My bank account's got robbed by European Commission. Over 700k is lost.

[wachtwoord]

Nonono, In None We Trust sounds better.

I like it.

Nah, I trust cryptography

[notme]

This is why Bitcoin will take over the world. Good money drives out bad.

I'm pretty sure you have that backwards:
http://en.wikipedia.org/wiki/Gresham's_law

[molecular]

This is why Bitcoin will take over the world. Good money drives out bad.

I'm pretty sure you have that backwards:
http://en.wikipedia.org/wiki/Gresham's_law

Gresham's law is a lie

[bernard75]

Nonono, In None We Trust sounds better.

I like it.

Nah, I trust cryptography

I trust in end to end encryption between me and myself.

[Foxpup]

This is why Bitcoin will take over the world. Good money drives out bad.

I'm pretty sure you have that backwards:
http://en.wikipedia.org/wiki/Gresham's_law

No, you have it backwards. Gresham's Law states that "bad money drive out good when the exchange rate is fixed by law". When the exchange rate is allowed to float (as is the case with Bitcoin), bad money simply drops in value relative to good money, encouraging people to use good money.

[cr1776]

Some of the highlights from the WSJ today about the continuing problems in Cyprus:

Weeks go by without Constantinos Mentzis, a tavern owner in Nicosia, stopping by his local bank branch. There is no point, he says, since banks in Cyprus have largely stopped functioning and small business like his are operating on a cash-only basis.
...
Now the economy appears to be sinking much faster than the 8.7% contraction that its creditors had forecast for this year.
...
Despite most deposits being frozen, many people have been withdrawing as much cash as they can from the bank—Mr. Pissarides put the figure at about €30 million a day. The two banks combined had €24.6 billion in deposits in March, before the rescue.  "There has been an enormous loss of liquidity at the Bank of Cyprus," he said. "If this carries on, the Bank of Cyprus will go the way of Laiki and that will lead to a disaster scenario."

...
[This part sounds quite familiar to everyone reading this thread:]
Manthos Mavromatis, who owns a water-pump company, was hurt when the government hit big deposit holders. One morning in March, he woke up to find that out of his €2 million in deposits at the Bank of Cyprus, he could access only €200,000. Some €950,000 was turned into shares of questionable value in the "new" Bank of Cyprus, the rest was frozen.

http://online.wsj.com/article/SB10001424127887323997004578645880672115520.html?mod=itp  [paywall]

[molecular]

[This part sounds quite familiar to everyone reading this thread:]
Manthos Mavromatis, who owns a water-pump company, was hurt when the government hit big deposit holders. One morning in March, he woke up to find that out of his €2 million in deposits at the Bank of Cyprus, he could access only €200,000. Some €950,000 was turned into shares of questionable value in the "new" Bank of Cyprus, the rest was frozen.

We should all think about our deposits at any bank. We do not own these funds, they are not even to be considered currency. Those numbers in our bank accounts represent shares in the respective banks. Look at the balance sheet of your bank to see what you own a share of (likely many bad loans, various derivatives the value of which are probably less than said on the balance sheet and other toxic assets are to be found). The little gold or other valuable assets your bank might own are likely to be already grabbed by other more influential shareholders (or non-shareholders) before you even notice what's going on.

We have been warned.

better "withdraw" (sell shares of bank) a couple years too early than a second too late.

[cr1776]

+1.

It is a timely warning, but it seems Cyprus is even more susceptible - again.

[This part sounds quite familiar to everyone reading this thread:]
Manthos Mavromatis, who owns a water-pump company, was hurt when the government hit big deposit holders. One morning in March, he woke up to find that out of his €2 million in deposits at the Bank of Cyprus, he could access only €200,000. Some €950,000 was turned into shares of questionable value in the "new" Bank of Cyprus, the rest was frozen.

We should all think about our deposits at any bank. We do not own these funds, they are not even to be considered currency. Those numbers in our bank accounts represent shares in the respective banks. Look at the balance sheet of your bank to see what you own a share of (likely many bad loans, various derivatives the value of which are probably less than said on the balance sheet and other toxic assets are to be found). The little gold or other valuable assets your bank might own are likely to be already grabbed by other more influential shareholders (or non-shareholders) before you even notice what's going on.

We have been warned.

better "withdraw" (sell shares of bank) a couple years too early than a second too late.

[zeroday]

Cypriots have already learned the lesson.
Nobody in Cyprus is now depositing cash in banks.
Many local businesses don't accept cards or bank payments, but only cash.
EURO stored in Cyprus bank accounts now worth at least 10% less than EURO in the rest of Europe.
Country's economy is doomed. Thank you Merkel, thank you European Union.

