i didn't really buy drugs in a backalley, i didn't want to do that kind of stuff, but with the internet i can click add to the cart and do that. people will start doing this even more. >> listen, i've been talking about this probably for about five years in cnn. i

silk road was one of those sites. my understanding is that individuals could navigate to silk road anonymously and use bitcoin which can be sent to someone nearly anonymously to make purchases. the anonymity of the marketplace and near anonymity of currency made it nearly impossible for law enforcement to track and, therefore, made it an attractive place for criminal activity. in fact, in the course of our investigation, the department of homeland security informed us that the suspects who allegedly sent ricin to president obama in april of this year was a vendor on silk road. law enforcement, including the fbi, immigration and customs enforcement and the secret service, should be applauded for their work in taking down a major international criminal enterprise. but while silk road was perhaps the most well known if not the only marketplace where illicit goods were bought and sold through bitcoin transactions, today a number of similar enterprises that accept bitcoins are still in business selling weapons, child porno

the silk road type criminal forums. see, one of the secret service specialties are on the criminal forums. eastern european base predominantly. so there are -- there are other web sites that specialize in specific crimes. the other part of the infrastructure is the digital currencies. the use of digital currencies predominantly, the digital currencies that fall outside of the guidance of fin-cen or outside countries or as i said earlier, have less regulatory controls. the third what we call, we refer to as bulletproof hosters -- >> what? >> bulletproof hosting. a criminal individual who specifically sets up business in a country with very little regulatory or aggressive law enforcement. and provides a platform for a tax to be launched again the u.s. criminal infrastructure. so the secret service attacks the problems strategically. we are always looking to identify the individual behind a specific crime. the intruder, large scale vendor, stolen personal data and what have you, and at times it may be that if we can identi

the silk road type criminal forums. see, one of the secret service specialties are on the criminal forums. eastern european base predominantly. so there are -- there are other web sites that specialize in specific crimes. the other part of the infrastructure is the digital currencies. the use of digital currencies predominantly, the digital currencies that fall outside of the guidance of fin-cen or outside countries or as i said earlier, have less regulatory controls. the third what we call, we refer to as bulletproof hosters -- >> what? >> bulletproof hosting. a criminal individual who specifically sets up business in a country with very little regulatory or aggressive law enforcement. and provides a platform for a tax to be launched again the u.s. criminal infrastructure. so the secret service attacks the problems strategically. we are always looking to identify the individual behind a specific crime. the intruder, large scale vendor, stolen personal data and what have you, and at times it may be that if we can identi

i wrote the piece because i was commissioned to write a piece for the silk road ensemble. [string instruments playing] that was one of the pieces that got, uh, i would say most played. uh, you know, in--in--in--in-- in tours and during the concerts and things like that. i think it was, uh, 1999 that i--you know, i met yo-yo. he was interested to know about kamancheh and my music, and i shared a concerto with him. and this relationship, um, turned into a friendship, and-- and, you know, it goes on until today and what-- what we're doing musically. i--i think everybody in the ensemble, whatever they do, whatever they play, i think that interaction that we had changed our perception, and it helps us to-- to create music with probably more sensitivity. >> it's--it's actually very simple. when you think, "oh, it should be out of tune," you're not in the music. but if you start to say, "this is beautiful," you're actually in the music. >> you are. >> right? that's--that's, and... i've always played out of tune, so this came very naturally to me. >> [laughing] [playing persian mu

and it's back the underground illegals website known as the silk road was put on a four week hiatus after the f.b.i. shut it down but despite the law enforcement best efforts to stop the illegal gun and drug trade the site is up and running again but we begin with a twenty an article published today by the new york times reports that the cia is paying the telecommunications giant more than ten million dollars a year to assist with overseas counterterrorism investigations the sensually a.t.t. was handing over treasure troves of phone records to the cia on a voluntary basis no subpoenas no court orders your data for sale earlier today i was joined by founder of love a bit lavar levinson he closed his encryption service down after. the f.b.i. forced him to hand over the key which provides access to all of his client's e-mails and information he says that he isn't all that surprised that the cia and are in cahoots no it doesn't surprise me at all. the f.b.i. makes it a point of recruiting commercial companies like lava bit like eighteen tea. into a program that they're calling in for guard th

