Crypto Sanctuary Cities, is this a possibility?

[Pipdips]

Next thing you know, the exchanges are regulating "crypto-sanctuary cities".  Examples: we will not allow residents of California, but we will allow people from San Diego!  Or we will not allow residents of New York, but we will allow people from New York City!  Or we will not allow residents of Illinois, but we will allow people from Chicago!

Unfortunately this could begin appearing in the near future.  IP Sanctuaries will allow crypto businesses to draw new lines and new borders as they wish.  Similar to how Hunger Games declared it's own territories and boundaries.

Cities could fight the opposite direction too.  Examples: Silicon Valley can ban Coinbase.  New York City can ban Binance.  Chicagoans can fight to ban Gemini.

What a Godforsaken mess...

[figmentofmyass]

Next thing you know, the exchanges are regulating "crypto-sanctuary cities".  Examples: we will not allow residents of California, but we will allow people from San Diego!  Or we will not allow residents of New York, but we will allow people from New York City!  Or we will not allow residents of Illinois, but we will allow people from Chicago!

Unfortunately this could begin appearing in the near future.

why do you think so?

if an exchange allows chicago residents they need to comply with illinois state laws anyway, otherwise they'll run afoul of state regulators pretty quickly. might as well allow all illinois residents, amirite?

Cities could fight the opposite direction too.  Examples: Silicon Valley can ban Coinbase.  New York City can ban Binance.  Chicagoans can fight to ban Gemini.

unlikely since they are financial/money service businesses. these are usually regulated under state and federal laws, not municipal laws. theoretically possible i guess.

[Pipdips]

I still think this is going to happen.  Remember this is global currency: not country currency, not state currency, and not city currency either.  There really are no rules for it yet because Bitcoin is like space money with no boundaries for all we know.

Binance picks and chooses which states they allow.  You can say they are allowed to do this because there are little rules and regulations already in place, so they get to pick and choose, but these exchanges break a lot of rules anyways.  It is not much unlike governments stealing by overtaxing people, or immigrants overstaying their visas.

Again, it is more than possible.  These are the big ones in the USA that are immigrant-friendly:

Chicago, Illinois
New York City, New York
San Jose, California
San Francisco, California
Washington, D.C.

[squatter]

Again, it is more than possible.  These are the big ones in the USA that are immigrant-friendly:

Chicago, Illinois
New York City, New York
San Jose, California
San Francisco, California
Washington, D.C.

Sanctuary cities just limit cooperation with the federal government [in immigration enforcement], meaning local police don't get involved. The cities have no power to stop state/federal agencies from enforcing the law, though.

The parallel here is that cities have no power to stop state/federal financial regulators either. It doesn't matter how much Manhattanites love Binance if the NYSDFS is waiting to pounce on them!

[malevolent]

No such a thing that you're looking for. Best start an exchange in international waters and arrange meetings on the boat. Poorer countries even if they might not care for a while can be easily pressured by richer countries to restrict/ban BTC trading.

[Pipdips]

What if the exchange servers are placed in orbit like on a space station???  That is totally possible to launch and put them up there!!!  That is the solution right there, for global currency?  Or space currency..?

Orbit is not designated as any 1 country...

[figmentofmyass]

What if the exchange servers are placed in orbit like on a space station???  That is totally possible to launch and put them up there!!!  That is the solution right there, for global currency?  Or space currency..?

Orbit is not designated as any 1 country...

doesn't matter where the servers are.

if the exchange serves any USA residents, federal regulators claim jurisdiction. if they serve new york residents, new york regulators do the same. (although the feds are a lot scarier!)

1broker didn't operate from the USA in any capacity, but they openly served USA customers so the feds shut them down. isn't that the same thing?

[Pipdips]

doesn't matter where the servers are.

if the exchange serves any USA residents, federal regulators claim jurisdiction. if they serve new york residents, new york regulators do the same. (although the feds are a lot scarier!)

1broker didn't operate from the USA in any capacity, but they openly served USA customers so the feds shut them down. isn't that the same thing?

What if you have a person orbiting on a space station and they wish to place a few trades online?
Maybe that somebody was born on a space station, and they never even visited Earth before.
Will they be banned from trading?