Why FinCen Only Pushes BTC Higher

in LeoFinance2 months ago

Hey Jessinvestors

Cryptocurrency is still a minority investment, very few people own this asset class, and even fewer people care about it. A large majority are just here to gamble and make some money they don't even take a look at underlying fundamentals or what the plan for the market is, it's all about grabbing cash and does give a Ponzi like theme to it.

This to me is a feature not a bug, a way to obfuscate what is being built in the background while price mania takes the media and regulators attention.

I hear plenty of detractors saying Bitcoin is backed by nothing and is going to zero, and that's fine, there's a lot of money that can go zero, stonks, bonds, fiat currency, yet here we are and continue on.

Additionally, If cryptocurrency is doomed to fail, why even bother regulating it? Wouldn't it with time-kill itself? Surely you're wasting your time beating a dead horse right?

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What's this FinCEN nonsense all about?

So departing Treasury Secretary Steven Mnuchin-Putin wants to fire some shots before he leaves office by first wanting to enforce cold and hot wallet storage to have KYC with exchanges before people can draw their capital out of exchanges.

Rightly, its no ones business how much crypto you own or the value yet these nutters feel they need to know, like a jealous 17-year-old girl screaming for the password to your phone.

Lately, we've heard that they're trying to push it even further with U.S. citizens having to report cryptocurrency accounts held with foreign institutions if they are more than $10,000 in value.

What if you bought $5000 of a coin and it doubles, now suddenly you need to disclose this? That's dumb, it's not my fault the dollar is getting debased and demand for scarce assets rises.

I still have the same amount of crypto I paid 5k for, it just seems like they're trying to find ways to keep a lid on crypto-like they do with precious metals, here's looking at you JP Morgan and Scotia Bank.

Bans trade at a premium

We've seen countries lay down bans on Bitcoin in the past with both China and India trying to implement it and all they did was push the price up in their country as scarcity drove a premium on the price.

This puts your country at a disadvantage and any business wanting to leverage crypto, will have to move to remain competitive. This means you kill a growing part of your countries tech sector and ship it to competitive nations to make them stronger.

As soon as the narrative of lost jobs from bans takes hold, it's hard for governments to reinforce it, not that they can't. We've seen how desperate governments can get to retain power, such as Venezuela, Lebanon and North Korea being extreme examples, but you might be surprised at how far your government is willing to go if they feel threatened.

A bank run on exchanges

If regulation like this does pass, you'll see some rightly sell their crypto to appease their overlords while others pull off a steady bank run and pull crypto off exchanges before its too late and secure their positions in cold and hot storage.

We'll see the testing of the solvency of exchanges, while mining operations may opt to sell their coins at a premium on the DEX market versus the current central exchanges since they'll get a better price for their coins.

Who will follow the leader

You best believe if the US pushes this through the cronies in other countries may want to follow the blueprint, so you best watch out and make sure you store your crypto in wallets where you have the seed phrase ownership.

Other countries, like my own IF, and this is a big IF they are smart would not follow this as we've been crushed under dollar dominance for years and it's an opportunity to break away from that and attract capital and skills investment.

The smart money moves to where it gets the most freedom, so where will that be? It remains to be seen which countries will side with crypto and which will side with a new Bretton Woods.

Have your say

What do you good people of HIVE think?

So have at it my Jessies! If you don't have something to comment, comment "I am a Jessie."

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Bitcoin and cryptocurrencies are not legal tender in Pakistan and there were lots of arrested and then high Court say we didn't Ban crypto it's total bullshit

That's horrible so how do people turn crypto into rupee if they get it like from HIVE or is there no point in cashing out?

I do cash out but thought 3rd party and they take 9 present fee it's totally crappy
So I buy hive token instead

Thanks for todays post.
Back to work and you join My coffee.
Just get My neighboor more intressed about crypto - Thats fun!

Pic from My New Office. Come here and have Some snowball war

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LOL, are you a Bitcoin preacher now? Telling anyone who will listen. I picture you like this.

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That's a pretty nice and gloomy view, id definitely stay indoors and work very hard lol

no, I have not talking so much about BTC More "fun fact about how to use crypto". LIke splinterlands and smart contract. But fun that someone whants to hear me talking about it
.

The most funny thing - that man looks like me

What if you bought $5000 of a coin and it doubles, now suddenly you need to disclose this? That's dumb, it's not my fault the dollar is getting debased and demand for scarce assets rises.

exactly! and there are also many loopholes to try and avoid taxes and stuff because this is a completely new thing that they can't control the way they are trying. Slowly though it hurts them when they see the average joe earning some good money without workings 12 hours for 1000$

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I think so too, as long as you don’t move it into traditional fiat money there’s very little they can do about it! You can rather move it into a stable coin and spend that

I think eventually we won’t even need stable coins that much of BTCs market cap hits 10 trillion the satoshi will be stable enough to use too or you can generate BTC backed currerency on the RGB network

So you can pay directly on chain and never need to go into fiat! Fiat only goes in and never comes out lol

Who are you kidding, like must countries, ours is not smart. You would not be elected if you were capable of being smart.

Maybe being smart isn’t the motivation for them and just hating how much control the dollar has had on the South African market would be enough to transition but who knows?

I’ll keep burning my rands for BTC lol rands are a shit coin

Lol I am actually terrified of the knock on my door when I pull it all off the exchanges lol, those cold wallets are going to be buried off my property and at least 1000 km away from my physical location.

I will have a significant other drug me before taking me to the location to make sure there is no possible way I could access my funds whatsoever.

LOL sounds like a good plan, perhaps you should also set up a mulit-sig, it also makes hodling easier for people like us since its such a mission to get your BTC why bother selling it lol

There is a lot of bureaucracy and pressure from banks maybe ?
That’s why some govts are banning ?

Could be, I have no idea but I’ve seen US banks can now custody Bitcoin! I think each country will adopt or reject it at certain levels at the harm of Their economy

If you a millionaire in crypto and your country bans it you’ll leave, more wealthy people that leave countries the worse off the country becomes

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