silk road. a baltimore man's plea if his involvement in a sophisticated online marketplace is -- his possible punishment. >>> gas prices break a two-year record. i'm monique griego. coming up. what you can expect to pay at the pump. >>> i'm alex demetrick. coming up, remembering veterans on their day. that story as eyewitness news continues. >>> our first dose of winter- like weather is heading our way. don't miss the updated first warning weather forecast. as we enjoy this sunset. forecast with bob is coming up. ,,,,,, mnever sleeping.g. ever saving. for him, her, and you. every day. but quality affordable health care seems forever out of reach -- until now. i'm doctor peter beilenson. with local doctors we've founded a new approach to health insurance -- evergreen health. neighborhood care, same day appointments, a team approach with doctors and nurses who get to know you. that's evergreen health. learn more at evergreenmd.org. >>> it is partly cloudy. 54 degrees in central maryland right now.

was a perfect example of the shutting down the silk road that was they could be screwy the black market e.-bay and actually shut down which is actually a very good thing for the currency as a whole as a lot of you will associate it associated with corn just directly with the silk road and so since it's been shut down the currency did dip about ten percent for both twelve hours and since then people realize that it's not just about the black market and it's actually a legitimate currency and it's actually got over one hundred percent since then. and we have some news just in for you this hour here in our key we're getting reports that at least five people have died as a tourist ferry sank near the tyro sort of. many russians are reported to be on board we're going to monitor this story it's obviously developing again at least five people said to be dead as a tourist ferry sank near thailand. well coming your way you can find out how europe's booming fish market is being blamed for the evening millions of africans starving but before we go here's some of the week's images from the

is a perfect example of they ended up shutting down the silk road that was a peace and a b. black market e.-bay and they actually shut that down which is actually a very good thing for the currency as a whole as a lot of you will associate it associated with more in just directly with the silk road and so since it's been shut down the currency did dip about ten percent for both twelve hours and since then people realize that it's not just about the black market and it's actually a legitimate currency and it's actually got over one hundred percent since then well coming up it's a worlds apart with host talks on a boyko but before we go here are some of the week's images from the olympic flames record breaking journey across russia with less than one hundred days before the winter games in sochi olympic flame is continuing its ambitious relay it's already been to the north pole and in just a few days will blast off for the international space station the torch is passing through towns and cities of the world's biggest country currently touring russia's north don't forget that

recent negative publicity associated with law enforcement actions against silk road and exchange values in china and the czech republic raises policy concer concerns. i have as the chairman said worked in areas that are like this for a long time not as a provider, but as a watcher.wa and i also wish that my late father could be here today, because he served in world war ii as a kriping to fer for the n united states and was involved in the computing industry in the united states.e i remember being a teenager when he brought home two big briefcases and said it's a computer t. brought and it was. one of the things is that we're seeing in a relatively short od period of time, important path break changes in technology of the characters that senator warner suggested earlier and weo need to be very cautious not to chill those innovation, but we still need to have appropriate legal regimes around them. i think it's appropriate that we take some time and craft with great care in and as flexible a way as possible.ropr particularly with regard to the remarks of director calvary and commissioner

is a perfect example of the shutting down the silk road that was they could be screwy and the black market e.-bay and actually shut down which is actually a very good thing for the currency as a whole as a lot of people associated it associated be occurring just directly with the silk road and so since it's been shut down the currency did dip about ten percent for both twelve hours and since then people realise that it's not just about the black market and it's actually a legitimate currency and it's actually gone up one hundred percent since then now just a few minutes away here on the program that have failed expectations. it's like a mini deal yeah we think the. only good we may get that it's related here with of course what i mean to the desperate immigrants some of whom now feel they should never have left their home countries that detail those details i should say coming up. on the weekly more than a dozen detainees continue their grueling hunger strike a ton i'm obey in protest over being held indefinitely without charge most of them are being force fed in a manner described

