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How to Lose $3B of Bitcoin in India

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Re: How to Lose $3B of Bitcoin in India

#41

Post by toomanybeersies »

agorabinary wrote: post #12
CamelCaseName wrote: post #10

From the article, it seems like I didn't really understand the implications of Modi's actions to invalidate so much hard currency. Could someone familiar with the matter talk more about what the days/weeks following Modi's announcement looked like for the every day Indian?

Yes, as a Westerner I hadn't even heard of this massive invalidation of 86% of India's cash currency. Pretty dramatic, certainly could have helped the massive crypto price run-up in late 2017. Also helps to demonstrate the value of a currency that can't be manipulated by state actors.

I guess different news outlets have different focuses, but it was big news on the BBC news website, which is where I get most of my international coverage.

I don't read any American news websites, but I think from memory it wasn't really covered at all on the New Zealand news websites.

Re: How to Lose $3B of Bitcoin in India

#42

Post by Pada »

joering2 wrote: post #33
ddorian43 wrote: post #14

Everyone should watch the bitconnect crazy guy high on pyramid scheme premises: https://www.youtube.com/watch?v=21kGmCsJ5ZM

Seen this so many times already. Would rather like to know what is he doing these days and see his latest video - if he has any courage to record one. When bubble burst, scam artists usually vanish.

He is fasting. https://www.youtube.com/channel/UCFvRE5ilWN-onFmPjKoY03g

Re: How to Lose $3B of Bitcoin in India

#43

Post by sjs7007 »

denzil_correa wrote: post #23
CamelCaseName wrote: post #10

From the article, it seems like I didn't really understand the implications of Modi's actions to invalidate so much hard currency. Could someone familiar with the matter talk more about what the days/weeks following Modi's announcement looked like for the every day Indian?

There are two important facts for Modi's demonetization action. Fact 1 : 86% cash of the currency in circulation was made invalid Fact 2 : Unaccounted income in cash is approx. 3% Once you combine Fact 1 and 2, you'd know where this goes. Anyways, NPR has two podcasts on this [0,1]. [0] https://text.npr.org/s.php?sId=527803742 [1] https://text.npr.org/s.php?sId=528181998

Wow I didn't know NPR covered Indian news as well.

PS: I recognize your username from /r/india!

Re: How to Lose $3B of Bitcoin in India

#44

Post by dingo_bat »

CamelCaseName wrote: post #10

From the article, it seems like I didn't really understand the implications of Modi's actions to invalidate so much hard currency. Could someone familiar with the matter talk more about what the days/weeks following Modi's announcement looked like for the every day Indian?

I'm a developer in Bangalore. It was glorious. One thing to understand is that in India regular small time business owners are involved in a lot of tax evasion. They don't report their income fully and thus always have a huge stash of cash lying around. The biggest use for this is to buy real estate. Before demonetisation, if you want to buy a house or apartment it was usual to discuss the cash and registration amount. You would register the deal for ₹5 million and pay an extra 5 million in unaccounted cash.

This meant that people who honestly report their income (usually salaried) are at a huge disadvantage. I don't have 5 million lying around in cash. I'll have to pay everything from my bank account, which will get tracked eventually to the seller I purchase my house from. Now, all of this bullshit is gone. The housing market is much more reasonable, there is no talk of cash payment. I love it. Even initially, I didn't have to stand in ATM lines, because I always use my cc. Where they don't accept cc, they accept Paytm.

Re: How to Lose $3B of Bitcoin in India

#48

Post by mandeepj »

dingo_bat wrote: post #44
CamelCaseName wrote: post #10

From the article, it seems like I didn't really understand the implications of Modi's actions to invalidate so much hard currency. Could someone familiar with the matter talk more about what the days/weeks following Modi's announcement looked like for the every day Indian?

I'm a developer in Bangalore. It was glorious. One thing to understand is that in India regular small time business owners are involved in a lot of tax evasion. They don't report their income fully and thus always have a huge stash of cash lying around. The biggest use for this is to buy real estate. Before demonetisation, if you want to buy a house or apartment it was usual to discuss the cash and registration amoun…

> Now, all of this bullshit is gone What?

> I'll have to pay everything from my bank account, which will get tracked eventually to the seller I purchase my house from.

Sorry dude. You are disconnected from reality. Workaround always exist. People still prefer to pay, as much as possible in cash, to save on that huge registration fees.

This demonitization was just a smoke in people's eyes. Those big thugs are still scaming the banks and fleeing the country with billions of Rupees.

Re: How to Lose $3B of Bitcoin in India

#49

Post by dingo_bat »

mandeepj wrote: post #48
dingo_bat wrote: post #44

Earlier quoted context omitted.

I'm a developer in Bangalore. It was glorious. One thing to understand is that in India regular small time business owners are involved in a lot of tax evasion. They don't report their income fully and thus always have a huge stash of cash lying around. The biggest use for this is to buy real estate. Before demonetisation, if you want to buy a house or apartment it was usual to discuss the cash and registration amoun…

> Now, all of this bullshit is gone What? > I'll have to pay everything from my bank account, which will get tracked eventually to the seller I purchase my house from. Sorry dude. You are disconnected from reality. Workaround always exist. People still prefer to pay, as much as possible in cash, to save on that huge registration fees. This demonitization was just a smoke in people's eyes. Those big thugs are still sc…

> You are disconnected from reality.

I can only talk from my experience. Me and my father searched for an apartment about 6 months before the demonetisation. And I'm searching one for me now. There is a clear difference.

Re: How to Lose $3B of Bitcoin in India

#50

Post by throwaway8879 »

agorabinary wrote: post #36
atomical wrote: post #17

Earlier quoted context omitted.

The issue is that non-state actors were hiding money to avoid taxes. I wouldn't label prevention of theft as manipulation.

> prevention of theft Taxation is theft.

Next time you use a public utility/service please turn yourself in for theft also.
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