Bitcoin-Central, first exchange licensed to operate with a bank. This is HUGE

[franky1]

freedom fighters first need to realise that currently there is probably only 0.002% of the world population using bitcoin (7bill/150k regular btc users) and to get more people over to bitcoin their needs to be an easy way to transfer FIAT to BTC and back again. so using financial institutions services is required for market expansion of BTC to atleast get the population usage up.(step 1)

even if 0.02% of the population only uses bitcoin that is 10x the market capital and demand we have today, ill leave you to do the maths for the multiples of population vs the value/demand of BTC because of population use rise.

atleast making it easier for people to buy bitcoins and for merchants/miners to sell bitcoins to buy food and pay utility bills. makes them less reliant on accepting FIAT upfront, slowly making it easier to get to (step 2&3) the point where utility company's and grocery stores accept bitcoin

to then direct pay employees in bitcoin without conversion(step 4) and then void the use of central banks completely (step5)

but you cannot take step 1 and jump to step 5 in a day. so bitinstant and bitcoincentral are atleast getting step 1 inplace.. while still keeping the control of bitcoins within the community.

maybe one day credit mutuel MAY buy out bitcoincentrals bitcoin server and do it all inhouse. lets hope that never happens. and if it does you can simply sell out of credit mutual, and find a new community led PSP.

once BTC gets to a point of not requiring FIAT(atleast 5 steps away) due to wages being paid in BTC from businesses that accept BTC for their goods and their suppliers also accepting BTC to pay their raw materials suppliers and employee's then the financial institutions will no longer be required.

i personally dont think step 4 or 5 will ever happen in my lifetime, not unless the laws change. but atleast steps 1,2,3 will expand bitcoins value/demand to a massive level. Allowing people the choice of staying with FIAT when they visit the 7-11 store or using bitcoin.

choice is the freedom. but ruling out FIAT and only having BTC is not a freedom. because PSP/exchanges such as MTGOX can start "price setting" and becoming the 21st century central bank.

if all you want is step 5 then you might aswell ask obama(US) cameron(UK) and other counturies to just start printing the bitcoin notes instead of green backs and red backs.. and change the HSBC logo to MTGOX and the bank of america logo to bitinstant.. leaving all the laws and processes the same. as thats what step 5 will end up being.. one choice just a rebranding of the names.

i dont want a world where only BTC exists i want a world where i can go to a shop and pay them in FIAT, Silver or BTC. everyone wants to make a 'buck'. bankers, you/me, everyone... but atleast not limiting choice to just bitcoin or just fiat allows people more freedom of how they make a 'buck'. so freedom fighters stop aiming for step 5 and concentrate on steps 1.2.3,4 expanding peoples choices and freedoms..

[mrvision]

Sorry, i'm agorist, i don't really care about being 'blessed by the gov'.

So... i'm not putting my bitcoins in there and OF COURSE i am not giving them my personal information.

I hope you don't make a huge mistake dealing with 'your old friend' the gov.

[mrvision]

You want freedom and a democracy? Perhaps you should take a break from posting inflammatory off topic replies in various threads and rethink what you are saying.

As far as Bitcoin being tied into the current banking system, this is progress. People think in terms of their local fiat. You won't change that overnight without using force. Bitcoin is a superior store of value and a superior currency. Allowing people to move in and out of it with ease will only strengthen Bitcoin. Revolutions don't happen over night and no matter how much you or anyone else wants it, goods and services won't be priced solely in Bitcoin any time soon and certainly not without a few baby steps along the way. Change takes time, perhaps a few generations. Infiltration is a perfectly viable strategy.

In other words, relax. Your posting is so outrageous I have to wonder if I'm responding to a troll.

Just one question. If someone hacks this 'bitcoin central', will the owners call the cops? What will happen then?

[franky1]

you don't work do you.

actually i do and my wages are in fiat. and even more surprisingly i dont mine bitcoins. i make profit using bitcoins though in my spare time on the exchanges.

i just feel that freedom means choices. and some of the freedom fighters sentiments are lost by saying kill banks only have bitcoins.. 1 option is still 0 choices.

Just one question. If someone hacks this 'bitcoin central', will the owners call the cops? What will happen then?

well any hacks should be dealt with by the cyber crimes team of the countries authorities. but with a bank/PSP being part of the chain. they would put pressure on the authorities to ensure it gets top priority investigations happening. instead of a unknown guy named xyz in a basement having his desktop server being scrambled by a hacker, which wouldn't take priority.

