China: Bitcoin a hedge against confiscation of wealth?

[tinopener]

Here is a fascinating Forbes article about how the potential for confiscation of wealth by the authoritarian regime in China may be boosting Bitcoin, inspired by the mysterious disappearance of businessman Jack Ma.

"One can almost see Chinese billionaires buying up Bitcoin, just in case Beijing comes for their wealth. Lord knows the dollar is in decline, and they probably already own a ton of stocks."

https://www.forbes.com/sites/kenrapoza/2021/01/10/does-china-have-a-role-in-bitcoins--rise/?sh=6bf595a64965

This also touches on how Argentinians are buying Bitcoin after the government's crackdown on holding dollars.

Ultimately, these are cases that echo some of the original objectives for Bitcoin, rather than as a get rich quick scheme. Although no harm in getting rich in the process

[hatshepsut93]

This is China we are talking about, they can secretly detain anyone and torture them until they reveal whatever information China is after. You'd need to leave zero traces while obtaining bitcoins so that the government won't get any suspicion. This means you could only put a fraction of your wealth into Bitcoin at best. China has always been taking measures against capital flight, if Bitcoin will start being a problem for them, they will take actions.

[tinopener]

This is China we are talking about, they can secretly detain anyone and torture them until they reveal whatever information China is after. You'd need to leave zero traces while obtaining bitcoins so that the government won't get any suspicion. This means you could only put a fraction of your wealth into Bitcoin at best. China has always been taking measures against capital flight, if Bitcoin will start being a problem for them, they will take actions.

Yep, and that's exactly the narrative behind this story. Jack Ma's disappearance is going to potentially going to force the very rich to find new creative measures. Don't forget we are talking about billionaires with significant resources.

However, the entire China impact on crypto in itself is fascinating and needs to be watched by Bitcoin holders, IMHO.

For example, China's digital currency and claims to quantum supremacy.

[Kemarit]

I think the wealthy Chinese people have been into bitcoin ever since, even prior to the boom of 2017. And this is one reason specifically, why they are having a hard stance against Bitcoin because they know that many of this rich Chinese are using it for "capital flight'.

There are even reports in 2019, that trillions of dollars are flowing out of China in record highs, suggesting that they are moving it abroad.

Jack Ma's case is just one prime example, doesn't matter how rich you are, if you talk against the Communist regime, sooner or later you will be the target, like stopping his Ant IPO, investigating his company for anti-trust (how ironic), and now he hasn't been seen in public for months, suggesting that he is already arrested.

So yeah, it's going to be interesting and how the wealth of China will affect Bitcoin's market.

[meanwords]

Jack Ma's case is just one prime example, doesn't matter how rich you are, if you talk against the Communist regime, sooner or later you will be the target, like stopping his Ant IPO, investigating his company for anti-trust (how ironic), and now he hasn't been seen in public for months, suggesting that he is already arrested.

It's kind of scary though. If they can do it to Jack Ma, one of the wealthiest person in the world, they can do it to anyone. You can even see how powerful regulators are in China. Even Bitcoin wouldn't be a safe haven for the rich people since China can still track it. I think this is where privacy coin comes to play.

[avikz]

Here is a fascinating Forbes article about how the potential for confiscation of wealth by the authoritarian regime in China may be boosting Bitcoin, inspired by the mysterious disappearance of businessman Jack Ma.

"One can almost see Chinese billionaires buying up Bitcoin, just in case Beijing comes for their wealth. Lord knows the dollar is in decline, and they probably already own a ton of stocks."

https://www.forbes.com/sites/kenrapoza/2021/01/10/does-china-have-a-role-in-bitcoins--rise/?sh=6bf595a64965

This also touches on how Argentinians are buying Bitcoin after the government's crackdown on holding dollars.

Ultimately, these are cases that echo some of the original objectives for Bitcoin, rather than as a get rich quick scheme. Although no harm in getting rich in the process

That's a great use case of bitcoin, especially against authoritarian governments like China, North Korea and partially India! The government forces in these countries are super strong and can destroy businesses if they don't like it! So definitely bitcoin can act as a hedge to safeguard the hard-earned wealth! I mean that's what bitcoin was made for!

