1 = 906.92 USD

Bitcoin News

Government Bitcoin Regulations

We here to report latest news on new products and business that relates to government regulation of bitcoin, worldwide. If you need the latest bitcoin regulation news, Bitconnect will report on latest regulation on bitcoin and other crypto currency.




  • Bitcoin Exchanges in China Change Trading Rules After Regulator Visit

    ​he world of Bitcoin is a new, exciting, and largely unregulated place. This has its pros and cons, but the recent bubble bursting earlier this month caused quite a stir in China, where the lion’s share of the world’s Bitcoin trading takes place. The issues uncovered were enough to draw regulators into the top three Bitcoin exchanges in the world, and this, in turn, has driven these exchanges to alter they way they will do their Bitcoin business transactions in 2017.

    The end of a Golden Era in Bitcoin Trading

    In China, these massive exchanges have made their volumes explode due to their no-fee trading policies. This has attracted new business and has forced a fierce competition for that no-fee business. This has also led to inflated volume trading numbers, as many of these trade made were account owners trading to themselves to drive down their withdrawal fees, the way the exchanges actually earn an income in this business model.

    "(Since there are no transactional fees,) Chinese exchanges generate most of their revenue from CNY withdrawal fees,” said Neil Woodfine, Chief Operating Officer of Remitsy earlier this month. “And these CNY withdrawal fees are tiered based on each trader’s trade volume, encouraging traders to trade as much as possible to lower the cost of withdrawing their profits".

    Problem was that the sheer number of trades attempting to take place when Bitcoin was dropping fast prevented many from accessing their funds and protecting their digital wealth. We reported that some changes were likely to come after this calamity, and some consumer complaints, some discussions with regulators and some internal meetings generated the following policy changes. These will take effect in all three major Chinese exchanges, BTCC, Huobi, and OKCoin, starting tomorrow. Here’s the message on OKCoin’s News page.

    In order to curb speculation and prevent price volatility, currency OKCoin line will take effect January 24, 2017, 12:00 start charging transaction fees, specific adjustments are as follows: 1. Transaction fees according to a fixed proportion collect, sell the yuan, to buy or collect bitcoin, litecoin; 2. active and passive auction turnover rates; 3. service fee charged by a fixed rate of 0.2% of turnover.

    A similar message can be seen on the other exchange’s blogs, news pages, or Twitter feeds. This should reveal the true trading volume of each, and rebalance the market, somewhat. Interestingly, the London’s Coinfloor announced this weekend that they are going to a no-fee trading strategy, effective immediately, obviously to fill this market void and attract a new level of volume from traders around the world.

    So no shortage of major changes in major markets, with Donald Trump getting inaugurated on Friday, Chinese exchanges and their regulators changing their trading practices and Coinfloor looking to become a global force. The news may have influenced the buying market, as Bitcoin values rose about 3% over the weekend.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • European Union Seeks to Fast-Track Bitcoin-bashing Regulations

    The crumbling dystopia that has become the globalist precursor know as the European Union has many problems. Many nations, if not most nations, are suffering from what seems to be an orchestrated destabilization of un-vetted immigration, leading to rampant crime waves that include, robbery, assault, and rape. One might characterize this alone as a mass exercise of terrorism. This pressing issue of rampant crime seems to be exploding, but the E.U. wants to get this problem with Bitcoin solved before the end of 2017.

    Maybe you haven’t heard…..

    The European Parliament has recently published “The Juncker Commission’s ten priorities” for 2017. These are ten issues that they see as most important to address in 2017 for the member states, and Bitcoin made this list. It seems Bitcoin has been labeled as a funding source for terrorism. Strike that.

    They obviously cannot say that Bitcoin is a funding source for terrorism, but they say “risks linked to” terrorism, in effect proving that this initiative is more of a witch hunt and power grab than an actual solution to a real problem. Here is their quote in their new report, which can be seen here

    Under subheading “Priority 7: An area of justice and fundamental rights based on mutual trust,”it states within the subsection “Fighting terrorism:”

    In July 2016, the European Commission proposed targeted amendments to the 2015 Fourth Anti-Money Laundering Directive. The issues addressed include safeguards for financial flows from high-risk third countries, EU financial intelligence units’ powers, centralized national bank and payment account registers, and risks linked to virtual currencies and anonymous pre-paid cards.

