Paxum disassociates itself with Bitcoin


E-wallet service provider Paxum has been forced by its banking partners (specific banks have not been disclosed) into ceasing collaboration with any companies using the digital currency Bitcoin. The Bitcoin service uses peer to peer technology and digital currency to enable immediate payments “to anyone, anywhere in the world” with no central authority.

Being a decentralized virtual currency and therefore relatively uncontrolled, Paxum’s banking partners came to the decision that, despite no evidence of any fraudulent transactions, doing business with the virtual currency carried too much potential risk. Paxum never used the virtual currency itself but it did allow Bitcoin to use its service as a payout option. For more on this story see AVN.            

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