Visa Claims You should buy Most situations, With the exception of Crypto Currencies

0 Comments

The headlines this week is that several banks in the USA and the UK have banned the usage of bank cards to get crypto currencies (CC’s). The stated reasons are impossible to believe – like attempting to curtail money laundering, gambling, and protecting the retail investor from excessive risk. Interestingly, the banks allows bank card purchases, rendering it clear that the only real risks being protected are their own.

With a charge card you can gamble at a casino, buy guns, drugs, alcohol, pornography, everything and anything you need, but some banks and bank card companies wish to prohibit you from using their facilities to get crypto currencies? There should be some believable reasons, and they are NOT the reasons stated.

A very important factor that banks are scared of is how difficult it should be to confiscate CC holdings once the bank card holder defaults on payment. It’d be much more difficult than re-possessing a residence or perhaps a car. A crypto wallet’s private keys could be wear a memory stick or an item of paper and easily taken from the nation, with minimum trace of its whereabouts. There can be quite a high value in certain crypto wallets, and the bank card debt may never be repaid, ultimately causing a declaration of bankruptcy and a significant loss for the bank. The wallet still offers the crypto currency, and the master can later access the private keys and use a local CC Exchange in a foreign country to convert and pocket the money. A nefarious scenario indeed.

We’re certainly not advocating this type of unlawful behavior, nevertheless the banks are aware of the chance and many of them wish to shut it down. This can’t happen with debit cards while the banks are never out-of-pocket – the cash comes out of your account immediately, and only if there is enough of your money there to begin with. We struggle to get any honesty in the bank’s story about curtailing gambling and risk taking. It’s interesting that Canadian banks aren’t jumping on this bandwagon, perhaps realizing that the stated reasons for doing so might be bogus. The fallout from these actions is that investors and customers are now conscious that bank card companies and banks do have the ability to restrict what you can buy with their credit card. This is simply not how they advertise their cards, and it is likely a shock to many users, who are quite used to deciding for themselves what they’ll purchase, especially from CC Exchanges and the rest of the merchants who have established Merchant Agreements with these banks. The Exchanges have inked nothing wrong – neither perhaps you have – but fear and greed in the banking industry is causing strange things to happen. This further illustrates their education to which the banking industry feels threatened by Crypto Currencies.

At this time there’s little cooperation, trust, or understanding involving the fiat money world and the CC world. The CC world has no central controlling body where regulations could be implemented over the board, and that leaves each country around the globe trying to determine things to d IEO o. China has chose to ban CC’s, Singapore and Japan embrace them, and many other countries remain scratching their heads. What they have in accordance is that they want to collect taxes on CC investment profits. This is simply not too unlike the early days of digital music, with the web facilitating the unfettered proliferation and distribution of unlicensed music. Digital music licensing schemes were eventually developed and accepted, as listeners were OK with paying something for his or her music, rather than endless pirating, and the music industry (artists, producers, record companies) were OK with reasonable licensing fees rather than nothing. Can there be compromise in the continuing future of fiat and digital currencies? As people around the globe have more completely fed up with outrageous bank profits and bank overreach within their lives, there’s hope that consumers will undoubtedly be regarded with respect and not be forever saddled with high costs and unwarranted restrictions.


Leave a Reply

Your email address will not be published.