For Growing Digital Currency, Regulatory Scrutiny Has Coincided with Investor Interest

By Colby Adams and Brian Orsak

The following is the first of a two-part story on how the Bitcoin market is changing under the scrutiny of federal and state officials. It is the sort of scene seldom witnessed in New York since the days of the dot-com boom: in an austere hall, just steps away from an array of hors d'oeuvres, well-heeled attorneys and U.S. officials are rubbing elbows with 20- and 30-somethings in rumpled t-shirts. Some wear ties, others wear shorts, but it's unclear who has come to meet with whom. The gathering at a Bitcoin conference in Manhattan earlier this month, hosted by the...