    The report does have plenty of hyperlinks leading to more European Union missives and directives. Bitcoin falls under the “Fourth Money Laundering Directive,” which refers to Bitcoin as “electronic money,” leads to more interesting quotes. Let’s look at the E.U’s views on people having Euros of any quantity, and how they’ll limit that ability.

    The use of large cash payments is highly vulnerable to money laundering and terrorist financing. In order to increase vigilance and mitigate the risks posed by such cash payments, persons trading in goods should be covered by this Directive to the extent that they make or receive cash payments of EUR 10,000 or more.

    Under Article 12 of the Directive, the regulation specifies if you have more than 250 Euros, you are to be subject to full “due diligence” disclosure, explained thusly:

    “….a Member State may allow obliged entities not to apply certain customer due diligence measures with respect to electronic money", where all of the following risk-mitigating conditions are met:

    (a) the payment instrument is not reloadable, or has a maximum monthly payment transactions limit of EUR 250 which can be used only in that Member State;

    (b) the maximum amount stored electronically does not exceed EUR 250;

    (c) the payment instrument is used exclusively to purchase goods or services;

    (d) the payment instrument cannot be funded with anonymous electronic money;

    In other words, expect to be subject to any and all kinds of attacks on your freedoms and dealings if you have more than 250 Euros worth of BTC linked to you if you are European Union property, that is. If you are packing this much dangerous electronic heat, you could be accused of anything, from tax evasion, to terrorism funding, to money laundering, or anything else the globalist state wants to attach to you.

    No wonder why the United Kingdom voted themselves out of this unelected mess, while the somewhat free people of Italy and France are angling to move on to better things later this year in upcoming referendums and elections. Globalism is losing to nationalism, and this may be just the beginning.

    Keep in mind the United Kingdom, France, and Italy make up three of the top four economies within the European Union, not including Germany, who has maintained the majority of the control of its governance and power, so they are not going anywhere. Yet, if another major force within departs, the E.U. should collapse in full by the end of the decade, IMO.

    The chances that both disengage is good enough where some E.U. leaders are considering preventing future referendums to keep Member States captive in this political failure. A former member of The Communist Party, Slovak Prime Minister Robert Fico, stated that the EU was struggling with various problems and he begged the 27 other EU members not to allow any more referendums, saying ”The people could not be allowed to decide their own future."

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • Coinbase CEO Makes Officially Responds to IRS Tax Summons

    ​​The new year has not brought a new resolution to the pending issue between Bitcoin mega-corporation Coinbase and the IRS. About six weeks ago, the IRS filed a “John Doe” summons against Coinbase, and Coinbase alone, seeking an extreme amount of information on any and all users of their services from 2013-2015.

    This information includes transaction history, IP addresses, transcripts with customer support, and much more information, essentially treating every person who used Coinbase as a criminal. Over the weekend, Coinbase CEO Brian Armstrong fired back, speaking truth to power.

    Punished for being an American company

    Being an American sounds pretty darn sweet to many people around the world, but there is a price to pay for residing in “The Land of the Free.’ One of the prices extolled is mass surveillance, and this price is growing almost every day. The government seems to have an unlimited power, at the moment, to take any and all information about any American company and/or individual, and Coinbase is fighting this latest precedent-setting power grab in court.

    “We have worked to comply with all IRS guidance in our space, beginning with the March 2014 guidance on virtual currency,” said Armstrong in his Medium blog post. “I believe Coinbase and the IRS fundamentally want the same thing: for all U.S. users of virtual currency to pay their taxes. I also feel that the IRS sending us a John Doe summons on all customer accounts is not the best way for us to mutually accomplish this objective.”

