The world will save bitcoin from the United States.

[crazy_rabbit]

There is a lot of talk right now about the idea of whitelisting coins. Not only is this a horrible idea, but probably one the rest of the world is not about to enforce.

Why should China care about blacklisted coins? Or Africa? Or any other country?

Whitelisting will serve only to hold the United States back in its development of bitcoin. I highly doubt the Chinese government cares if you hold stolen bitcoin. Or if you spend it. Indeed there will be so many users of bitcoin in so many jurisdictions that no one can expect that everyone will respect the same laws or rules. It's digital gold. Ownership will be ten tenths of the law for everywhere but the US.

When governments use bitcoin, they will have the power to "wash" coins. If dirty coins go into the central bank of china, they will have the power to say all the coins that come out are clean. You might be able to say 'we willnot accept tainted coins" but you won't be able to enforce repayment of debt with clean coins.

I will throw a conspiracy theory out there: yufu and co are trying to create an artificial market for clean freshly mined coins. Who probably has an enormous number of ASIC minted coins? Wouldn't it be fantastic if you could sell clean coins at a premium?

Sounds like market manipulation to me. There are only so many bitcoins, but they are trying to create a market where some (theirs) are worth more then others.

[ColinTulloch]

I will throw a conspiracy theory out there: yufu and co are trying to create an artificial market for clean freshly mined coins. Who probably has an enormous number of ASIC minted coins? Wouldn't it be fantastic if you could sell clean coins at a premium?

Sounds like market manipulation to me. There are only so many bitcoins, but they are trying to create a market where some (theirs) are worth more then others.

Sounds quite accurate.

"Connecting Bitcoin with government will sanitize the government more than it does Bitcoin." - This Voorheesian notion that all interaction with government is ultimately good for Bitcoin because Bitcoin is fundamentally more competitive and beneficial than government money is flawed...

It's my understanding that at the current point in time Bitcoin is not threatened with illegal status, and Bitcoin businesses are freely operating within money services business, FinCEN guidelines etc. Unless this move knocks down heavier regulations for lighter ones, I don't see how it's doing anything but slowing down adoption and benefitting those who jump in bed with government and utilize it's coercive force. It's my understanding that these would simply be additional restrictions, because Bitcoin is not currently illegal, and not looking like it will be.

If Bitcoin is already legal, there is nothing to be gained from restricting it's use. Restricting it's use is the definition of hurting it, even if it will ultimately survive the restrictions because smart participants will ignore the restrictions or find ways around them. This is the early Bitcoin interests trying to maximize their gain at the expense of later ones. This is what Bitcoin corruption, and corruption in general smells like, utilizing the violence of the state to take from the common man and give it to the future elite.

If these people truly want to put their money to work to benefit others and themselves they could: Increase network security by continuing to mine, develop new wallet software that is easier to use, contribute to the protocol, develop products that accept, or are based in Bitcoin, et cetera, etc.

Correct me if I'm wrong, is Bitcoin on the verge of being illegal? Is losing this small battle to win overall legal status the actual case here? What is the actual breakdown of this action, is this trading overall legal status for restrictions on it's use? Or is this just restrictions on it's use, as there is no indication that it's going to be illegal yet.

[freethink2013]

never thought I'd see the day where first Russia and then China would make the USA look a draconian regime about to collapse on itself.

[Baconfatt]

    I am in the US and also have a fear of the government here outright making transactions of btc illegal for their fear of knocking down the us dollar, OR they may see the opportunity to make more money for their operations (whatever they may be). I really hope I'm wrong but I feel that something is about to come into play with the us gov. as btc is rising sharply and hitting the spotlight more and more.

As for a higher price for "clean" btc I feel this is irrelevant, I don't see why anyone would even care about whether or not they are "clean". (of course until regulations that will track all coins back to check if they are "clean" before the transaction can be completed)                           
                                                                                         ~These are only opinions.

[lucaspm98]

never thought I'd see the day where first Russia and then China would make the USA look a draconian regime about to collapse on itself.

Haha so true, the roles seemed to have flipped. The USA government is looking to attain more and more control over their citizens, while traditionally watchful countries like China are slowly easing up. I wonder what will come of this, and how it will affect Bitcoin in the long run.

[crazy_rabbit]

    I am in the US and also have a fear of the government here outright making transactions of btc illegal for their fear of knocking down the us dollar, OR they may see the opportunity to make more money for their operations (whatever they may be). I really hope I'm wrong but I feel that something is about to come into play with the us gov. as btc is rising sharply and hitting the spotlight more and more.

As for a higher price for "clean" btc I feel this is irrelevant, I don't see why anyone would even care about whether or not they are "clean". (of course until regulations that will track all coins back to check if they are "clean" before the transaction can be completed)                           
                                                                                         ~These are only opinions.

You would care if you had coins that might be tainted and thus not spendable in some whitelist bitcoin world. Even a fear of it might lead you to spend a little bit extra for clean coins.

[ColinTulloch]

Is white-listed Bitcoin usage better than no Bitcoin usage allowed at all? Yes, because ultimately Bitcoin will steam-roll over government and the kind of power used to enforce this white-list will itself diminish...

But is that what's happening here? Does Coin Validation know 100% that Bitcoin is going to be illegal soon and this act of compromise is necessary, and not really compromise at all, but a fight to keep Bitcoin usable in any form?

[Baconfatt]

But is that what's happening here? Does Coin Validation know 100% that Bitcoin is going to be illegal soon and this act of compromise is necessary, and not really compromise at all, but a fight to keep Bitcoin usable in any form?

I do believe this is all just speculation from the known corruption in us gov. No real evidence has been supported.

You would care if you had coins that might be tainted and thus not spendable in some whitelist bitcoin world. Even a fear of it might lead you to spend a little bit extra for clean coins.

I suppose i would I was not thinking about that.

[lucaspm98]

Is white-listed Bitcoin usage better than no Bitcoin usage allowed at all? Yes, because ultimately Bitcoin will steam-roll over government and the kind of power used to enforce this white-list will itself diminish...

But is that what's happening here? Does Coin Validation know 100% that Bitcoin is going to be illegal soon and this act of compromise is necessary, and not really compromise at all, but a fight to keep Bitcoin usable in any form?

Yes, but there is no feasible way to stop Bitcoin usage. They may be able to not "allow" it, but how could they possibly stop it.

[adamstgBit]

Is white-listed Bitcoin usage better than no Bitcoin usage allowed at all? Yes, because ultimately Bitcoin will steam-roll over government and the kind of power used to enforce this white-list will itself diminish...

But is that what's happening here? Does Coin Validation know 100% that Bitcoin is going to be illegal soon and this act of compromise is necessary, and not really compromise at all, but a fight to keep Bitcoin usable in any form?

Yes, but there is no feasible way to stop Bitcoin usage. They may be able to not "allow" it, but how could they possibly stop it.

you answered yes to "Does Coin Validation know 100% that Bitcoin is going to be illegal soon "

really?