it shows you with the recent arrest of a guy from silk road is. caught the guy, he is in jail. think there's a lot of effort and services like ours and others who are willing to work with regulators to make sure that what we do complies with the rules. we all share the same common goal to protect users from fraud and to prevent the bad actors from using the system. >> i'm sure you thought about this because you realized the danger of silk road type actors have to this appropriate new way of payment. do you have any specific suggestions? if you don't, if you'd like to spend a lot of time picking them up and sending it to us, i know this i think a very good point was made by mr. gillespie. the space to the user is the point to catch the transaction. to the internet gambling restrictions that are , and i would be curious. do you screen as a credit card processor we do? >> yes. >> that type of approach for tagging the transactions, you can still be anonymous as long as it is a transaction between an individual and this company for a purchase. we do have some existing controls that

on sunday, they announced, silk road is back up. deja vu, anyone? rise again. >> this could be a gigantic scam. >> fran burkeman says the person running the new site, claims to be registering 1,000 users per hour. >> it's more than justice a website. it's -- it's -- it's a cause. and they're really invested in it. can they really want to see it succeed. >> reporter: silk road first launched in 2011, as an underground website, where users could browse anonymously for drugs. they paid in hard-to-track cyber currency, called bit coin. it was amazon.com, with a black market bent, selling heroin and cocaine, as well as guns and fake ids. after a two-year investigation, the fbi shut the site down last month. and arrested its suspected operator. 29-year-old ross ulbrick, who is also charged in maryland for murdering and torture of a witness. but the new western -- person running silk road claims to be taking the high road. tweeting silk road, while under my watch, will never harm a soul. if we did, then we are no better than the thugs on the street. if the

our goal was to stop is one more time at meanwhile this underground internet site known as the silk road was discovered by the fbi recently it was shut down for about four weeks but then why is it shut down this message popped up and was sent out to everyone. what is said that he was sent out by trade a favorite. robertson was as if we have been down so that our new security measures include emergency strategy is to ensure that any event of silk rose to minus one small are going to lose their leaves we have learned hard lessons from the unfortunate events of recent weeks in the man hours that have gone into this new release are phenomenal so heated that up and running now interestingly the website which is notorious for selling illegal but like dr and guns. apparently also funds tyranny is very uplifting letter it said when you've already committed a large percentage of revenues to good causes charities and organizations who support our cause or have similar interests. so selling guns and drugs to support charity is what you think about the idea that the fbi shut it down like that if you

reportedly use the name dread pirate roberts to run the silk road website was denied bail for charges that carry a mandatory minimum sentence of ten years in prison he also is charged with being involved in two separate assassination plots r.t. correspondent on a saucer charkha takes us to the court house twenty nine year old ross aldridge accused of being the mastermind behind the silk road website run by an operator dubbed dread pirate roberts allowing users to purchase drugs online has been denied bail at this federal courthouse in lower manhattan over it was arrested at the science fiction section of a san francisco public library last month and charged with drug dealing money laundering computer hacking as well as murder for hire accused of hiring hitmen to get rid of an informant in a witness who had allegedly been fearful of the knot in his drug market website silk road was launched in twenty eleven with over a billion dollars in sales and almost a million customers the f.b.i. has seized hundreds of thousands of bitcoins a virtual currency worth tens of millions of dollars they

is a perfect example of the shutting down the silk road that was they could be screwy the black market e.-bay and actually shut that down which is actually a very good thing for the currency as a whole as a lot of you will associate the associated press corps in just directly with the silk road and so since it's been shut down the currency did dip about ten percent for both twelve hours and since then people realise that it's not just about the black market and it's actually a legitimate currency and it's actually gone up one hundred percent since then. vikas next here on r t with worlds apart. the office of civil rights in the city of seattle washington has told city employees that certain terms may not be used in official emails and discussions according to google fox news these terms would be brown bag and citizen ninety nine percent of americans when they hear the expression brown bag think of taking a nice healthy lunch you know in a brown paper bag to work with themselves but in a politically correct insanity land these words are an obvious reminder of the days when a pers

