China Cryptocurrency Ban

[BlueKelah]

Some negative reaction to regulation.

Bitcoin plunges after SEC seeks to rein in cryptocurrencies
http://money.cnn.com/2018/03/07/technolo...index.html

Japan punishes crypto exchanges after hack
https://sg.finance.yahoo.com/news/japan-...57096.html

[Luke]

The reason why Blockchain get's people excited is not just because it gets certain things done quicker, and more securely (it does).

1) quicker
2) more securely
... and 3) cheaper

[Luke]

I do not think that any Cryptocurrency itself, per se, would become immensely valuable in the long run. Unless it also serves as a right to ownership of an actual value producing asset (maybe some ICOs qualify as that).

Value producing assets
On another occasion talking about a crypto representing a title of ownership over a certain quantity of gold, you said gold hasn't instrinsic value.
I understood you as approving a crypto which represents a title of ownership over goods having intrinsic value.

Here you seem to approve a crypto representing a title of ownership over value producing goods.
Goods having intrinsic value and value producing goods...

I'm trying to understand what you mean with these formulations.
Maybe if you could make some example... no definitions or theoretical explanations, just examples

[Luke]

China’s central bank has officially banned all security token offerings (STO) and any related investment and businesses involved in the practice.

Excerpts:

Unlike ICOs and most cryptocurrencies that are simply digital bits of data represented by a token, STOs represent an underlying real-world asset—such as gold, real estate, equity, and financial contracts—and derive their value from the price action of those instruments.

Alongside stablecoins, the STO is widely regarded by the larger cryptocurrency community as the next big sector that can provide relevance to digital tokens and blockchain technology.

Before China conducted a nation-wide crackdown on cryptocurrencies and ICOs in September 2017, the country operated 80 percent of the world’s crypto-transactions and token financing.

https://cryptoslate.com/china-cryptocurr...icked-out/

[Luke]

"Hi guys, lived in China for a year before. I speak, read, and write Chinese fluently and I'm a westerner, like you guys. a ton of "crypto news sites" aren't really news sites, they're just desperately trying to get you to click on them for their profit. So this thread exists to simplify your understanding of owning crypto in China. After today, you can downvote any bull Sh** news articles that mention something "revolutionary" about Crypto in China, unless maybe we see it come from yahoo, CNBC, or Forbes.

-China doesn't care if its people own crypto or not.

-Using crypto to buy real things / services is illegal. a car wash / taxi ride / your lunch at a restaurant, doesn't matter.

-"Sending" someone crypto is perfectly fine. It's a friend/family member's birthday. Ok. Let me send them a litecoin. just fine.

-Purchasing crypto with Chinese Yuan is, for the most part illegal, but somehow Huobi gets around this.

-Blockchain Technology is not cryptocurrency. If you see an article that mentions blockchain in China, it is not relevant to cryptocurrency in China in any capacity. The Chinese government views blockchain as a method to enhance security / ensure an immutable method of tracking what the people of China do, be it searches on Baidu (CN google equivalent), YouKu (CN YouTube), or just tracking shipping and supply chain management.

-I could see the Chinese government one day opening up to crypto even if it is only a list of a few cryptocurrencies under speculative investment pretenses. It's a way to make money, but they don't want their own people to get rekt the way they did when the Chinese stock market crashed a few years ago. They opened up the stock market to plebs and a bunch of people invested in useless stocks and lost money."

https://www.reddit.com/r/CryptoCurrency/...now_about/