5 ms·

Yup, we'll probably be stuck with only 2-4 exchanges that are able to afford the regulatory burden and then the regulators will claim a victory for "helping the

by drcode 9y ago

Yup, we'll probably be stuck with only 2-4 exchanges that are able to afford the regulatory burden and then the regulators will claim a victory for "helping the little guy."

lmkg 9y ago
We'll be stuck with the 2-4 exchanges run by the few people still interested in using BitCoin as a way to change the world, instead of trying to use it as a not-yet-illegal get-rich-quick scheme.
- Qub3d 9y ago
  "Tulips are an excellent investment strategy. As a guy who can sell you tulip bulbs, you can trust me!"
  - drcode 9y ago
    Worked out for the Dutch: They now sell 2/3rds of the world's tulips, and the tulip mania lead to the start of a massive industry.
  - em3rgent0rdr 9y ago
    The whole "Tulip Bubble" myth is overblown. https://www.smithsonianmag.com/history/there-never-was-real-tulip-fever-180964915/ https://www.smithsonianmag.com/history/there-never-was-real-...
appstateguy 9y ago
Regulatory burdens like not using customer's deposit's as a their personal piggy bank? There's good reason for exchanges to be well regulated.
Sangermaine 9y ago
Which it will be, as the vast, vast majority of people aren't committed to accepting endless fraud and embezzlement out of ideological zealotry. Libertarians can still form their own exchanges where they are free to be continuously swindled and conned.
- figgis 9y ago
  >Libertarians can still form their own exchanges where they are free to be continuously swindled and conned. Would all of this not also remove the ability to create those 'free exchanges'?
  - htormey 9y ago
    Backroom poker games and people sharing copyrighted music they didn’t pay for are still a thing so most likely no. You will still have the ability to start an anonymous exchange, it just wont necessarily be legal in all countries.
    - olefoo 9y ago
      And if you're an American citizen; you'd still be legally obligated to report income gains realized by sales through those exchanges.
lambda 9y ago
As a "little guy" who lost a lot of USD and Bitcoin in the MtGox fiasco (luckily, nothing I couldn't afford to lose, though with the price BTC is trading at now it would be really nice to still have those BTC), and any possible partial payout through the bankruptcy process is tied up in potential litigation, I'm a fan of more heavily regulated exchanges that I can actually trust. Since the MtGox fiasco, I've never bothered trying to liquidate any more of my Bitcoin, and instead just occasionally use it to pay for things which accept direct Bitcoin payment. I'd be a lot happier with a trustworthy, audited exchange. If there are smaller exchanges that couldn't deal with the regulation, they probably also can't deal with security, keeping enough secure reserves to be able to pay out in the case of losses, auditing both their security and finances to ensure that they stay healthy and liquidate gracefully if they ever run into financial trouble.
- deleted 9y ago
  [deleted]

by drcode 9y ago

Yup, we'll probably be stuck with only 2-4 exchanges that are able to afford the regulatory burden and then the regulators will claim a victory for "helping the little guy."

lmkg 9y ago

We'll be stuck with the 2-4 exchanges run by the few people still interested in using BitCoin as a way to change the world, instead of trying to use it as a not-yet-illegal get-rich-quick scheme.

Qub3d 9y ago
"Tulips are an excellent investment strategy. As a guy who can sell you tulip bulbs, you can trust me!"
- drcode 9y ago
  Worked out for the Dutch: They now sell 2/3rds of the world's tulips, and the tulip mania lead to the start of a massive industry.
- em3rgent0rdr 9y ago
  The whole "Tulip Bubble" myth is overblown. https://www.smithsonianmag.com/history/there-never-was-real-tulip-fever-180964915/ https://www.smithsonianmag.com/history/there-never-was-real-...

appstateguy 9y ago

Regulatory burdens like not using customer's deposit's as a their personal piggy bank? There's good reason for exchanges to be well regulated.

Sangermaine 9y ago

Which it will be, as the vast, vast majority of people aren't committed to accepting endless fraud and embezzlement out of ideological zealotry. Libertarians can still form their own exchanges where they are free to be continuously swindled and conned.

figgis 9y ago
>Libertarians can still form their own exchanges where they are free to be continuously swindled and conned. Would all of this not also remove the ability to create those 'free exchanges'?
- htormey 9y ago
  Backroom poker games and people sharing copyrighted music they didn’t pay for are still a thing so most likely no. You will still have the ability to start an anonymous exchange, it just wont necessarily be legal in all countries.
  - olefoo 9y ago
    And if you're an American citizen; you'd still be legally obligated to report income gains realized by sales through those exchanges.

lambda 9y ago

As a "little guy" who lost a lot of USD and Bitcoin in the MtGox fiasco (luckily, nothing I couldn't afford to lose, though with the price BTC is trading at now it would be really nice to still have those BTC), and any possible partial payout through the bankruptcy process is tied up in potential litigation, I'm a fan of more heavily regulated exchanges that I can actually trust. Since the MtGox fiasco, I've never bothered trying to liquidate any more of my Bitcoin, and instead just occasionally use it to pay for things which accept direct Bitcoin payment. I'd be a lot happier with a trustworthy, audited exchange. If there are smaller exchanges that couldn't deal with the regulation, they probably also can't deal with security, keeping enough secure reserves to be able to pay out in the case of losses, auditing both their security and finances to ensure that they stay healthy and liquidate gracefully if they ever run into financial trouble.

deleted 9y ago
[deleted]