a good thing for the currency and the fact that it's not just about silk road it's ironic that it's sort of this is a court case started this week as well but there's things beyond. better except you know like i mentioned before by joe and in china the growth of china if you will they're accepting and now there's between a.t.m.'s in toronto they're popping up all over the place so it's really it's a matter of embracing it a person writing it i think that's what these hearings really are beginning to do well aaron we will definitely follow up with you for more on that hearing that the host of boom bust aaron a thank you. and san francisco police have been accused of using excessive force in a bloody incident that escalated after officers allegedly beat a man for riding his bicycle on the sidewalk the incident began when twenty year old de paris d.j. williams was asked by plain clothes officers to stop riding his bicycle on the sidewalk williams says he was listening to his music and could not hear the officers command police say when they attempted to stop him he fled to a nearby apartmen

silk road was a website selling illegal weapons, drugs and guns.ut tonight, it may be finding new life. store new site has the same look, offering drugs. new report of silk road back up. >> this could be a gigantic scam. >> fran burtman says, the person who is running the website claims to be more than 1,000 alwaysers an hour. >> it's a cause. and they're really invested in it. they really want to see it succeed. >> silk road first launched in 2011, as an underground website, where users could browse anonymously for drugs. they paid in hard-to-track cyber currency called bit coin. it was amazon. com. selling heroin and cocaine, as well as guns and fake ids. after a two-year investigation, the fbi shut the site down last month. and arrested its suspected operator, 29-year-old ross olbrick. who is also charged in maryland for ordering the torture of a witness in an undercover sting operation. but the new person claims to be taking the high road. banning child pornography and weapons. claiming silk road, while under my watch will never harm a soul. if

silk road founder has been charged with murder of someone he feared would disclose him. >> ros all brook has been described as trustworthy - both in letters to the judge and in court. >> ross is not a criminal master mind or a killer. >> the man who went by the name of dreadpirate is fighting charges that he ran silk road. >> his mother described the judge's decision as heartbreaking. the family offered to put up $1 million, their home and life savings. the judge denied bail saying there was evidence he tried to have as many as six killed. he described albrecht as a flight risk saying he could have access to millions worth of bitcoin. >> albrect had tried to obtain fake identification documents, say prosecutor, and was considering becoming a citizens of a caribbean country. he's described as a danger to society. albrecht's attorney believes he may be relying on evidence from the surveillance program. >> there's a lot of caps in the information gathering that we'll have to explore. >> the government admitted using information gathered by the n.s.a. in two domestic terrorism trials, but no

it's more important it goes back to the question of freedom and that's the idea behind silk road is that they want to create a marketplace. where there were no rules there were there was no government to come in and say what you could and couldn't do and they were going to let the world decide what the marketplace should look like and while i can't necessarily advocate selling you know harmful drugs and weapons. you know secretly through this site i can. appreciate the necessity of freedom and the ability to make decisions that others would disagree with and that's exactly what's. so road and bought. and i think if we look at history will we see that society is no matter what government does will always tend towards wanting to be free wanting to be free to make their own choices whether they're right or wrong with our levantine owner and operator of love about l.l.c. thank you so much for joining me thanks for having me. today republican lawmakers in florida's house of representatives are holding firm on the controversial stand your ground law that has come under fire over the past year

on twitter last week, the silk road's purported new operator announced, silk road is back up. deja vu, anyone? we rise again. >> reporter: curtiss green faces a maximum of 40 years in prison. ask jacob george, the one from the maryland faces up to 20 years. >> what an incredible enterprise. the two men will be sentenced in february. >>> american bishops hold their first national meeting since pope francis was reacted. and it's -- elected. and it's being held here in baltimore. at the basilica of the assumption downtown, they reflect and pray. and discuss leadership in the catholic church. the bishops will meet until wednesday. baltimore is home to the oldest catholic archdiocese in america. >>> well, drivers are getting a pleasant surprise at the pump, as goes prices fall to a two- year low. wjz is live. monique griego has more on the reason for the drop and if the trend will continue. >> prices at this corner, actually lower than the state average. we got everything from $3.11 to $3.15 a gallon. according to triple a, they could go even lower. >> reporter: surprising numbers