    The official summons identifies exactly one taxpayer, identified as “Taxpayer 1,” and two companies, known as Taxpayers 2 and 3, who deal in Bitcoin and who knowingly used Bitcoin to avoid paying taxes required by the IRS. So, in other words, the summons has implicated three taxpayers and Coinbase is now unable to protect the identities of users.

    Coinbase receives this personal information from consumers under the guise that it will be safe from thrid parties, and this flies in the face of that, on top of unconstitutional illegal search and seizure statutes.

    “Their most recent subpoena asks us to turn over records on all customers. Suffice to say, we feel the IRS’s subpoena is overly broad and incorrectly implies that all users of virtual currency are evading taxes. Asking for detailed transaction information on so many people, simply for using digital currency, is a violation of their privacy, and is not the best way for us to accomplish our mutual objective.”

    Coinbase also rightly points out that they are being attacked in this legal manner, penalized, due to the fact that they are based in the United States and are essentially an easy target. Armstrong points out that other exchanges not based in the U.S. are not treated this way and would not be bound to fight the IRS legally. Given the amicable history between the two, Armstrong believes the IRS could have handled this better, and made it easier for users to report like other investors have seen in other industries.

    “Sadly, given the overly broad subpoena, it appears we will be forced to contest it in court to protect our customers privacy, at great expense. My hope is that the IRS is willing to work with us to establish a sensible reporting mechanism, like 1099 reporting that all brokerage services like Fidelity and Charles Schwab use. A protracted legal battle, seeking to reveal private information from people who are not evading taxes, would be bad for Coinbase, the IRS, and many U.S. citizens.”

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • Bitcoin Banned in Colombia

    ​​Finding good news about the exciting world of Bitcoin and decentralized digital currency isn’t hard to find these days. Exchanges around the world are reporting trading records, the Bitcoin price has reached three-year highs, and even the mainstream media is feeling Bitcoin fever. Yet, not every nation in the world is enamored with “The Internet of Money,” as the South American nation of Colombia has decided to end 2016 by banning Bitcoin usage, domestically.

    Bitcoin ‘Investment Clubs’ Blamed

    Francisco Reyes Villamizar, the superintendent of Colombia’s Superintendencia de Sociedades, made the announcement before the New Year’s holiday that the only legal currency in Colombia is the peso, making Bitcoin’s digital currency illegal. The problem stems from the growing cottage industry of Bitcoin ‘Investment clubs.’ 

    Reportedly dozens of citizens in the country have filed formal complaints of these firms who operate as ‘pyramid schemes.’ The operators offer fantastic returns in excess of 100% in a matter of a couple of months in exchange for investments and referrals to more investors.

    "Investors should know that they are exposed to enormous risks by investing in alleged currencies that have not been accepted as legal in the country," Reyes Villamizar said. “These so-called advisers promise investors to manage their bets on investment platforms and generate higher returns than they would get if they bet their money directly (loosely translated).”

    These individuals and companies usually operate under pseudonyms and organize forums and ‘private’ meetings on different technology platforms to leave no trace. Exactly how Bitcoin would be banned by the average mobile wallet user has not been determined, and the ban may only apply to such business-related uses like investment startups.

    This marks the first official banning of Bitcoin on any national scale that we have discovered. As we reported last year, regulators within Russia were considering their own ban, with the potential for up to seven years of prison time for the use of Bitcoin, but have since relented. Bitcoin investment at sites like LocalBitCoins.com has grown to new heights over the last six months.

    Many nations have seen the nation’s central bank issue an official warning against the use of “virtual currencies,” as ion the African nation of Kenya, for example. However, an outright government ban is not commonly seen, much less enforced. Nations are much more likely to create their own version of Bitcoin, as we have previously reported. The nation of Japan has gone so far as to legalize Bitcoin use officially, and put its value on par with the Japanese Yen.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • European Union Begins Crackdown on Bitcoin and Altcoins in the name of Fighting Terrorism

    ​The narrative that “terrorism” is a great reason to take everyone’s freedom’s and privacy is being played out in the E.U. on a daily basis. Whether it is women being taught to wear makeup over bruises from immigrant attacks to restrictions on cash and precious metal usage, the E.U. is quickly collapsing into a failing socialist state. As Bitconnect has reported previously, Bitcoin is certainly on the list of nice things the average citizen can’t be trusted with int he region, and even altcoins are under attack by the new E.U. regulations.