[mrvision]

It's kind of like a bunch of slaves breaking out and then running straight back because they were so brainwashed they didn't even recognize freedom.  

nice

[mrvision]

How should I know what they would do? Better yet, why should I care?

A Bitcoin bank is a service that I don't want or need, which is precisely why I love Bitcoin. But not everyone appreciates the same things that I do. If it makes Bitcoin more accessible for those who might not otherwise use it, great. That's one step closer to me buying eggs for my breakfast with Bitcoin.

I am in a similar position than you, i don't really care... but we're wrong. We should care.

If something happens they will use the goverment aka call the cops, that's why they wanted to be licensed, and more over, they are obligated.

So they call the cops, what happen next? Newspapers with bad press... what happens next? Regulations...

It's just a path that i don't like.

[franky1]

I am in a similar position than you, i don't really care... but we're wrong. We should care.

If something happens they will use the goverment aka call the cops, that's why they wanted to be licensed, and more over, they are obligated.

So they call the cops, what happen next? Newspapers with bad press... what happens next? Regulations...

It's just a path that i don't like.

they are not a bank..

banks require millions upon millions of money reserves aswell as alot more infrustructure.. they are a payment gateway ( a PSP)

the fiat control is licenced and losses of fiat are insured and regulated. but the bitcoin side is not licenced/regulated or insured. that being said.. atleast having a FIAT licence and the power of their PSP beside them will push any cyber crimes investigation to a much higher priority then a guy in his basement getting a virus that steals his online bank account details.

and yes the flip side of it is more bad press of another hack.. so i truly hope they get a crack team of experts in to super secure their site.

How should I know what they would do? Better yet, why should I care?

A Bitcoin bank is a service that I don't want or need, which is precisely why I love Bitcoin. But not everyone appreciates the same things that I do. If it makes Bitcoin more accessible for those who might not otherwise use it, great. That's one step closer to me buying eggs for my breakfast with Bitcoin.

i to wish for the day my local ASDA (uk version of walmart) sells me eggs and bacon and i pay them in bitcoins

I get what you are saying. Ease of conversion to fiat is a good thing. So was it necessary to get recognized by the state in order to issue debit cards that work on the current network?

to be honest im not sure about france. but in the uk it doesnt require much recognition.. for instance i know someone who is in talks with a prepaid debit card provider and they really are not interested in bitcoin or what the funny money people trade between each other on websites. as long as the FIAT is accountable to someone and that its checked against known watchlists and as long as you are not 100% knowingly accepting money from a crime.

i can set up a website that trades bunny rabbit points, and they will still give you a corporate account and client debit cards to hand out. as long as you follow the AML/KYC guidelines theres no issues

i think bitcoincentral just showed their PSP that bitcoin is not only a SR currency.. but a whole community of gold sellers, alpaca sock sellers, graphics cards, asics sellers and other 'legally accepted' product sellers.

[mrvision]

You don't understand how Bitcoin works if you think authorities can simply regulate it as they see fit. If it was that easy, I wouldn't be so interested in Bitcoin.

I think this is off topic though and if you want to discuss it further, there are various appropriate threads available.

I perfectly understand how bitcoin works. You don't know how gov works.

I know perfectly well that the bitcoin network cannot be seized, but what you don't know is that gov can ban the use of bitcoins. Gov can actually send cops in those shops who have the "bitcoin accepted" sign and put them a fine.

The same way as marijuana will keep growing (will never be extinguished), but that doesn't mean that the gov doesn't pursue it.

[Rassah]

Why the F are people freaking out about "OMG!Bitcoin is being linked with fiat!" when MtGox has been doing it for almost two years now? You guys are nuts! (And some of you need to tone down the trolling a bit; it's so moronic, it's blatantly obvious)

[mrvision]

Why the F are people freaking out about "OMG!Bitcoin is being linked with fiat!" when MtGox has been doing it for almost two years now? You guys are nuts! (And some of you need to tone down the trolling a bit; it's so moronic, it's blatantly obvious)

I don't use mtgox neither

[gweedo]

Why the F are people freaking out about "OMG!Bitcoin is being linked with fiat!" when MtGox has been doing it for almost two years now? You guys are nuts! (And some of you need to tone down the trolling a bit; it's so moronic, it's blatantly obvious)

an exchange is very different from a bank

[Rassah]

I perfectly understand how bitcoin works. You don't know how gov works.

I know perfectly well that the bitcoin network cannot be seized, but what you don't know is that gov can ban the use of bitcoins. Gov can actually send cops in those shops who have the "bitcoin accepted" sign and put them a fine.

