China declares cryptocurrency deals ‘illegal’

Post by nostrademons » Fri, Sep 24, 2021, 4:11 PM UTC

toomuchtodo wrote: post #454

reedjosh wrote: post #450

Earlier quoted context omitted.

Lets not bear this then. Central Bank Digital Currency is just around the corner if crypto is banned. CBDC is an authoritarian's wet dream. Speak against the government--you're no longer allowed to transact in society. Retroactive tax...boom, negative balance.

What do you propose as a solution for central banks and monetary policy attempting to operate in structural stagnation [1]? Do you believe digital tulips will maintain their value as real productivity declines due to demographics? Physical cash can be inflated with relatively the same ease as a CBDC through QE. You're seeking a level of control and authority of monetary policy only accessible to nation states. We agr…

Post by arcticbull » Fri, Sep 24, 2021, 4:11 PM UTC

dnautics wrote: post #477

arcticbull wrote: post #458

Earlier quoted context omitted.

How can you possibly imagine adoption of Bitcoin would end the US army? The US army existed for hundreds of years on the gold standard. World wars were fought on the gold standard. Exactly, step my step, please explain how adoption of bitcoin would reduce military energy consumption.

You are missing the point. When the us was on a gold standard, the army was not required to create the dollar's value. Now that the us is on a sovereign credit-based system, the might of the military is an integral part of the dollars value, both in the obvious sense that the military protects sea lanes and in the more subtle sense that government debt and the sustained credit cycle goes in no small chunk to the mili…

Post by arcticbull » Fri, Sep 24, 2021, 4:12 PM UTC

dnautics wrote: post #489

arcticbull wrote: post #438

Earlier quoted context omitted.

> How do you think the dollar keeps its value? Base demand for dollars is created due to taxation. As the money supply is managed via fractional reserve lending, each new dollar that enters circulation is backed by the demand for repayment of that loan. When someone borrows money from a bank, the bank enters a negative balance in its ledger and the borrower gets a positive balance in their account. This is how money…

"Base demand" I get that this is working econ theory, but is that even meaningful? Do you honestly think people hold dollars because "someone can use it to.pay taxes"?

Post by rmdashrfstar » Fri, Sep 24, 2021, 4:12 PM UTC

lottin wrote: post #419

nightski wrote: post #336

Wow, imagine living in a country where the legal financial assets you own can be turned criminal where accessing them is punished with hard labor. Sounds like a dystopian nightmare.

But they said bitcoin was out of reach of governments, how is it possible a government is now banning it?

Post by toomanydoubts » Fri, Sep 24, 2021, 4:13 PM UTC

holoduke wrote: post #14

I hope the rest of world follows. There is nothing more volatile than a decentralised crypto currency. The amount of people making a profit from it is less than 5% and energy consumption is beyond acceptable. Crypto as a tech to serve something different is totally fine of course.