Quote from: dissipate on September 22, 2012, 10:53:38 PM

If you live in a first world country that has a tax authority, your information is at risk. And of course any money you cash out of an exchange into a bank account has to be accounted for in tax records. It's not just about money laundering.

+1

Absolutely - if you don't want to risk having your sensitive financial details pored over by the prying eyes of the all-omnipotent State (welcome to Ingsoc! Big Bro is watching you.) then it's best not to cash out via those exchanges in the first place. The mainstream exchanges are, IMO, playing it absolutely right in complying with all the financial-services regulations. This should in theory eliminate the risk of them being closed down.

I like BTC-E but have never used it to deal in fiat so far. I use Mt Gox for that. At my level of wealth, in a state that uses a PAYE taxation system, the tax man won't be coming anywhere near me. When I do get that rich (hahaha), well, I'll cross that bridge there and then!