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Senators seek crackdown on "Bitcoin" currency

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Re: Senators seek crackdown on "Bitcoin" currency

#61
post #54
post #48

Earlier quoted context omitted.

What about trace element analysis?

Are you suggesting adding small impurities to the gold and then measuring them at a later stage? Surely that would be a very easy thing to change.

You don't need to add the impurites, they're already there. Metals have fairly distinct patterns of impurities depending on where they were mined from and it's basically impossible to entirely remove them. If you expose a sample of metal to a large flux of neutrons (usually in a reactor) then the nuclei of the various elements in the metal will absorb neutrons and then decay. The products of these decays can then be analyzed to work out the composition of the metal even if an impurity is very small. This type of analysis has been common for a very long time now. An example of a current use is determining the country of origin for controlled metals like plutonium and uranium.

There are ways to get around this kind of approach (by adding impurities, not removing them) but I felt like mentioning it because it makes a lot more sense in this context than isotope fingerprinting.

Re: Senators seek crackdown on "Bitcoin" currency

#62
post #33

There's nothing governments hate more than watching people get along fine without them.

Just as there's nothing that gives conspiracy theorists more reinforcement than a government crackdown.

What does this have to do with the parent post? He didn't imply a conspiracy. There's no conspiracy -- except that government officials don't like things that challenge their sources of power, which is what these two senators think Bitcoin is ("people can trade DRUGS in bitcoin, we don't like that and there's no one to phone up to ask who to arrest!").

The parent post isn't really right either -- Bitcoin will never replace a traditional fiat currency. You can't pay your taxes in it, so it has no intrinsic value at all, when the bubble ends, no one will accept it as payment for goods and services except to the extent that it is exchangable for USD.

Re: Senators seek crackdown on "Bitcoin" currency

#63

Shutting down Bitcoin because of illegal drug trade is like banning cryptography because of terrorism: It is not solving the problem and it is not a valid reason for stopping innovation.

Yep, it's exactly like that: ban something with perfectly legitimate uses under the pretext of something criminal.

Re: Senators seek crackdown on "Bitcoin" currency

#68
post #37

Earlier quoted context omitted.

As far as I can tell, the suggestion that they might as well soon go about outlawing bartering is a sound one. Neither bartering nor bitcoins use US minted currency, both cannot be traced unless the participants volunteer that information, and both arguably can be used for "tax evasion". I'm not trained in tax law, but it wouldn't really surprise me if legally citizens were mandated to report barters on their taxes.…

As far as I can tell, the suggestion that they might as well soon go about outlawing bartering is a sound one. Neither bartering nor bitcoins use US minted currency, both cannot be traced unless the participants volunteer that information, and both arguably can be used for "tax evasion". I'm not trained in tax law, but it wouldn't really surprise me if legally citizens were mandated to report barters on their taxes.…

You used to be able to use casino chips in Vegas just like cash. You could pay for your meal with chips in a place totally unrelated to gambling. You could pay for your taxi ride in casino chips. Casinos would accept chips from other casinos without any problem.

Then the treasury dept. stepped in and forced them to stop. All that's in the past now.

Re: Senators seek crackdown on "Bitcoin" currency

#69
post #29

Earlier quoted context omitted.

both arguably can be used for "tax evasion" You can use US minted currency for tax evasion as well.

And that's illegal as well.

So? It doesn't stop it from being done. Legality != prevention/deterrance.
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