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US SEC sues Coinbase, one day after suing Binance

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Re: US SEC sues Coinbase, one day after suing Binance

#261
post #90

Earlier quoted context omitted.

Mad because some entrepreneurs makes the effort to build legitimate business entities, and what certain governments find to do is any scheme to keep them out of legitimity. Not that crypto fans would care all that much about these businesses, but there is a need to onramp and offramp given transactions are made in their vast majority in fiat. An exchange run as a business having at least a lot at stake in ensuring co…

> Mad because some entrepreneurs makes the effort to build legitimate business entities, and what certain governments find to do is any scheme to keep them out of legitimity. This isn't what it looks like to me. It looks to me like the entire point of cyptocurrency was to complete route around regulations that these people thought were too onerous. That's not building a "legitimate" business, that's taking a risk and…

Entrepreneur are risk takers, and they do move the needle. We easily forget to thank them.

Would you say the same about music streaming, as companies were launching services without all the due dues, but knew they would finally have leverage once they have a significant user base to negociate deals for legitimate offerings?

Anyhow those big risk takers are not losing because of the roulette factor here, they are hit by some political stance that wants to keep a statu quo, with crypto entering more mainstream at each cycle, legislators work hard at putting a stop to it.

Just read what the head of the SEC said, verbatim "the US does not need other digital currencies". As if it was the SEC to tell what the US need and doesn't need. This whole war against crypto isn't about unregistered securities being sold by unlicensed businesses, it's about using whatever they have to tame what has become a threatening industry, a competition to the traditional financial system. It's about keeping the statu quo.

Yesterday bitcoiners were drug dealers and terrorist, today they are illegitimate investors and exchanges are not following financial regulations, the law, abusing innocent uneducated investors. These laws are impossible to navigate, after countess demands from businesses and those competent in that tech along with the law: Provide clear direction and regulations for a legitimate crypto field. But no, let's sue businesses who insist to operate and keep the rules impossible to adhere to so that we can sue, shut down, after the demonising that stopped working so well after a while.

I would like to be less one sided but the simplistic views on the crypto situation can only make me more radical in the view that the whole thing will be, or should be some may say, absolutely not regulated. Those who get into it don't want some imposed pseudo protection, they just demand the freedom of money. If its the SEC or the danger of being rug pulled, more and more will chose the second.

Re: US SEC sues Coinbase, one day after suing Binance

#262

Earlier quoted context omitted.

Imagine your business or employer is suddenly blacklisted by payment processors over political/cultural reasons. The advantages of crypto should become pretty clear at that point.

imagine your crypto wallet being blacklisted by a 51% attack, over political/cultural reasons.

This hasn't happened to any large coins though, whereas people have had their bank accounts frozen for political reasons.

Re: US SEC sues Coinbase, one day after suing Binance

#263
post #82
post #23

There is a well-documented public history of Coinbase taunting the SEC - they had it coming. - https://www.coinbase.com/blog/the-sec-has-told-us-it-wants-t... - https://www.coinbase.com/blog/coinbase-does-not-list-securit... - https://www.coinbase.com/blog/coinbases-staking-services-are... - https://www.coinbase.com/blog/we-asked-the-sec-for-reasonabl... - https://www.coinbase.com/blog/coinbase-takes-another-formal-.…

If criticizing a regulatory body causes them to go after you, then that regulatory body is corrupt and should be dismantled and replaced with something else.

And given the number of cryptocurrency exchanges the SEC has been suing in the past several days, it is rather unlikely that the SEC is targeting Coinbase because of Coinbase's criticisms: had Coinbase said nothing, the SEC would still be suing Coinbase.

Re: US SEC sues Coinbase, one day after suing Binance

#266
post #44

Earlier quoted context omitted.

> Crypto companies think they don't trade securities To quote the Binance Chief "Compliance" Officer: "we are operating as a fking unlicensed securities exchange in the USA bro" Source: Quoted in the filing yesterday where SEC sued Binance > 111. As Binance’s CCO bluntly admitted to another Binance compliance officer in December 2018, “we are operating as a fking unlicensed securities exchange in the USA bro.” https:…

> in the USA Important part of the conversation that some people here seem to forget.

The title of this post is "US SEC sues Coinbase".

No one is "forgetting".

Re: US SEC sues Coinbase, one day after suing Binance

#267
post #116

Earlier quoted context omitted.

I don't think the pure commodity coins (layer 1 networks like btc, xch, etc) are confusing at all. You do work and get rewarded with a digital commodity. It’s exactly like digging up gold, or tapping a tree for maple syrup. Then a bunch of crypto anarchists showed up and started speculating that these coins would be worth a lot in the future because we could topple the financial hegemony by their powers combined. Oka…

Where the definition gets confusing is when a cryptocurrency gives you voting rights to modify the underlying protocol, or determine the direction of an entity that manages the underlying protocol, etc. There isn't (AFAIK) a commodity that operates in this manner. Owning a lot of gold doesn't mean that I'm able to unilaterally adjust how gold is mined or obtained, for example.

Or when a cryptocurrency has bizarre rules controlling how it can be traded -- for instance, a number of Ethereum tokens like Safemoon had rules enforcing a "tax" on all transfers, ostensibly to reduce volatility.

Re: US SEC sues Coinbase, one day after suing Binance

#268
post #48

If you look up the definitions of "security", "financial instrument", "commodity", and "currency", it is pretty clear that a plain vanilla crypto-currency like Bitcoin is no ordinary security nor a financial instrument. It is not a claim on something else, even less so than a traditional bank note. It is more like a commodity. Since when is "aluminum" a security? A crypto currency business however may be engaged in t…

> Since when is "aluminum" a security?

But you don't buy "bitcoin". You buy an entry in a ledger that you are assigned "a bitcoin", so it is just a claim you trade.

Re: US SEC sues Coinbase, one day after suing Binance

#269
post #23

There is a well-documented public history of Coinbase taunting the SEC - they had it coming. - https://www.coinbase.com/blog/the-sec-has-told-us-it-wants-t... - https://www.coinbase.com/blog/coinbase-does-not-list-securit... - https://www.coinbase.com/blog/coinbases-staking-services-are... - https://www.coinbase.com/blog/we-asked-the-sec-for-reasonabl... - https://www.coinbase.com/blog/coinbase-takes-another-formal-.…

of course, how dare private citizens not kiss the feet of unelected government officials. I love when government institutions take retribution for being "taunted"

Re: US SEC sues Coinbase, one day after suing Binance

#270
post #153

I know their are legalities I am not an expert in on finance, but my conspiracy theorist is bubbling up given the failed crypto bank, the SEC suing Binance and Coinbase, and the US and world government move for traceable, government managed and controlled digital currencies. I was at the first HOPE in 1994[1] at the Penn Hotel in NYC when Eric Hughes (known for the Cypherpunk Manifesto) and others gave a talk on cryp…

It's gotten to the point where political candidates (and politicians) have to cover their tracks when paying for things, lest they be criticized for their choices. If you ever want to run for office you'd better never use a credit card at a porn shop, McDonald's (it's unhealthy), etc. This applies to data that insurance companies harvest from as well.

I used to be one of those people that said "I have nothing to hide and the conveniences outweigh the negatives", but I'm getting more and more cynical on data dragnets as I'm growing older.

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