and it's back the undergrown a legal trade web site known as the silk road was put on a four week hiatus after the f.b.i. shut it down but to spawn to a law enforcement of best efforts to stop the illegal gun and drug trade site it's up and running again but we begin with a twenty an article published today by the new york times reports that the cia is paying the telecommunications giant more than ten million dollars a year to assist with overseas counterterrorism investigations essentially a t. and t. was handing over a treasure troves of phone records to the cia on a voluntary basis nossa speed subpoenas no court orders your data up for sale now earlier i spoke with the founder of lava bit lavar levinson he closed his encrypted service down after the f.b.i. forced him to hand over the key which provides unabated access to all of his clients emails and information he says he isn't all that surprised that the cia and eighteen are in cahoots. no it doesn't surprise me at all. the f.b.i. makes it a point of recruiting commercial companies like lava bit like eighteen tea. into a program tha

twenty nine year old ross albright accused of being the mastermind behind the silk road website run by an operator dubbed dread pirate roberts a lot of users to purchase drugs on line has been denied bail at this federal courthouse in lower manhattan over it was arrested at the science fiction section of a san francisco public library last month and charged with drug dealing money laundering computer hacking as well as murder for hire accused of hiring hitmen to get rid of an informant in a witness he had allegedly been fearful of the knot in his drug market website silk road was launched in twenty eleven with over a billion dollars in sales and almost a million customers the f.b.i. has seized hundreds of thousands of bitcoins a virtual currency worth tens of millions of dollars they see that the person operating the website had pocketed about eighty million dollars they've also dobbs silk road one of the most sophisticated and extensive marketplaces on the internet today all great of course has pled not guilty and all the charges being made against him and has his defense team says th

russell williams old richmond finally use the name drag it with roberts to run the silk road website was denying bail or charges that carry a mandatory minimum sentence of ten years in prison and is also charged with being involved in two separate assassination plots our chief correspondent on the stasi a truck and takes us to the courthouse. twenty nine year old ross colvin accused of being the mastermind behind the silk road website run by an operator dubbed the red heifer roberts uses to purchase drugs online has been denied bail at this federal courthouse in lower manhattan. that was arrested at the science fiction section of the sentences go library last month and charged with drug dealing and money laundering computer hacking as well as murder for hire accused of trying to get rid of an informant and a witness he had allegedly been fearful of the anonymous drug mart kid website silk road was launched in twenty eleven with over billion dollars in sales and almost a million customers the fbi has seized hundreds of thousands of hit points of virtual currency worth tens of millions

twenty nine year old ross albright accused of being the mastermind behind the silk road website run by an operator dubbed dread pirate roberts allowing users to purchase drugs online has been denied bail at this federal courthouse in lower manhattan over it was arrested at the science fiction section of a san francisco public library last month and charged with drug dealing money laundering computer hacking as well as murder for hire accused of hiring hitmen to get rid of an informant and a witness he had allegedly been fearful of the knot in his drug market website silk road was launched in twenty eleven with over a billion dollars in sales and almost a million customers the f.b.i. has seized hundreds of thousands of bitcoins a virtual currency worth tens of millions of dollars they see that the person operating the website had pocketed about eighty million dollars they've also dobbs silk road one of the most sophisticated and extensive marketplaces on the internet today all great of course has pled not guilty on all the charges being made against him and has his defense team says the