The same way as marijuana will keep growing (will never be extinguished), but that doesn't mean that the gov doesn't pursue it.

Oh really? Which government? American? British? Chinese? French? Korean?
Yeah, marijuana is SO illegal now that "the government" has made it illegal. Especially in Canada and Netherlands  

[Rassah]

Why the F are people freaking out about "OMG!Bitcoin is being linked with fiat!" when MtGox has been doing it for almost two years now? You guys are nuts! (And some of you need to tone down the trolling a bit; it's so moronic, it's blatantly obvious)

an exchange is very different from a bank

It's a PSP. The only difference between Gox and this that I can see is that Gox can't keep your fiat in your own private account. I'm fairly certain Gox's bank knows full well what they are doing, and are OK with Bitcoin too. Ditto for BitInstant's banks.

[gweedo]

Why the F are people freaking out about "OMG!Bitcoin is being linked with fiat!" when MtGox has been doing it for almost two years now? You guys are nuts! (And some of you need to tone down the trolling a bit; it's so moronic, it's blatantly obvious)

an exchange is very different from a bank

It's a PSP. The only difference between Gox and this that I can see is that Gox can't keep your fiat in your own private account. I'm fairly certain Gox's bank knows full well what they are doing, and are OK with Bitcoin too.

How do you know Gox's bank cares? Remember the bank is only seeing the withdrawals and deposits, they not seeing the bitcoins coming in and out, that are used to represent those dollars.

[mrvision]

I perfectly understand how bitcoin works. You don't know how gov works.

I know perfectly well that the bitcoin network cannot be seized, but what you don't know is that gov can ban the use of bitcoins. Gov can actually send cops in those shops who have the "bitcoin accepted" sign and put them a fine.

The same way as marijuana will keep growing (will never be extinguished), but that doesn't mean that the gov doesn't pursue it.

Oh really? Which government? American? British? Chinese? French? Korean?
Yeah, marijuana is SO illegal now that "the government" has made it illegal. Especially in Canada and Netherlands  

zzzZzzzZZzzzZZZzzz

[augustocroppo]

Bitcoin is the currency of the freedom fighters trying to create a new world.

[evoorhees]

Oh my God are there 80% lunatics on here .. i see hundreds of people cheering and 2 3 4 5 people speaking out .  it's like an obama election .

Rob E... don't be a fool please.

You're freaking out because one exchange partners with a bank. This does little to corrupt any privacy or "statelessness" that you seek, and does much to bring the world of normal people into Bitcoinland, where, upon finding an amazing new monetary system, they are likely to start abandoning the banks you hate so much.

You have too little confidence in Bitcoin as a decentralized system if you think it is made weaker by attaching one part of it to the banking system. I wonder if you would've similarly freaked out when MtGox enabled people to send fiat to it via wire transfers from banks? That, even more than this announcement from Paymium, enabled Bitcoin to start interacting with the normal financial world. And indeed, Bitcoin is far stronger now because of it.

If you think I'm a lunatic, you're welcome to counter what I'm saying here.

[Rassah]

How do you know Gox's bank cares? Remember the bank is only seeing the withdrawals and deposits, they not seeing the bitcoins coming in and out, that are used to represent those dollars.

They're not just seeing withdrawals and deposits, they are seeing $20,000,000 a month worth of withdrawals and deposits. With that amount of money they know they are likely under the scrutiny of every regulatory body out there. It's likely why MtGox has had to resort to KYC and AML regulations as well, like a real bank.

[evoorhees]

I don't understand people who dismiss this news.

Half-measures == Half-reached goals.

To get anywhere, you have to get halfway there first. Unless you're a quantum particle I suppose

Do you really support bitcoin users getting bailed out by taxpayers if bitcoin-central fails in the marketplace ?

This is abhorrent.

What you are describing is an intrinsic problem with modern banking, not with Bitcoin. A Bitcoin exchange partnering with a bank in order to make Bitcoin more useful and convenient is no more a betrayal of ideology than for someone to trade one bitcoin for a fiat piece of paper. I'm sure you have traded some bitcoin for fiat at some point, yes? If so, may I ask, do you really support the global militant empires which are based on the fiat paper to which you just gave value?

[evoorhees]

It's kind of like a bunch of slaves breaking out and then running straight back because they were so brainwashed they didn't even recognize freedom.  

nice

Or it's like a bunch of slaves breaking out, and then running back with tools to free everyone else instead of hiding in the wilderness.