Tilden Smith writes:
We are a licensed FFL, although at this time we focus on manufacturing 80% lowers and fireams accessories. We do not even sell actual firearms. Almost a year ago we chose to partner with a Bitcoin payment processing company called Coinbase to accept Bitcoin payments through our website. This decision was based on the fact that Coinbase was one of the only Bitcoin payment processors we were aware of that did not have an existing policy prohibiting them from doing business with companies in the firearms industry. They told us they welcomed firearms dealers. We went through an extensive vetting process with coinbase before they made our account active . . .
Then several months ago, without warning we stopped receiving any Bitcoin payments. We thought it was a problem with our website and spent quite a bit of time trying to figure what was wrong. Coinbase support initially indicated that they did not know what the problem was. Everything looked normal on our account. Then today, we received the email below stating “due to recent changes in the regulatory environment we are unable to provide services to firearms dealers.”
So basically, Coinbase changed their policy and didn’t tell anybody. They simply shut down the accounts of any firearms-related dealers who were doing business with them. They lacked the courtesy to even send us a letter or email after the fact. This was the only mainstream Bitcoin processor that we know of that did business with the firearms industry. The Obama administration’s Operation Chokepoint seems to be having its intended effect. We will have to stop accepting Bitcoin because we now have no other Second Amendment-friendly Bitcoin processor to turn to.