     

    The E.U. Council created an official draft last week outlining its position for more stringent EU rules set to prevent “money laundering and terrorist financing.” The draft directive has two main objectives: To prevent the financial system to finance criminal acts is used; the transparency rules should be tightened to prevent money be kept secret on any large scale.

    Using recent “terrorist” events, what some are calling “false flags,” as justification, this draft directive aims to ensure a balanced balance between the need for increased security and the need to protect fundamental rights and economic freedoms. The proposal is part of the Action Plan the Commission to combat the financing of terrorism.

    First on the list is limiting the “risks associated with prepaid cards and virtual currency.” The threshold for determining holders of prepaid cards has been reduced from € 250 to € 150 and the requirements for the review of customers have been extended. Exchange platforms for any and all virtual currencies and providers of electronic purses must comply with their due diligence and conduct customer checks to remove the anonymity of such exchange transactions. This is what they said about cataloging digital currency users:

    “The report shall be accompanied, if necessary, by appropriate proposals, including, where appropriate, with respect to virtual currencies, empowerments to set-up and maintain a central database registering users' identities accessible to FIUs, as well as self-declaration forms for the use of virtual currency users.”

    Of course, a central database can be hacked from the outside, or surveillance from the inside, which is safety features of Bitcoin and other digital currencies users are trying by being decentralized in practice, but this of course if of no concern to the E.U. Council or Commission.

    European Union Member States have 12 months to transpose the directive into national legislation. However, longer deadlines (24 or 36 months) apply to the implementation of the various provisions relating to the registers of economic owners.

    One of the many flaws in this pending legislation is that it has been proven that Bitcoin is not a source of terrorist funding. The HM Treasury in Great Britain spent 2015 doing an exhaustive review of all the sources of terrorism funding and Bitcoin came in at the bottom of the list, with cash and bank transfers being the primary sources. For details on this U.K. study on the matter,click here.

    The E.U. legislators have clearly not done nearly the research as the HM Treasury, and have provided no information showing Bitcoin to be a source of terrorism financing, but they intimate that it could be used in the future, so the spin is that are basically being proactive.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • President-elect Trump Nominates Bitcoin Advocate to U.S. Government Finance Post

    ​President-elect Donald John Trump has been making waves ever since Election Day, and has had many interesting meetings and appointed many people to his future cabinet. Now that the electors have successfully voted Mr. Trump as President on Monday, only a ceremonial counting of the ballots remains next month before he is sworn in on January 20th, 2017.

    Now, with the actual election squared away, it is time to start managing the nation’s finance, and who better than a Bitcoin man for the job? Congressman Rep. Mick Mulvaney (R-S.C.) has been tapped by Donald Trump to run the Office of Management and Budget

    What does the head of the Office of Management and Budget (OMB) control anyway? According to whitehouse.gov, the OMB assists the President in overseeing the preparation of the Federal budget and in supervising its administration in Federal agencies. The OMB also oversees and coordinates the Administration's procurement, financial management, information, and regulatory policies. Sounds like an important position, to me.

    Mulvaney has distinguished himself as an ardent Bitcoin advocate, going so far as to attempt to educate others in government. Not long ago, back in September, Mulvaney and Jared Polis (D-Colo.) launched the bipartisan Blockchain Caucus Monday to help their colleagues stay up to speed on evolving digital currency and blockchain technologies and develop policies that advance them.

    "Blockchain technology has the potential to revolutionize the financial services industry, the U.S. economy and the delivery of government services, and I am proud to be involved with this initiative," Mulvaney said in a statement. 

    Mulvaney has also been in close contact with Jerry Brito of Coin Center on this mission of digital currency education within Washington.