Definitely, if your wealth appreciates in the process, that's the icing on the cake for sure!

[tinopener]

That's a great use case of bitcoin, especially against authoritarian governments like China, North Korea and partially India! The government forces in these countries are super strong and can destroy businesses if they don't like it! So definitely bitcoin can act as a hedge to safeguard the hard-earned wealth! I mean that's what bitcoin was made for!

Yeah, I was watching Max Keiser on Russia Today a couple of months ago, and he was interviewing an Indian crypto entrepreneur who said that Indians were using it to smuggle wealth out of the country.

And yes, again, I originally bought Bitcoin was like a bet on the horses.

But only because I hold it I start to see the true value of it.

Like having skin in the game.

[amishmanish]

While Jack Ma has done wonders with Alibaba and his other sprawling businesses, I don't know whether to feel sorry for the man. He is the one who bought the South China Morning Post, which was a largely independent Hong Kong based publication. Since the takeover by Alibaba, SCMP had become one of the "moderating voices" for China whose purpose is to present a moderating view of the Chinese establishment and how they are doing wonders.

The Hong Kong protests were effectively suppressed, thanks to the subdued press reaction. Now China has plans to nationalize Alibaba and seems like the guy is missing. I doubt that the Chinese are stupid. They are in fact the most clever and deeply systematic people who never do anything without a plan, so they wouldn't do anything stupid when it comes to Jack Ma. Yet, Jack Ma would learn his lesson about his attempt to "present to the world", the view of China.

The CCP is the sole authority and by extension, Xinping. He spoke against him thinking all his wealth and neo-capitalist credentials would help him. They won't. The Chinese dragon does not negotiate. It only waits and bides its time till it strikes. Those of us in the neighborhood know that. Anybody who believes that they can make friends with China and are somehow going to find a multiculturalist vibe with the eastern kingdom will be in for a rude surprise when they effectively overtake the west and take greater control of things, all because of the naivete and compulsions of democracies.

I don't think anybody in China plans to hold Bitcoin as a hedge. They know well enough that they cannot even connect to the Internet without the party knowing what they do with their money. Bitcoin's purpose of being safe money is for those who have been historically oppressed and were too poor to safeguard their possessions. Your average billionaire doesn't need that. He has all the best investment banks in the world to launder his money safely.

[Yudhisthir]

Popularity of bitcoin is mainly due to this reason from the start. There are a lot of millionaires in China who don't trust the Chinese government. Most of them have their children and wealth aboard and some don't find a way to secure their funds and bitcoin is the easiest option for them. Chinese leaders have their wealth audited at regular interval and the bribe money all goes into bitcoin to hide it from the discipline committee.

[Wenbing]

I see that the analysis is an industry standard article that needs to be taken seriously by crypto players or btcoin lovers. it said that among the G10 currencies, bitcoin is showing an 85% correlation with Youn (the chinese currency) in the past 12 months. what that means is that transactions in bitcoin is higher in Youn than the other currencies in the G10.

I also see that, billioniares have learnt overtime that the bigger the risk of an investment, the greater the returns and the greater the loss. so, i feel they have resolved to take the risk of investing in btc, which i believe is a preserver of value. Well, it may also be a way to escape the Communist probes of the rich with the case study of Jack Ma.

[lifeforcepools]

It doesn't really work that way.

[Wenbing]

This also touches on how Argentinians are buying Bitcoin after the government's crackdown on holding dollars.

Ultimately, these are cases that echo some of the original objectives for Bitcoin, rather than as a get rich quick scheme. Although no harm in getting rich in the process

As i was reading Satsohi Nakamoto's bitcoin white paper, he specifically mentioned economic concepts like devaluation and printing of money by the federal reserve banks. The people we gave trust to keep our money have failed the trust, as such they have resorted to develuation.

I feel, what btcoin does is the restoration of an unbroken trust to the people that have bitcoin. it means you can preserve your money, wealth etc in bitcoin and in the long run the value will be intact. yes, i see this is what Nakamato Satoshi means.