a while back i called on federal authorities to shut down the website silk road, which they e recently did. not many people interpreted my action as directed at bit coin, because bitcoin was the sole method of payment on silk road and assumed that i wanted to ud stamp out bitcoin.as fin that's not the case.c i do not want to shut down or r stamp out bit coin. of new york sits, in many ways, at the nexus of all the issues being discussed today.ative as financial capital, the ve potential for creation of a new payment platform and the rise of alternative currencies, could have profound and exciting implications to the way we ial r conduct financial transactions. as a rapidly growing hub for technology and venture capital, new york has every interest on building on the promise that t technologies like bit coin that have to revolutionize payment system or with contain the building blocks for new technology platforms. all of that is threatened by the association of bitcoins with ns illicit activities.if if bitcoin continues to attract attention, mostly as a way to finance purchases on websi

a while back i called on federal tlrts to shut down the website silk road, which they recently did. many people interpreted my action as directed at bit coin, because bit coin was the sole method of payment on silk road and assumed that i wanted to stamp out bit coin. that's not the case. i do not want to shut down or stamp out bit coin. new york sits, in many ways, at the nexus of all the issues being discussed today. as financial capital, the potential for creation of a new payment platform and the rise of alternative currencies, could have profound and exciting implications to the way we conduct financial transactions. as a rapidly growing hub for technology and venture capital, new york has every interest on building on the technologies like bit coin that have to revolutionize payment system or with contain the building blocks for new technology platforms. all of that is threatened by the association of bit coins with illicit activities. if bit coin continues to attract attention, mostly as a way to finance purchases on websites like silk road, it's going to find itself in the d

last month the fbi shutdown of the online black market silk road season nearly thirty million dollars worth of good points mitchell did returned from the corn exchange store in vancouver told us what impact this may have on the digital currency gaining credibility next thing he deftly as a potential to be revolutionary um bbc gets the cash into digital form or you can send it around the world into me with no middlemen. we've got anti money laundering austin please read many users to three thousand dollars per day every transaction you meet is recorded on a ledger on the main reason that i see it but it's of me wants to find out who is making a transaction that can be done ah the socorro is a perfect example of that they end up shutting down the silk road that was a beast the ub of law clerk a new day and to be actually shut that down which is actually a very good thing for the currency of the hole is the life you associate with associated with pointed straight at me with the silk road. and so since it's been shut down god because he didn't get above ten percent off or boat wall dollar

for the silk road, this is all conjecture, but this is what is out there. and that they connected those dots to that person on that forum, using looking for that coding which they then found built into the code of the silk road. >> etch using the deep web, is it possible to have anonymity on the bear senate these days? >> it is possible. the encryption systems the technology is extremely robust, and difficult to crack. it's technology that has been created many decades ago that are at the foundation of the web. i mean the thing we have to remember is that the deep web is not some nefarious thing. it is just a term that accounts for 96 of what is actually on the web. is anonymous or private. >> so there is a lot of illegal activity that has been linked to the deep web, is there anything positive out there. >> well, yeah, i think it is extremely dangerous to suddenly just say because somebody was allegedly running the service, on the deep web that the deep web is nefarious. it just refers to what -- it is like saying if you drive down the street that anybody

silk road is the web site that used electronic private currency bitcoin to make it hard for law enforcement to track buyers and sellers the doctor is a livia bolus who was the chief o.b.-g.y.n. resident at a prominent delaware hospital authorities are now accusing her of operating on the site under the identity m d pro and making approximately six hundred sales and over seventeen countries she's accused of illegally distributing xanax adderall and oxycontin among other controlled substances unfortunately for the doctor and undercover g.e. agent in florida was one of her best customers but that wasn't the only hitch turns out when bolus dropped off her packages at an automatic postal machine the machine had been taking and storing pictures of her and when the postal inspector gave the agent the photo of the package sender he was able to easily compare it with her facebook and my space accounts needless to say it's very very hard to get away with anything in a digital world. and the united states has announced that it will be relocating its vatican embassy they say it will now be

we talked about silk road and we talk about liberty reserve. but those, i think, are probably just the prime examples of the point that criminals are using a broad array of criminal activities. so as we look at the lack of regulatory oversight and the market risk asoe