    "For the past two years we have worked with Representatives Mulvaney and Polis to educate their colleagues through briefings and other events, and the new Congressional Blockchain Caucus will be a wonderful new platform to continue these efforts," said Jerry Brito, executive director of Coin Center. "

    "Their forward-thinking leadership on blockchain technology in Congress is unmatched.”

    The mainstream media in the United States is up-in-arms about this newest antiestablishment selection, so you might think he is the right man for the job. President-elect Trump seems very impressed with his mental acumen, which might be important in such a position, stating “He’s a tremendous talent, especially when it comes to numbers and budgets,” Mr. Trump said in a statement about Mulvaney.

    This is easily the highest office any Bitcoin-advocate has ever attained within the United States. In my opinion, this is quite a Christmas gift from the nation’s next President to the Bitcoin community. To congratulate Mr. Mick Mulvaney, you can use his contact form at his house.gov website here.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • Bitcoin Adoption Report: Indian Merchants Starting to Accept Bitcoin By the Hundreds

    Bitcoin seems poised to end 2016 on a strong note. Bitcoin has undergone an unprecedented level of transactional volume in Q4 of 2016. November of 2016 was the highest volume month in Bitcoin history, according to Bitcoinity, and the economic conditions in India seem to be a key ingredient to this uptick in global Bitcoin demand.

    India’s leading bitcoin company Unocoin says that the average number of visitors to its site has crossed 14,000 from its daily average of 4,000 users before demonetisation. Zebpay, a local bitcoin company, has seen trades worth 75 cr in November 2016 alone, compared to a trade of Rs 100 cr in all of 2015.

    Now, it seems that merchants are getting in on the cryptocurrency action. Japan has seen a great uptick in business adoption, sporting over 1000 merchants nationwide, and that was as of several months ago. Hundreds of merchants in India have now adopted Bitcoin as a payment option due to the serious demonetization issues taking place in India over the past six weeks.

    “Over 500 merchants have started accepting bitcoins in India. And trading volumes are growing rapidly on the major Indian exchanges,” said Amit Bhardwaj, founder GBMiners, told Tech2 Firstpost. “Bitcoin and a few other cryptocurrencies are already (common) in many countries in Europe. India is yet to reach there, (but) demonetization has certainly reduced the time it would have taken India to reach there otherwise.”

    Another reason for the potential long-term demand for Bitcoin in India is a new tax program targeting people who own and buy gold. Tax regulations have also become much more strict recently, so between the problems just holding cash and/or gold, Bitcoin seems to be in the right place at the right time.

    “I believe times couldn’t have been better for the Indian investment class to fall in love with bitcoin, and this is exactly the reason behind the jump in both bitcoin price and volumes in the country,” Bhardwaj said.

    As Indian banks and government regulators all but force people into using economic alternatives, like Bitcoin, Bitcoin price has skyrocketed. Strangely, the election of Donald Trump in the United States and the actions of Prime Minister Modi in India both took place on November 8th, and Bitcoin values have risen over 10% since this date, with an $800 USD price by year’s end all but assured.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • 7 Nations Where Cash Bans Are Spuring Bitcoin Demand

    Everywhere you turn this year, it seems it is getting harder and harder to get cash from banks. One might even surmise it could be some sort of global conspiracy, things have changed so swiftly and decisively against the use of cash. Let’s review seven countries where cash has become scarce and Bitcoin is in demand. We’ll tie the demand for Bitcoin in each nation to the LocalBitcoins purchase numbers provided by Coindance, where applicable.

    Australia

    Australia has always been a hotbed of bitcoin activity, with entire towns saying they would enable Bitcoin payments for all public services as far back as two years ago. This will not abate after the country has begun to turn on the national paper. Citibank has said that people aren’t using cash but less than 5% of the time for deposits, so their branches no longer accept cash deposits. maybe they aren’t using cash because they’re so busy using Bitcoin? Purchases of Bitcoin at LBC has tripled in 2016.

    India

    India has dominated the financial news worldwide with their recent demonetization. Bitcoin has been trading for over $1000 USD in the aftermath. India is a cash-based society where over 90% of all purchases are done in cash, and now they have lost their two most popular currency notes, cause death and hardship. LocalBitcoins Bitcoin demand has gone from 4.4 Million Rupees in June to as much as 27 million a week this month.

