0 sats \ 15 replies \ @nym 18 Oct \ parent \ on: Bitcoin’s False Dichotomy between SoV and MoE - by Roy Sheinfeld, Breez bitcoin
I wonder how much Bitcoin ETFs will posses over time? There will be pressure from hodlers, but almost everyone has a price.
On current rates of acquisition they could hold 50% of liquidity within a few years- that would be easily sufficient to make an Order 6102B extremely effective, given that most of the remaining 50% has been KYCed.
There would be some holdouts, as there was with the original Order 6102, but if you get 90% + of the market and given that henceforth private trading will be illegal the bankers would gain effective capture and control at that point.
Already they have substantially reduced available liquidity available for P2P MoE use and they have further cemented the perception and predominant use of BTC as a speculative commodity, not a MoE currency.
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I don't believe this will happen, I don't believe it is possible actually.
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You deny the reality that fiat debt monetary issuance is the basis of bankers power and one of the most powerful tools of government?
You deny the history of Order 6102?
You think governments and bankers will inevitably act in the interests of citizens?
I think you are in denial of reality- an Order 6102B is definitely a possibility and would be the logical endpoint of the actions already taken by bankers and governments to hugely obstruct the use of Bitcoin as a MoE alternative to fiat payments.
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what are they going to do? they don't have the keys. they can't sign a transaction.
and there are so many ways to create and use entropy with regards to private keys. in addition the government can seize maybe one bitcoiner's bitcoin. but they cannot seize everyone's it's impossible.
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What are who going to do?
An Order 6102B type ban on private custody leaves all 'legal' bitcoin held by 'trusted custodians' (bankers) and the dream of an online decentralised P2P payments network is dead...except for the few who might decline the Order 6102B buyout of privately held sats.
Those who decline will be now defined as outlaws and so very few the bankers wouldn't care.
It can be done and has been done before re Order 6102.
The ETFs and other forms of institutional custody are steadily accumulating more custody of Bitcoin held on behalf of citizens who already do not have access to and thereby cannot use those Bitcoin for P2P MoE- the strategy has been to obstruct MoE use and allow restricted speculative commodity use (requiring KYC ownership identification of course) thereby accumulating institutional custody in preparation for an Order 6102B is required- this is exactly what they have done- they being the bankers and government. They do not need to get 100% of the market- once private custody is banned Bitcoin would be of limited utility to anyone except criminals.
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The Americans have a saying with regard to their guns.
You may have heard it. 'Come and take it'.
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Americans complied with order 6102 sufficiently for the government to capture and control the gold market.
People offered a government buyout will mostly accept it- the few that reject it may hodl but cannot use it legally...and if they have been KYCed they can be prosecuted.
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Good luck with that. When the governments try to ban guns (and they try all the time) the prices of guns go up. People hoard them and buy buy buy. So is there some possibility of a 6102 type event and Bitcoin? Sure. However I think it's really really small. It's not practical.
What societies need, in my opinion, is some kind of legislative reforms through education to pass laws about cap gains tax, spending, MoE, and Bitcoin being legal tender. That way people will be comfortable spending Bitcoin day to day, probably through lightning and governments will just... get over it. And we can move on.