[wachtwoord]

Cypriots have already learned the lesson.
Nobody in Cyprus is now depositing cash in banks.
Many local businesses don't accept cards or bank payments, but only cash.
EURO stored in Cyprus bank accounts now worth at least 10% less than EURO in the rest of Europe.
Country's economy is doomed. Thank you Merkel, thank you European Union.

Yes indeed thank you EU. This is a very good development, I hope this mentality will spread. And no, it certainly isn't a threat to the real economy. It might be threat to the air castle thing they got going on though

[Behemot]

The problem is, local law dictates me to pay higher amounts using bank transfer while doing business. It is also an offense to decline regime's currency. I think this is similar in many other countries so you could not even legally use cash for greater transactions.

[marcus_of_augustus]

The problem is, local law dictates me to pay higher amounts using bank transfer while doing business. It is also an offense to decline regime's currency. I think this is similar in many other countries so you could not even legally use cash for greater transactions.

... and one day people wake up wondering how they ended up in a state of financial facism and slavery

[Behemot]

Man I didn't even know something like that exists till I've recently run into that when I have been studying money law to learn what I may need for cryptocoin exchange business.

[bitcoinstarter]

Wow that is really amazing stuff. Really, 700 k lost?

[b!z]

Wow that is really amazing stuff. Really, 700 k lost?

Pretty crazy. It amazed me that something like this could happen.

[Behemot]

Ever heard about dictatory regimes? Now it does not matter if it is one person, a group or whole party who dictates.

So, robbing people of their possesions for whatever reason is one of the signs of dictatory regime. There are many other sings because of which we already know how fascistic the ESU (European Socialistic Union) is. So how really, how could you just be amazed? It was obvious this will happen, sooner or later. Other things will come as well, that is just sure.

[cr1776]

You are right and it is not just the ESU.  It can, and probably will, happen in many, many places around the globe.  All the places where the authoritarians claim that they know best for everyone else solely to keep their own power.

Ever heard about dictatory regimes? Now it does not matter if it is one person, a group or whole party who dictates.

So, robbing people of their possesions for whatever reason is one of the signs of dictatory regime. There are many other sings because of which we already know how fascistic the ESU (European Socialistic Union) is. So how really, how could you just be amazed? It was obvious this will happen, sooner or later. Other things will come as well, that is just sure.

[600watt]

Ever heard about dictatory regimes? Now it does not matter if it is one person, a group or whole party who dictates.

So, robbing people of their possesions for whatever reason is one of the signs of dictatory regime. There are many other sings because of which we already know how fascistic the ESU (European Socialistic Union) is. So how really, how could you just be amazed? It was obvious this will happen, sooner or later. Other things will come as well, that is just sure.

the EU socialistic ? interesting assumption. but completly off.

neo-liberal banks/insurance/financial molochs rule. a private bank can get money from the ezb for less then 1% interest. an entire country/economy/society like the portugiese or spain have to pay up to 10 x as much interest. socialistic ? to let the small people pay what the big guys squander for their yachts is not socialistic. smells pretty capitalistic...

[wachtwoord]

Ever heard about dictatory regimes? Now it does not matter if it is one person, a group or whole party who dictates.

So, robbing people of their possesions for whatever reason is one of the signs of dictatory regime. There are many other sings because of which we already know how fascistic the ESU (European Socialistic Union) is. So how really, how could you just be amazed? It was obvious this will happen, sooner or later. Other things will come as well, that is just sure.

the EU socialistic ? interesting assumption. but completly off.

neo-liberal banks/insurance/financial molochs rule. a private bank can get money from the ezb for less then 1% interest. an entire country/economy/society like the portugiese or spain have to pay up to 10 x as much interest. socialistic ? to let the small people pay what the big guys squander for their yachts is not socialistic. smells pretty capitalistic...

Lol capitalistic? Don't make me laugh! Europe is one of the most socialistic places in the world. Especially the north west.

[600watt]

Ever heard about dictatory regimes? Now it does not matter if it is one person, a group or whole party who dictates.

So, robbing people of their possesions for whatever reason is one of the signs of dictatory regime. There are many other sings because of which we already know how fascistic the ESU (European Socialistic Union) is. So how really, how could you just be amazed? It was obvious this will happen, sooner or later. Other things will come as well, that is just sure.

the EU socialistic ? interesting assumption. but completly off.

neo-liberal banks/insurance/financial molochs rule. a private bank can get money from the ezb for less then 1% interest. an entire country/economy/society like the portugiese or spain have to pay up to 10 x as much interest. socialistic ? to let the small people pay what the big guys squander for their yachts is not socialistic. smells pretty capitalistic...

Lol capitalistic? Don't make me laugh! Europe is one of the most socialistic places in the world. Especially the north west.

which happens to also be the wealthiest part of europe