    Sweden

    Going cashless has been a long-term plan in Sweden and other Nordic countries for several years now. Less than 1 in 5 purchases today are made in cash, as most transactions are done with some form of bank payment card. Bitcoin purchases at LBC have more than doubled since the first of the year.

    The Ukraine

    Life in the Ukraine has not been a hayride over the last couple of years. Constant issues with NATO and Russia threatening warfare, government coups, and recently government officials have announced they will go to a national digital currency. Bitcoin purchasing has more than tripled since the end of July.

    South Korea

    2016 has become a technological arrival party for this tech-savvy nation. The Bank of Korea has made many announcements, including the plan to phase out coinage by 2020. This is another location where card, not cash, is king. They even use cards to pay for taxi service. They plan to have a national digital currency in the years to come and have made deals with Singapore for a partnership to implement these changes.

    Singapore

    One of the most potent economic powers in Asia is taking a leadership role when it comes to a digitized future of money. Bitcoin is commonly used in this denselypopulated island nation, and many businesses do not accept cash at all. They have forged an agreement with tech-leader South Korea to work together on such initiatives. In a switch, while Bitcoin usage by people and businesses is relatively high, compared to other nations, Bitcoin purchasing demand is consistently low in Singapore, at least through LocalBitcoins.com

    Venezuela

    This country's monetary problems have become severe, with people waiting in line for hours for many services due to the lack of supply of goods, or the lack of funds. The Venezuelan bolivar has lost more than half its value just in the last month alone, and President Maduro just announced that the 100-bolivar bill will be discontinued this week. Bitcoin demand is up about 1000% in the last six months.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • South Korea Begins Transition to Becoming a Cashless Society

    People who use Bitcoin as “early adopters” are really people who are a few years ahead of a global trend or financial curve. Bitcoin is digital cash, and the rest of the world is now moving away from physical cash and is becoming more Bitcoinlike every day. Nations are building their own blockchains and digital currencies. If you can’t beat Bitcoin, join Bitcoin in the “Digital Currency Age.” The next nation to publicly declare their digital intentions is South Korea.

    The Bank of Korea, South Korea’s central bank, has begun a program to remove coinage from the culture over the next 5 years. The plan is to funnel the populace into using these coins to fund the nation’s popular “TMoney” card that is used at popular stores, taxis and public transportation sites throughout the country.

    "When we make a 10 won coin, it costs more than 10 won," said Lee Hyo-chan, head of research at the Credit Finance Institute in Seoul to the Financial Times, adding that "if Korea goes coinless, it is good for both customers and sellers as sellers will not need to prepare enough coins for their business."

    South Korea’s use of cards for payments is amongst the highest in the world, and their use of fiat currency for payments among the lowest. Only 1 out of 5 payments are made with cash, where in the United States it is close to 1 out of 2. The average South Korean citizen also has about 2 credit cards, making fo fertile ground in the global attack on cash as an economic option.

    "We can save a lot of cost by not using cash," said Kim Seong Hoon, a researcher at the Korea Economic Research Institute. "If we abandon cash, we could see 1.2 percent extra economic growth a year. A cashless society can help us tackle low growth, low inflation, and the low-interest environment.”

    On the surface, this is very sound and logical, to remove cash from the system to save money in production and security costs. The downside is when every transaction goes digital, all of that meta data and information is stored on a central server somewhere. It is shared with some intermediaries within the system. And it will be hacked by someone. Cash removes these real threats from the consumer’s economic profile and gives them the freedom and peace of mind a fully digital society may never offer again.

    Will you trust your national bank and government’s future copy of Bitcoin? Or will you stick with the original? If you’re going to go digital currency, choose your digital currency wisely.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University

  • Another Day, Another Bank Found Rigging Global Finance Markets

    As a banker on Wall Street, from 2008-2011, I learned a great deal about the way the world turns. You know what they say, “Money makes the world go ‘round.” It proved much different in the real world than my standard college education in economics. Colleges do not teach you how to become a banker, much less how the FOREX market really does business.