. >>> lawyers for a san francisco man accused of masterminding the silk road website says he's not an online drug lord. 29-year-old ross made his first federal court appearance today. he was brought to new york city to face felony charges. federal authorities say he ran the notorious website, which sold everything from heroin, lsd and marijuana. he was arrested last month at the san francisco library. this morning, a new version of the silk road came online along with selling drugs, it is also taking donations for his defense. >>> sunnyvale's measure c drafted in response to the newtown school massacre passed with nearly 70% of the vote. measure c requires gun owners to report a firearm theft within 48 hours and keep stored guns locked up. dealers will now have to keep records of ammunition sales. so far there has been no legal action announced by the nra, which has threatened to sue claiming this new law in sunnyvale violates the second amendment. the measure was backed by new york mayor michael bloomberg and the organization called mayors against illegal guns. >>> another hot button

>> i think unless bitcoin makes some big changes that allowed the silk road type situations to stop from happening i don't think how it will become coarsely viable in the united states and you mention second life and i would like to mention that. actually second life a look at clients. they wanted to brand the banks in second life and be that bank in second life and as i looked at the way the law works even if it's in a virtual world, if the bank is doing the transactions, the u.s. banking laws applies. that was a very interesting result and what is fascinating about virtual currency is it has found a way to fall through what our infrastructure is. right now finance recognition which is why we do need to have some kind of framework put around it. >> by time is going to ring out. i would simply say though that because of some of the elizabeth cavities and because of perhaps the interest of the folks who want to do this off the red or not he controlled by a central banking system, we have got to get -- we have to sort through this and mr. chairman as a politician i had a second life avatar

we talked about silk road and we talk about liberty reserve. but those, i think, are probably just the prime examples of the point that criminals are using a broad array of criminal activities. so as we look at the lack of regulatory oversight and the market risk asoesociateassociats a continuing challenge to overall usage and endorsement. we need to discuss the effectiveness of risk mitigations. thank you for allowing me to testify and we look forward to continuing to work with you. >> thank you, profession sor hughes? >> ranking members helen and kirk and honorable members of the subcommittees. i am honored to be here with you today. monitoring the twopmenteds and taking a responsible approach to their regulation reflects their growing presence in domestic and international transactions. >> they have worked in areas that are like this for a long time not as a provider, but as a watcher. and i also wish that my late father could be here today, because he served in world war ii as a kriping to ra fer in the united states and was early-involved

is a perfect example of that of shutting down the silk road that was they could be screwy and the black market e.-bay and actually shut down which is actually a very good thing for the currency as a whole as a lot of you were so it's the it is associated good morning just directly with the silk road and so since it's been shut down the currency did dip about ten percent for both twelve hours and since then people realise that it's not just about the black market and it's actually a legitimate currency and it's actually gone up one hundred percent since then. now a single u.s. drone strike has destabilized the entire peace process in pakistan it's killed the leader of the country's taliban group who had been prepared to negotiate security forces now on high alert across the country over fears of a militant reprisal and one local expert told us here at r.t. the pakistani people are the ones who end up paying the price for the drone strike . the prime minister of pakistan was in washington d.c. only a week back and he had spoken to president obama taken him into confidence regarding

the fbi shutdown a black market website called silk road. a place where you could buy forged dock dockles dockless now it's up and running by a new admin straighter. can nick be done to stop these sites from opening up and doing illegal business in plain sight ? after all of the effort, the fbi shuttle down this website not nt only is it back up and running, but many competitors benefitted from the site going down because their business increased. skip is the fight against these web sites futile? >> no i don't think it is. it's very, very difficult given the circumstances that the law enforcement agencies have to deal with. they have to adhere to the proper codes and they have the level of information that rises to proof beyond a reasonable doubt which is in the court systems. those are not futile guess terse gestures. >> it does take more preventive eschpreventissues to see if we p stuff going on. >> the senator said "rather than play whackamo with a website we need to develop thoughtful and hihimhinimbe l policies. >> these sites are only

