IS THIS A JOKE?? bitcoins-affected-new-yorks-bitlicense-may-trade-discount

[gtraah]

http://www.coindesk.com/bitcoins-affected-new-yorks-bitlicense-may-trade-discount/

Am I hearing this right? Isnt coindesk taking it too far,




Due to potential IP address blocking and other techniques to identify and block New York-based traders, the exchanges operating within the jurisdiction may end up ‘ring-fencing’ themselves and their customers’ bitcoin.

Of course, this was not New York’s intention, but if other parties begin to shun ‘New York’ bitcoins, then those parties that do choose to accept them may only accept them at a discount, making it costly to transfer ‘non-private’ bitcoins out of New York.

[Malin Keshar]

Good news.

1 - Buy NY bitcoins at a discount.
2 - Send them to a not-NY based exchange or to a mixer.
3 - Easy profit, and 0 NY IP in your stake.


but this being discussed is a sign that bitcoin will fall due to regulation incertainty, so not really good

[gtraah]

Good news.

1 - Buy NY bitcoins at a discount.
2 - Send them to a not-NY based exchange or to a mixer.
3 - Easy profit, and 0 NY IP in your stake.


but this being discussed is a sign that bitcoin will fall due to regulation incertainty, so not really good

I dont beleive what Arthur Hayes, CEO and co-founder is saying here will happen in a million years:

“These regulations are going to make some savvy traders a lot of money. Because there is a premium placed on privacy, the ‘clean’ coins trading on exchanges with BitLicenses will trade at a discount to coins trading on exchanges that operate in more laissez-faire jurisdictions. Traders with the ability and risk appetite will be able to arbitrage the price differential.”


All that will happen is exchanges will not open in new york SIMPLE..... Why would ANY IDIOT open an exchange where the price will be different to the rest of the world... what a joke lol

[Bit_Happy]

...All that will happen is exchanges will not open in new york SIMPLE.....

New York is one of the biggest financial centers in the world, so exchanges WILL open in NY, and it's not that simple.

[gtraah]

...All that will happen is exchanges will not open in new york SIMPLE.....

New York is one of the biggest financial centers in the world, so exchanges WILL open in NY, and it's not that simple.

I didn't say they wont open , But open and selling at a lower value? You really think they will open knowing that they will be selling their bitcoins at lower than cost value? Id love to see this happen.

I think the price will end up being the same as the rest..

[yayayo]

...All that will happen is exchanges will not open in new york SIMPLE.....

New York is one of the biggest financial centers in the world, so exchanges WILL open in NY, and it's not that simple.

New York is the financial center of the fiat world, not of the cryptocurrency world. Other jursidictions will take over.

Bitcoin is not controlled by central banks or borders. Bitcoin companies are totally free in choosing the best jursidiction for their business. Only those entities that highly rely on the fiat-bitcoin link or are fiat investment vehicles (the WiVii ETF) might still choose NYC. But these entities are only a temporary phenomenon and will cease to exist as bitcoin evolves.

ya.ya.yo!

[tmbp]

People incorporated in communist U.S. will have to comply and not accept Bitcoins from NY the rest of the world just don't give two shits.

[DannyHamilton]

I didn't say they wont open , But open and selling at a lower value? You really think they will open knowing that they will be selling their bitcoins at lower than cost value? Id love to see this happen.

I think the price will end up being the same as the rest..

Why would the person operating the exchange care what price the bitcoins exchange at?  They get a percentage of every transaction (both local currency AND bitcoins).  It won't matter to them if bitcoins are trading at $1 or $10,000.

The exchange rate at any particular exchange will always vary compared to other exchanges based on many factors such as how easy or cheap it is to get money and bitcoins in and out of the exchange, how much privacy the exchange offers, how good the exchange's security is believed to be, how much volume the exchange handles, etc.

[RodeoX]

Such rules may be a disadvantage to traders in NYC, but so what? Their lawmakers did something stupid and they will pay for it by pushing some traders out of the area.
If I were buying from an NYC exchange and had to put up with additional B.S. and regulation, I would want a discounted price.  

