For those who haven't followed the drama up close, the FUD started on January 11th with the Minister of Justice in South Korea saying that the closing of crypto-exchanges is planned in the country.
But in response the administration of the president stated that such a decision had not yet been finally approved. And according to several outlets, regulations of crypto currencies in South Korea will be decided today, thursday 18th January.
As many of you know, South Korea has been THE most crypto-hungry country in the world. It is estimated that as much as 30% of all able working bodies own some type of crypto currency. And the country has become sort of a closed ecosystem because of that - with prices diverging from those in the rest of the world.
Petition against ban get 220,000 + signatures
After the rumors of a ban, a petition was created on December 28. The creator described how cryptos enabled people to improve their life and social standing.
“Our people have been able to make a happy dream that they have never had in Korea because of virtual currency…I might be able to buy a house in Korea where it is hard [for me] to buy my house.”
Oh no..we can't have any of that! People improving their lives dramatically due to free markets.
A petition of more than 200,000 qualifies to a response from the government.
And as all this is going on, new exchanges are popping up. High demand for cryptos.
South Korean officials caught insider trading
South Korean government officials have reportedly been caught insider trading. They sold all of their cryptocurrency holdings and profited just before the regulators announced crypto regulatory measures. The country’s Financial Supervisory Service is investigating the case.
What is going on is basically that crypto currencies are forcing governments to reveal themselves for what they are. Sure, anarchists, red pilled and ancaps have long understood what governments really are; oppressive, violent systems that operates in exactly the same way - or actually worse, than the mafia.
With cryptos it's really hard to do it half ways, because legalizing them means you accept free trade between people based on whichever currency they chose. And since a lot of crypto trading and peer2peer payments can be done semi-anonymous or for some coins even 99,999% anonymous, governments face the possibility that they won't be getting as much taxation. And taxation is the blood governments need. And not only that;
Governments need an every growing increase of blood to keep the ponzi scheeme known as government and FIAT currencies rule afloat.
So while people are so concerned about Bitconnect being a scam, they should look at their own governmental structure, and financial structure. It's not but a huge pyramid scheme. And they know it - for why else would they be so fearful of a competing currencies? FIAT-currencies are in the biggest bubble ever known to man, and makes the Bitcoin "bubble" look like a ant's fart in comparison.
Governments however, are not stupid
At the same time, governments have throughout the ages learned that granting their livestock some freedoms, have made us more productive and actually more OK with paying high taxes. We have learned that with cows as well. Cows produce more and better milk if granted a little bit of grass and freedom. We pay more taxes and fees now than at any other period in history. The story of Robin Hood portrays a period in time where people paid about 20% in taxation. Anything above that and they wouldn't make it. Today however, things are different, and in countries like Norway, we pay up to 60% in taxes and fees combined. Imagine how incredible our lives could have been if we had private control over that extra 60%..
So they know that this is a game changer. They know that they must either go full out totalitarian fascist on peoples asses and ban a string of code on the Internet, jail people from sending it back and forth etc. Which of course will reveal their true identity.
OR, they can "regulate it" somehow find a way to tax it, have control over it, and make it about 60% worse than it could have been in a free market. Inhibiting it. And that's what they are trying to figure out how to do in record speeds. And since time is of the essence here, they will make some bad decisions and faulty regulations.
But that is just how it is, and that is what's causing the FUD in people. Markets will be volatile in the years to come. It all depends on how much freedom the governments grants us. Because I don't think there will be a revolution. People will probably never stand up to governments. Most people are perfectly comfortable and satisfied by being ruled over. Even many people in the crypto community is begging for regulations and governments to intervene. "Oh no..the prices are going up too fast. I have to pretend to be this sensible little twat and ask for government regulations"
