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> If the exchange rate goes to zero Users would switch to an exchange in a different jurisdiction before the price ever hit zero.
by smokeyj 14y ago
> If the exchange rate goes to zero
Users would switch to an exchange in a different jurisdiction before the price ever hit zero.
- wmf 14y agoThe theory is that the top N exchanges would be taken out in a simultaneous raid (and the US can reach many jurisdictions, just ask Kim Dotcom) and the remaining tiny exchanges would either voluntarily shut down to avoid prosecution or would collapse under the volume. If the raid was on a Friday people would be unable to transfer money into exchanges until Monday, giving time for the price to drop.
- MacsHeadroom 14y agoThere are 30+ exchanges in two dozen countries that would benefit indirectly from other exchanges being taken down. The notion that these exchanges would shut down voluntarily just when things are looking up for them is ridiculous.