Finally! I am glad to hear those good news.
Effective 6 January 2021, the FCA banned marketing and distribution to all retail consumers of any derivatives (ie contract for difference – CFDs, options and futures) and ETNs that reference unregulated transferable cryptoassets by firms acting in, or from, the UK.
The magic bean asset being what it is, the FCA warns UK consumers should continue to be alert for crypto-derivative investment scams.
The FCA lists the following reasons for their decision:
> inherent nature of the underlying assets, which means they have no reliable basis for valuation (crypto magic beans have no value)
> prevalence of market abuse and financial crime in the secondary market (eg cyber theft) (it's a cesspool of scams)
extreme volatility in cryptoasset price movements
inadequate understanding of cryptoassets by retail consumers (they do not understand they are glorified ponzi schemes)
lack of legitimate investment need for retail consumers to invest in these products (but the casino was closed)
The FCA mentions heavy losses suffered by crypto "investors" and day and swing gamblers.
"We have evidence of this happening on a significant scale."
Wait what? What was that? I thought they all made big money? And laughed at Warren Buffett for "missing out" on their pump & dump scheme.
They laughed at me for getting small winners of that only moved a few percents in the forex market.
The FCA says crypto baggies are taking big losses on a "significant scale", this does not look like they are all making "big gains".
Looks like they are making big double percent returns. With a negative sign in front of it ;)
Wow apparently "investors" in the UK have been losing hundreds of millions of pounds to these MLM schemes.
The FCA has received feedback from angry bahodlers in denial, in particular alot of criticism of:
"our argument that cryptoassets do not have intrinsic value, and that retail consumers are unable to value them reliably"
I can imagine the nerds explaining to them their magic beans have alot of magical value because reasons and that the FCA "just doesn't get it".
"Most respondents (97%) opposed our proposal arguing that:
• cryptoassets have intrinsic value
• retail consumers are capable of valuing cryptoassets
• a prohibition was disproportionate and other measures could achieve our
objectives
• our CBA did not represent accurately the costs and benefits of banning cryptoderivatives sold to retail consumers "
They want to continue losing money, the regulators want to stop it.
Bagholders if left unchecked are just going to lose everything then ask for social programs to get their money back.
It is not impossible some of them do a Mark O. Barton (a foolish butthurt prop firm day gambler that after losing hundreds of thousands killed a lot of people).
The french equivalent has banned the marketting of such products a while ago, hopefully they are going to take the next logical step and ban them entirely.
And hopefully many will follow.
No one wants a tragedy after foolish crypto gamblers lose everything they have. Let's cut them off their drug and end their misery, the sooner the better.
These great news come at a time where many entities are cracking down on the "criminal" or "scammy" side of crypto (got you didn't I? This would imply cryptos have no scammy side).
Owners of Bitmex that skipped the anti-laundering and tax evasion rules (what a surprise) are wanted outlaws by the USA. They left the USA and are hiding offshore.
Since crypto is used for dodging taxes so much in the USA, The U.S. Internal Revenue Service (IRS) is considering the introduction of a box on the first page of the 2020 tax returns "to win cases against taxpayers that claim they did not know they had to pay taxes".
Crypto is a negative sum game. It serves no purpose, unlike forex & futures that provide a hedging tool for producers, industrials, businesses, governments, and stocks that allow companies to seek capital. Crypto produces nothing and constantly loses money as "miners" have electricity bills to pay.
Participants only make money by scamming each other, and the ones that "won" this fools game are going to get heavilly taxed.
If 1 was a perfectly zero sum game, and 0 a game where every one just loses everything (infinitely negative sum), Bitcoin and cryptos would score something like 0.4.
Effective 6 January 2021, the FCA banned marketing and distribution to all retail consumers of any derivatives (ie contract for difference – CFDs, options and futures) and ETNs that reference unregulated transferable cryptoassets by firms acting in, or from, the UK.
The magic bean asset being what it is, the FCA warns UK consumers should continue to be alert for crypto-derivative investment scams.
The FCA lists the following reasons for their decision:
> inherent nature of the underlying assets, which means they have no reliable basis for valuation (crypto magic beans have no value)
> prevalence of market abuse and financial crime in the secondary market (eg cyber theft) (it's a cesspool of scams)
extreme volatility in cryptoasset price movements
inadequate understanding of cryptoassets by retail consumers (they do not understand they are glorified ponzi schemes)
lack of legitimate investment need for retail consumers to invest in these products (but the casino was closed)
The FCA mentions heavy losses suffered by crypto "investors" and day and swing gamblers.
"We have evidence of this happening on a significant scale."
Wait what? What was that? I thought they all made big money? And laughed at Warren Buffett for "missing out" on their pump & dump scheme.
They laughed at me for getting small winners of that only moved a few percents in the forex market.
The FCA says crypto baggies are taking big losses on a "significant scale", this does not look like they are all making "big gains".
Looks like they are making big double percent returns. With a negative sign in front of it ;)
Wow apparently "investors" in the UK have been losing hundreds of millions of pounds to these MLM schemes.
The FCA has received feedback from angry bahodlers in denial, in particular alot of criticism of:
"our argument that cryptoassets do not have intrinsic value, and that retail consumers are unable to value them reliably"
I can imagine the nerds explaining to them their magic beans have alot of magical value because reasons and that the FCA "just doesn't get it".
"Most respondents (97%) opposed our proposal arguing that:
• cryptoassets have intrinsic value
• retail consumers are capable of valuing cryptoassets
• a prohibition was disproportionate and other measures could achieve our
objectives
• our CBA did not represent accurately the costs and benefits of banning cryptoderivatives sold to retail consumers "
They want to continue losing money, the regulators want to stop it.
Bagholders if left unchecked are just going to lose everything then ask for social programs to get their money back.
It is not impossible some of them do a Mark O. Barton (a foolish butthurt prop firm day gambler that after losing hundreds of thousands killed a lot of people).
The french equivalent has banned the marketting of such products a while ago, hopefully they are going to take the next logical step and ban them entirely.
And hopefully many will follow.
No one wants a tragedy after foolish crypto gamblers lose everything they have. Let's cut them off their drug and end their misery, the sooner the better.
These great news come at a time where many entities are cracking down on the "criminal" or "scammy" side of crypto (got you didn't I? This would imply cryptos have no scammy side).
Owners of Bitmex that skipped the anti-laundering and tax evasion rules (what a surprise) are wanted outlaws by the USA. They left the USA and are hiding offshore.
Since crypto is used for dodging taxes so much in the USA, The U.S. Internal Revenue Service (IRS) is considering the introduction of a box on the first page of the 2020 tax returns "to win cases against taxpayers that claim they did not know they had to pay taxes".
Crypto is a negative sum game. It serves no purpose, unlike forex & futures that provide a hedging tool for producers, industrials, businesses, governments, and stocks that allow companies to seek capital. Crypto produces nothing and constantly loses money as "miners" have electricity bills to pay.
Participants only make money by scamming each other, and the ones that "won" this fools game are going to get heavilly taxed.
If 1 was a perfectly zero sum game, and 0 a game where every one just loses everything (infinitely negative sum), Bitcoin and cryptos would score something like 0.4.