One of regulators' biggest worries about virtual currencies, like Bitcoin, is whether they may be susceptible to fraud or manipulation. Well, two people in Germany apparently just proved this was possible.
The pair is accused of illegally generating nearly $1 million worth of Bitcoins, according to the Associated Press. German police nabbed the two people during a computer fraud investigation earlier this week. No further details on the arrests were available.
This isn't the first time someone has been accused of illegally generating Bitcoins. Last month, online video game company E-Sports Entertainment agreed to pay a settlement fee of $1 million after being accused of infecting thousands of customers' computers to illegally mine Bitcoins.
Despite these arrests and regulators' worries, Bitcoin is steadily growing in popularity. Not only is the virtual currency trading at an all-time high -- hitting the $1,000 mark on the Mt. Gox exchange last week -- but it's also being used by more and more retailers. Earlier on Wednesday, a small town in Kentucky even said it would pay its police chief in Bitcoin.