Let's say I had 100,000 shares in XYZ, it is legal to trade them via blockchain technology in the State I live in, lets say Delaware. Whats to stop me as an individual from transferring those XYZ stock that 'I own' to a Blockchain Brokerage system like Veri if I choose to ?
You're asking a distant hypothetical question, so i have no idea what rules there will be in the future and how they will apply them. All i know going by history is rules seems to always favour the big guys, so you can't just say what if they now start to play fair. If you're looking for a fundamental reason, then nothing. But just like what's stopping me from starting up a new bank? fundamentally, nothing. But if i did I'm sure ill have a mountain of issues come my way. Just like why can Ripple integrate with the banks, but not bitcoin. So unless Reggie want's to go to jail, he will need the OK from regulators before his company can operate. If his company can't run then you can't send him anything, but you can send it to the J.P Morgan blockhain broker.
looks like the SEC is already starting to get into this space. http://www.zerohedge.com/news/2017-...-concludes-tokens-are-subject-securities-laws
I doubt the banks and powers that be will just allow Veritasium to stuff up their manipulation of everything. Some say Ripple could be a creation of banks. Unbelievable amount of Ripple out there.
It is likely that this is in fact the catalyst for the recent dump. I'm sensing a lot of confusion as the forces of FUD gather momentum again. Those idiots who rely purely on TA at the expense of fundamentals will be seeing a failure to take out the ATH and a big double top. Also, it suddenly seems the EOS decision to exclude US citizens from it's ICO is a stroke of genius.
here is the official SEC link https://www.sec.gov/news/press-release/2017-131 A lot of these rubbish scam ICO's are going to be sweating a bit now. Anyone that thinks the government will not come after crypto's are delusional. And all these SCAM ICO's just gave the government an easy reason to come in.
Agreed. Though in the short term I imagine many ICOs will just exclude US citizens like EOS has done. Doesn't mean they are scam - just saving money and hassle by avoiding the US regulations. Once other governments follow suit and a few ICOs do go the legitimate path and have more success/support because of it, then things might change. But it'll take time and the initial reaction IMHO is ICOs will dodge the regulations and the market will see this overall as a negative development in the crypto space.
I'm sure other places like the EU will also soon impose the same regulations, as the EU love to regulate things more then the US. Bit by bit, the crypto space won't look that much different from the financial system we already have.
I am a little bit more optimistic than that. If they clamp too hard then the hardcore crypto users will set up in little "crypto havens" like Cayman Islands (like EOS) and operate outside the major jurisdictions. Good luck to the Feds on trying to deal with that. So I think they might go lightly and try to find the right balance that gives them some control, revenue and recourse but does not risk driving the best technology startups "offshore"
And how much do the government care about a small percentage of the population using the Cayman Islands? The reality is they don't care, all the care about is that the majority of people don't use it. Same with crypto's, they couldn't care less if a small percentage of people go underground with it, as long as the average person doesn't use it. At that point, crypto's have no use to me, just like having an account in the Cayman Islands has no use to me.
Who says the majority of people can't use it still? What are they going to do? Outlaw possession of certain cryptos? Hilarious concept that one (but it wouldn't surprise me if they tried) Who are they going to go after? The miners? Dev team? Anyone running a node? <- All 3 of these can operate outside the West. I am still hopeful that mainstream adoption will occur once the front end usability of cryptos becomes easier, cheaper and more convenient than VISA or cash....not when the government says it's ok to use.