[tinopener]

I feel, what btcoin does is the restoration of an unbroken trust to the people that have bitcoin.

Yes... you know what, that almost sounds religious... or moral. You know what I mean.

That is definitely something new in the world of finance.

I like it.

[0t3p0t]

Here is a fascinating Forbes article about how the potential for confiscation of wealth by the authoritarian regime in China may be boosting Bitcoin, inspired by the mysterious disappearance of businessman Jack Ma.

"One can almost see Chinese billionaires buying up Bitcoin, just in case Beijing comes for their wealth. Lord knows the dollar is in decline, and they probably already own a ton of stocks."

https://www.forbes.com/sites/kenrapoza/2021/01/10/does-china-have-a-role-in-bitcoins--rise/?sh=6bf595a64965

This also touches on how Argentinians are buying Bitcoin after the government's crackdown on holding dollars.

Ultimately, these are cases that echo some of the original objectives for Bitcoin, rather than as a get rich quick scheme. Although no harm in getting rich in the process

These business minded people are just wise enough to prepare for something that could possibly happen like inflation or within the control of their strict government. Their communist government don't want an institution, company or wealthy individual to manipulate everything on their influence because the government want to take and the only one to implement power. If I were this kind of people, I will be going out of the country and seek for freedom.

[Ucy]

My first time of knowing about his disappearing. I hear alot about the name but don't know much about him. Is the confiscation a fact or just based on speculation?
Well, I doubt I will hide my bitcoin from governments that won't lawlessly or unjustly confiscate it

[Argoo]

Of course, bitcoin and other potential decentralized cryptocurrency may well be used to hide their income and wealth from government accounting. Surely many do so. If you place cryptocurrency on new wallets and do not display them on the exchange, then no state structure will be able to prove to anyone that they belong. The main thing is to securely store your private keys from wallets. Apparently, in the future, this will be one of the reasons for strengthening the regulation of cryptocurrency by states, as well as the further spread of cryptocurrency.

[7788bitcoin]

This is China we are talking about, they can secretly detain anyone and torture them until they reveal whatever information China is after. You'd need to leave zero traces while obtaining bitcoins so that the government won't get any suspicion.

Bitcoin is freedom if you are living in countries like China or any third world country where the government is targeting a certain section of the population which is not acceptable elsewhere else. Recently i heard about a news that the co owner of Alibaba Group Jack Ma is missing as he said something against the government, not sure about the authenticity of the news but if you are living in a country that targets anyone who is questioning the government then bitcoin is one of the solution where you could save your wealth.

[tinopener]

Recently i heard about a news that the co owner of Alibaba Group Jack Ma is missing as he said something against the government.

The Jack Ma story is extra interesting because he is involved in industries potentially very involved with Bitcoin.

For example, his payments company Alipay.

You only have to look elsewhere at how PayPal getting into Bitcoin has affected the whole crypto ecosphere.

Not only that... but he will also have a big impact on the new Chinese cryptocurrency too!

For example, during the Digital Yuan trial, users were not allowed to spend it at Alibaba.

[error08]

Bitcoin provides a better way as a hedge against the confiscation of wealth, not only in China but for everyone, as long as you know how to do it properly without being noticed by the government. However, there is no point stand against a country if you live there, they can enforce the law to someone and dig deep for anything someone might be hiding, especially communist countries that have a terrible track record in human rights.

[tbct_mt2]

The idea to create any hedge is backed by bitcoin is stupid if you look at the statement "Not your keys, not your coins" and there you go with the newborn website to support that statement: Notyourkeys.org

I don't know how the others think of it but for me, I never put my trust on the others to hold the key of my bitcoin. I want to be my own bank. It makes more sense if knowing that the whole process to download, verify, and install a non-custodial wallet, then create and back up a wallet is not difficult. It can be done in a few minutes.

Trust on hedge is like as you trust exchanges and leave your bitcoin on exchanges: Newbies - Read before using exchanges or investing