Costa Rica based online currency service “Liberty Reserve” Closes Has been given. Authorities in the Central American country say Arthur Boudowski, the site’s founder, has been jailed in Spain on suspicion of involvement in money laundering. The United States was also involved in the investigation. Sources added that police raided several of Mr. Boudowski’s assets and seized his computer services.

The Liberty Reserve website has gone offline since last Thursday. They have been claiming to be “the oldest, most secure and most popular payment processor on the Internet, serving millions of users worldwide”;

The site only allows you to open an account by taking the customer’s name, date of birth and email address and then transfer the money. Balance from credit card, bank wire, postal money orders and other currency transfer services could be added to the Liberty Reserve account. These were then converted into the Liberty Reserve’s own currency, but were denominated in dollars or euros. The members of these currency sites could exchange and cash among themselves.

The Liberty Reserve charged a maximum fee of ৯ 2.99 per transaction. It also had a private messaging system.

From opening an account to money transfer, Liberty Reserve does not require a lot of information and due to its low fee, the site became very popular. According to some security experts, many cybercriminals would take advantage of this.