Nice job killing the golden goose.  

[gtraah]

I didn't say they wont open , But open and selling at a lower value? You really think they will open knowing that they will be selling their bitcoins at lower than cost value? Id love to see this happen.

I think the price will end up being the same as the rest..

Why would the person operating the exchange care what price the bitcoins exchange at?  They get a percentage of every transaction (both local currency AND bitcoins).  It won't matter to them if bitcoins are trading at $1 or $10,000.

The exchange rate at any particular exchange will always vary compared to other exchanges based on many factors such as how easy or cheap it is to get money and bitcoins in and out of the exchange, how much privacy the exchange offers, how good the exchange's security is believed to be, how much volume the exchange handles, etc.

What I was thinking of is those places that are not like a trading platform but a place where you can Buy And sell instantly anytime.. If they are selling for cheap, wouldnt people just use them for Buying buying buying buying, And sell at another place? I cant see this working.

Im talking about a place like Coinjar.com... Its not like a trading platform where you see charts and buy and sell orders etc... I think the US version maybe something like Coinbase but not sure.

[DannyHamilton]

I didn't say they wont open , But open and selling at a lower value? You really think they will open knowing that they will be selling their bitcoins at lower than cost value? Id love to see this happen.

I think the price will end up being the same as the rest..

Why would the person operating the exchange care what price the bitcoins exchange at?  They get a percentage of every transaction (both local currency AND bitcoins).  It won't matter to them if bitcoins are trading at $1 or $10,000.

The exchange rate at any particular exchange will always vary compared to other exchanges based on many factors such as how easy or cheap it is to get money and bitcoins in and out of the exchange, how much privacy the exchange offers, how good the exchange's security is believed to be, how much volume the exchange handles, etc.

What I was thinking of is those places that are not like a trading platform but a place where you can Buy And sell instantly anytime.. If they are selling for cheap, wouldnt people just use them for Buying buying buying buying, And sell at another place? I cant see this working.

Im talking about a place like Coinjar.com... Its not like a trading platform where you see charts and buy and sell orders etc... I think the US version maybe something like Coinbase but not sure.

Certainly, retail sale of bitcoins will go where they can get the most money for their bitcoins.

This thread is about bitcoin exchanges (like bitstamp, btc-e, etc).

[Lauda]

...All that will happen is exchanges will not open in new york SIMPLE.....

New York is one of the biggest financial centers in the world, so exchanges WILL open in NY, and it's not that simple.

Why would I open my exchange in NY when I can do it somewhere else without these problems?

[gtraah]

And when I thinking about what authur hayes is saying "Cheaper" I am thinking $20-$30 Cheaper not $2-$3 cheaper if its a matter of 2-4 bux i dont think that will make a difference many exchanges vary like this anyway. But not $20-$30.... the way I saw the article I imagined a large price difference. I may be wrong

[jakedeez]

None of the bitlicence stuff is going to matter after the sharknado...

[DannyHamilton]

I dont beleive what Arthur Hayes, CEO and co-founder is saying here will happen in a million years:

“These regulations are going to make some savvy traders a lot of money. Because there is a premium placed on privacy, the ‘clean’ coins trading on exchanges with BitLicenses will trade at a discount to coins trading on exchanges that operate in more laissez-faire jurisdictions. Traders with the ability and risk appetite will be able to arbitrage the price differential.”

If there is a differential, then arbitrage will almost certainly occur.

Of course, arbitrage is self-correcting, which will eliminate the differential.

Those engaging in arbitrage will buy cheap bitcoins in NY, and the increased demand will drive the exchange rate up.
Those engaging in arbitrage will sell expensive bitcoins outside NY, and the increased supply will drive the exchange rate down.

Eventually the rates at exchanges inside and outside New York will approach an equilibrium where the only difference remaining is due to the costs of moving money back and forth between the exchanges inside New York and those outside New York.  There will still be a slight variation with New York being slightly lower, but the difference will be so small that the arbitrage opportunity will be effectively eliminated most of the time.