    Like politics, the banking industry definitely has a seedy side, an underbelly, that I was not comfortable with, ethically, so I heading into the Bitcoin space. This story underscores why many good people in banking have headed for higher ground. Deutsche Bank has settled their market manipulation lawsuit from 2014 for a reported $60 Million USD.

    This is not standard industry practice, is it?

    Before I get to that, let’s go over what happened here. If you are an investor in precious metals, you may have noticed a disturbing trend in the value of gold and silver over the last five years or so. After peaking at about $1800 USD for gold and about $40 USD for silver back in 2011, the two popular investments have plummeted, causing silver investors to lose more than half of their value and gold to lose about 30%.

    Some found it strange that every financial advisor, known as FAs in banking circles, and television investment expert have told people to buy gold and buy silver for the last five years, yet the price has dropped in lockstep with all of this new money. It turns out that these precious metals markets have been controlled for years by banking interests like Deutsche Bank, and other banks.

    Deutsche Bank hasn’t even bothered to deny the claims against them in a classaction lawsuit outlining the following offenses against the common investor: employment of manipulative device claims, bid-rigging, and unjust enrichment, price fixing and unlawful restraint, price manipulation claims, and aiding and abetting and principal-agent claims.

    You see banks can independently, or collectively, manipulate a global market, or stock on an exchange, by “shorting” the stock or commodity, basically betting that it will lose value. This can be very profitable in a market as large as the global FOREX or gold market, and as you can see from any 5-year price history of Gold and silver, Deutsche Bank has made plenty of money doing this over the years.

    They certainly aren’t alone in this level of shadiness. Last year, the United States’ Department of Justice found some of the world’s largest banks guilty of currency and interest rate manipulation. Citicorp, JPMorgan Chase & Co., Barclays, Royal Bank of Scotland and UBS Group AG were found guilty of collusion, aligning positions, and timing transactions. The “short” of this story is that the markets are rigged, from the LIBOR to U.S. real estate, to interest rates, to precious metals like gold and silver.

    $60M USD is hardly a fine, as Deutsche Bank has made far more than that, you can be assured. This is a tacit slap on the wrist, and really a wink to keep doing it, maybe in a less obvious manner, and make sure other smaller banks don’t piggyback off their con game. Deutsche Bank made a very nice profit, and no one is going to jail, so what’s the problem?

    The only problem is you, the common investor, lost your shirt in their global 3- card Monty game over the last five years. If you think they’re the only bank rigging the precious metals market, you’re just a babe in the woods. This settlement is a farce, and it is meant to give the illusion of the policing of these markets. These are felony crimes where no one goes to jail for theft or embezzlement. No better than what Mark Karpeles did at the Mt. Gox exchange in 2013, just on a much grander scale.

    It is important that you understand the relationship between governments and banks, so I’ll wrap it up for you with these couple of paragraphs from “The International Man,Doug Casey, who explains it better than I ever could. (Get his free newsletter, BTW. Highly reommended.)

    “Governments, who are all bankrupt, borrow money from commercial banks. Commercial banks have lent it to them because they believe it’s a risk-free loan. Governments encourage them to lend recklessly, hoping that will jump-start sluggish economies. Central banks, which are the arms of their governments, have taken interest rates to zero and below for that reason and to make it easier for governments to service their debts.”

    “This policy has encouraged businesses to take on debt. It’s an idiotic and reckless experiment that will end, likely in this economic cycle, with bankrupt central banks and governments bailing out bankrupt commercial banks and businesses. Just the way they did in 2007–2009. Except this time (in the coming global economic crisis) the situation is much more serious.”

    So this is something you should keep in mind, going forward. Are you investing in financial systems that are rigged by the banks against you, like FOREX, gold, and silver? Or are you investing in sound money, free-market capitalism markets, like Bitcoin?

    If you want a legitimate economic market to invest in, Bitcoin may be “The Last of the Mohicans.

    Author : Evander Smart

    Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University