4 ms·
What exactly does that mean? Is it illegal to, say, pay for a house in eggs (I give you 1 million eggs for this house)? Any kind of barter is illegal?
by knowitall 13y ago
What exactly does that mean? Is it illegal to, say, pay for a house in eggs (I give you 1 million eggs for this house)? Any kind of barter is illegal?
- lightyrs 13y agoChina has a pseudo-controlled economic system. Coupled with the reality that most Bitcoin transactions are traceable, this law effectively kills Bitcoin as a viable currency in China — for now.
- rajacombinator 13y agoYou can't reason with the guys with the guns.
- deleted 13y ago[deleted]
- gutnor 13y agoIn addition of other comments about Chinese economic control. There is plenty of regulation for bartering in most countries. Like for a house, you local IRS will have something to say if you exchange your house and dodge taxes like that. Taxes is the key issue in our economies.
- knowitall 13y agoSure dodging taxes is of course illegal. But you don't have to dodge taxes just because you barter.
- coldtea 13y ago>Any kind of barter is illegal? Don't know the situation in China, but that already holds for some countries. E.g in my country, any transaction over a certain amount of money (not very big), has to be done through a bank to be legal.
- bmelton 13y agoWell, effectively, it means that banks are disallowed from treating it like a currency. So, you could still trade a house for bitcoins, just as you could eggs, in theory, but what you can't do (again, same as eggs) is go to the bank to take out a loan in bitcoin to buy the house. You also can't make payments on a loan with bitcoin, store bitcoin in the bank or expect to accumulate interest (by the bank, disregarding proof-of-stake-type currencies), etc.
- kaonashi 13y agoCurrency and barter transactions are very different things. Currency transactions are based on credit, barter transactions are based on trading commodities without any intermediary.