Dems threaten Kochs with a constitutional amendment

David Koch (AP Photo/Phelan M. Ebenhack, File)

Congressional Democrats escalated their fight against the Koch Brothers and other megadonors to political campaigns on Thursday, calling anew for a constitutional amendment to reverse recent Supreme Court campaign-finance decisions and setting a date for a hearing.

Majority Leader Harry Reid announced plans Thursday to hold floor votes on legislation that would grant Congress the authority to regulate and limit the raising and spending of money for federal political campaigns.

The idea was blasted immediately by Republicans, underlining how unlikely it is that the proposal could succeed. The amendment idea was first introduced by Sen. TomUdall of New Mexico. After Reids announcement, Senate Judiciary Committee chairman Patrick Leahy of Vermont announced there would be a hearing on the legislation on June 3.

The announcements follows the courts recent McCutcheon v. Federal Election Commission decision, which declared aggregate limits on campaign contributions in elections to be unconstitutional in violation of the First Amendment. Coupled with the Citizens United decisionof 2010, Leahy and Reid said Congress must respond.

The Court has repeatedly used the First Amendment not to protect the voices of all Americans, but as an instrument to amplify the voices of billionaires and corporations, Leahy said in a statement Thursday. Those voices are not the only ones who the Founding Fathers intended the First Amendment to protect. They meant for the First Amendment to protect the voices of all Americans.

The constitutional amendment seems more of a partisan show than a realistic proposal. A hearing on the idea last month revealed how deep the partisan divide has become since the days when a Republican senator, John McCain of Arizona, teamed up with a Democrat, former Sen. Russ Feingold of Wisconsin, to propose broad campaign finance reforms.

The reaction to the amendment idea in a recent Senate Rules Committee hearing revealed the depth of the partisan divide.In a statement released Thursday, Senates Minority Leader Mitch McConnell called the Democrats' proposal an all-out assault on the right to free speech, a right which undergirds all others in our democracy.Its also a clear sign of just how desperate elected Washington Democrats have become in their quest to hold onto power.

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Dems threaten Kochs with a constitutional amendment

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CNET founder Halsey Minor launches bitcoin platform Bitreserve.org

Halsey Minor, founder of CNET and an early backer of Salesforce.com, is launching bitcoin platform Bitreserve.org.

The site aims to address the volatile nature of the cryptocurrency by providing real-time transparency, transaction traceability and proof of solvency.

"Bitcoin is a remarkable innovation, created and supported by lots of very smart people," Minor said. "Bitreserve is built on top of the bitcoin network, allowing members to convert bitcoin into money they know, trust and understand."

Minor, who founded CNET in 1993, will serve as the company's executive chairman. Media and telecom veteran Tim Parsa will be chief executive.

Bitreserve members can hold bitcoin denominated in dollars, euros, yuan, yen and pounds. The "bitcurrencies" are backed by a full reserve of real-world currencies, the Charleston, S.C., company said.

The system is designed to allow bitcoin to be traceable and continuously updated.

"We offer our members all the advantages of bitcoin fast, irrevocable, low-cost, peer-to-peer payments but without bitcoin's value-destroying volatility," Parsa said.

The company said its obligations to members are published in real-time and are traceable back to their origin on the bitcoin network's blockchain. Members' personal information is kept private.

Bitreserve is currently in invitation-only private beta; people can request an invitation online.

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CNET founder Halsey Minor launches bitcoin platform Bitreserve.org

Bitcoin Foundation hit by resignations over new director

At least 10 members of the nonprofit Bitcoin Foundation have resigned over last week's election of onetime Disney child star and current Bitcoin entrepreneur and financier Brock Pierce as a new director, officials at the group said.

Some of the members cited Pierce's troubled past. That includes allegations in lawsuits from three employees of Pierce's first company, bankrupt web video business Digital Entertainment Network, that he provided drugs and pressured them for sex when they were minors.

"The allegations against me are not true, and I have never had intimate or sexual contact with any of the people who made those allegations," Pierce told Reuters via email.

Court records show 33-year-old Pierce, who played the title role in Disney's "First Kid," paid more than $21,000 to settle one employee suit, and he said others dropped their claims without money changing hands.

While Bitcoin Foundation officials played down the defections, several members who resigned from the Foundation assailed its governance track record.

"The track record of prominent Bitcoin Foundation members has been abysmal," said Patrick Alexander, a resigning Foundation member in a post on its discussion pages. "I no longer want to be associated with these people." Attempts to reach him for additional comment were unsuccessful.

Though it is highly volatile, the value of the electronic currency in existence has skyrocketed into the billions of dollars as the number of businesses accepting it has increased and investors have sought to create new ways for it to be used.

More than 1,000 Bitcoin investors, business people and enthusiasts are expected to attend the conference in Amsterdam.

The programming effort that governs how Bitcoin works is led by Gavin Andresen, who is chief scientist at the Foundation and gets a salary from it. The Foundation also plays an important role for Bitcoin in lobbying on its behalf in various jurisdiction as authorities grapple with how to police the semi-anonymous currency.

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Bitcoin Foundation hit by resignations over new director

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