actors.gard t at least with regard to the allegations mid-by the th department of justice in the silk road matter alleging that it was used, bitcoin was used to facilitate hundreds of millions of dollars on money laundering. >> on that silk road the fbi seized about 144,000 bitcoins.er what does the federal governmens do with those? >> so luckily, that's not an issue we'll have to deal with at fincen, but i can tell you from my past job as the head of the forfeiture program that they will be thinking about whether they can sell those assets. >> so they still have them? >> i would have to defer to my colleagues at the department of justice. >> i will talk, mr. cotn echl y, a little bit about volatility. we know last week it was trading somewhere around $400, went up to around i think 900 yesterday and finally settled at 600. why the volatility? >> well, i think that there's a great interest in this particular space. there is, as i mentioned, a demand for real-time payments t andhe lower transaction costs. and one of the means today thatg we're looking at is through virtual currency. certain

more than a billion dollars seems to have--at least allegedly went through silk road. guy who ran it, and has been arrested. they found $15 billion of bit coin on his computer. it's like the drug business outside of the internet is it going to be very hard to stop? >> yeah, i think it may be without the ability to actually get inside in a legal manner and monitor and view what the transactional activity is at that level, which is very difficult to do, and absolutely correct, it is a very complex system that is very difficult to defeat, and it does have its moments for non-criminal activity. and should not be blocked. however, if it's identified there are opportunities to at least circumvent the use of it. i know the ecommerce environment when we see a tour exit transaction, we advise the merchant that it's sending us transaction of what's going on and it's up to their discretion whether they accept the transaction or not but yeah, it's going to be as bad as the street stuff. >> what can be done? >> i don't think there is a whole lot that you can do in the way of techni

there is a web site where people buy illegathings like drugs called silk road. >> it is a dark websiteed by encryption running over two years it is estimated the $20 million in sales per year you can buy just about anything using bit coin. >> they will not sell guns that harms anybody or child pornography or anything of that nature. john: we agreed drugs only harm the users out of personal choice but my wife says this is not a good one reason we have given to protect people from this kind of stuff. >> great. law enforcement is looking at going after these companies and probably will be successful because bit coin is not completely anonymous but criminals can use cash to accomplish the same thing and actually silk road is a drop in the bucket of the total drug trade but there are things that are illegal or frowned upon that we do want people to engage upon like if you want to mental health screening but don't want your employer or spouse to know, you could use bit coin to do that if you want to contribute to wikileaks as an american you can do that because they te comment bank of americ

the new silk road claims to be taking the high road, banning child pornography and websites.. if the new site is legit, customers are expected to start buying their drug this weekend. for "cbs this morning," ben tracy, los angeles. >>> and newly released 911 calls capture the dramatic moments in a new jersey mall when a gunman opening fire. >> someone is opening fire. i'm in the bathroom. >> stay on the phone with me, sweetheart. how many are in the bathroom? >> three? a three. are they in your store? >> yes. >> those are called active shooter situations. >> from 2000 to 2013. there have been 111 active shooters in the united states. in the last four years alone the people shot and killed in those incidents jumped northeasterly 150%. on wednesday he joined a conference and other agencies. good morning. >> good morning. >> what was surprising? what did you learn? >> it was alarming as they broke down the problems facing policing today, but this active shooter phenomena was right in the middle. the numbers were alarming. when you look at some of this. you've got 35 active shoot

to anonymous buyers in an underground website known as silk road. socorro is a website that uses electronic eye the currency declined to make it harder for longer force meant to attract buyers and sellers. dr is a levy of bullets who was the chief obgyn resident and a comic delaware hospital authorities are now accusing her of operating on the site under the identity and key pro anything approximately six hundred sales and over seventy different countries she's accused of illegally just distributing xanax that iraq and oxy ca and among other controlled substances unfortunately for the doctor an undercover dea agents in florida i was one of her best customers but that wasn't the only hands. turns out when bullock dropped off a package is an automatic coastal machine the machine had been taking and storing pictures of her. and when the postal inspector gave the agent the photo of the package sender was able to easily compare it with the picture on her facebook and myspace accounts. and the united states has announced that it will be relocating its vat