Think Bitcoin is your savior and are relying on its absurd value? Think again - FinanceFeeds

Think Bitcoin is your savior and are relying on its absurd value? Think again

Andrew Saks

Try turning a bar of gold bullion on or off…..

bitcoin

2020 was a year of sensationalism and absence of rational thought.

What began as a normal year for normal businesses and people very quickly became a year of totalitarianism, banal claims by government departments, political coercion and sheep-like adherence to absurdities such as panic buying at the supermarkets, millions of supposedly educated Westerners metaphorically hiding under the sofa in case they catch a cold, and equal numbers of people willingly giving up all they have worked and lived for only to hand it over to a state which polices every move they make.

Visitors to online forums have been accelerating in numbers, all arguing with each other over all manner of aspects of what is now a constrained life for those who believe in the biggest global government coup in human history, and the general public, divided and conquered, is resorting to off-the-wall methods of attempting to carve a future that they cannot see ahead of them.

One of these rather odd behavioral traits is the rush toward Bitcoin.

Today, the ‘value’ of this non-existent currency with absolutely no backing or basis is being flaunted by mainstream media whose 22 year old interns do not know or understand the basis of underlying assets in the capital markets business as approximately $34,000 for one Bitcoin.

This, if it can be taken as read, is a clear demonstration of both hypocrisy, and of the lemming-like nature of those putting their trust in Bitcoin as a savior of their freedom from the grasp of the ever encroaching state.

Ten years ago, anti-government mavericks such as Jeff Tucker and Marco Betschart were holding celebrity status as orchestrators of what was seen by Bitcoin advocates as a break away from the large corporations and banks, many of whom ridiculed senior executives in the electronic financial services and Tier 1 interbank trading sector as ‘banksters’, selling their ideologies as a method of freedom from the banks and central governments globally.

The gullible and wet behind the ears rallied to buy these non-existent coins which came backed by non-existent pipe dreams sold by men in flamboyant suits and bowties from whose smiling faces emanated endless tech-infused bamboozlement, appearing a complete breath of fresh air compared to the gray suit of bank executives, regulators and politicians, whom the Bitcoin advocates trashed as control freaks who will never allow the public to prosper.

Billions of dollars were poured into the virtual currency folly, only to be gone forever when the equally non-existent ‘exchanges’ that held them on behalf of customers vanished into the same thin air that their products are made from, with no recourse at all, and their owners running away to Costa Rica, Panama and the Seychelles.

Those not on the run were often subjects of closures by the US Department of Justice for operating dark web facilities, and the market value of Bitcoin was so volatile that it made an investment in White Star Line in 1912 look like a safe proposition.

Now, with totalitarianism the main priority for many western governments and forced closures of businesses resulting in mass unemployment, some of those wishing to escape the clutches of a state which wants its entire population dependent on a universal basic income and no private ownership of property have begun to embrace Bitcoin.

Yes, making sure the government does not achieve its aim of financially disabling every citizen in the Western hemisphere is a very noble and right-thinking line to take, but Bitcoin is certainly not the route to freedom.

Indeed it is quite the opposite.

The most totalitarian government in the world, operated by the Chinese Communist Party is absolutely convinced that a digital currency is the way to control the behavior of its population and maintain subservience.

By having a computerized currency which has no physical equivalent, the state can simply switch anyone’s means of payment on or off, or remove it entirely.

The world’s clever and calculated initiator of Orwellianism, the Chinese government, which has spent most of 2020 rolling out its totalitarianism to the world without any hint of resistance – actually quite the opposite – has unveiled its latest move, this time relating to the global currency markets.

No, it is not FX. China made its stance clear with regard to FX trading, a business that is totally opposed to China’s capital controls and isolationism from global markets, by forcibly removing most FX brokerages with overseas origins from their China offices three years ago.

It was inevitable that the communist government would take that stance. Chinese FX trading was massively popular and people from Shanghai to Shenzhen flocked toward the free market opportunities of global electronic brokerages, often doing tens of thousands of lots per month as this was their only outlet from government controlled bucket shops masquerading as regional exchanges, which not only stole their money but had no access to asset classes outside Chinese stocks – also controlled by the state.

Chinese communism is a clever form of dictatorial government.

It is the type which makes people believe they are getting the best deal ever, when in reality the opposite is true.

To keep people malleable, they allow state investment into start ups, which really means the government is your boss, they allow people to drive luxury cars with the same brand names as Western ones – although they’re all made under license in China – and they allow rampant consumerism, making it look to the untrained eye that China’s population live a capitalist lifestyle.

Nothing could be further from the reality.

Thus, to be able to instil further control over a highly educated and astute, well dressed population that are now used to luxuries, the communist party needs to ‘sell’ ideas that appear innovative and cool when they are trying to curtail liberties.

October’s rollout of such a thing came in the form of a government backed digital currency.

It is the first in the world of its type. No other nation has launched a sovereign digital currency.

Wow, how avantgarde, I hear you say…

Perhaps even more unbelievably, it is the People’s Bank of China, the company’s central bank that is unleashing it onto the ‘market’,

The People’s Bank of China intends to overtake other countries and be the first to issue its digital currency (CBDC) reported Reuters with reference to the Central Bank comment.

And there you have the mainstream media totally misunderstanding this and considering it to be ‘overtaking other countries’ when reality it is another draconian effort to control the spending habits and investment opportunities of the population.

According to the central bank, the right to issue digital assets will become a “new battlefield” between states. Winning the race will allow China to strengthen the yuan’s position on the world stage and break the dollar’s dominance.

Those who think digital currencies are a route to freedom and self-determination are looking down the wrong end of the telescope.

China also needs to establish a new payment system network to break the dollar monopoly as a key part of the yuan internationalization, which demonstrates another artform that the communists have always been very good at – propaganda.

If a country can remove all Fiat money, replace it with a digital currency, then turn it on and off according to your behavior, they’ve got you by your little toe.

In Western countries, viewpoints such as Bill Gates developing a chip to implant into the human population which tracks everything we do and then allows governments to outlaw fiat currency, replace it with digital currency and then switch you on and off so that you starve if you do not comply with dictatorial rules has more often than not been written off as fringe opinion, so why when China does exactly this is it considered a step toward modernity?

Bitcoin entities are run by anonymous people who have connections in places such as those who operate state-level attempts to centralize all currency and operate it as a digital means of control.

The same applies to those who think that the European MiFID II regulations and trade reporting rulings are there to increase transparency and help government departments understand how execution has taken place and what pricing has been agreed.

What is often overlooked is that Jeff Bezos has an absolute data monopoly as all trade reporting data must be uploaded by regulators to a system hosted solely by AWS.

Far from being a method of granting transparency, it is a data monopoly on all non-bank capital markets activities in Europe, and Mr Bezos is China’s man in the West.

In this respect, the consumer-led drive toward putting all faith into a totally baseless virtual currency led by mavericks, con men and people with connections to totalitarian states with no recourse if something goes wrong is very much another step toward destitution.

Thus, it is unbelievable that British mainstream media which operates in a nation in which cryptocurrency has been banned can make banal statements such as ‘Bitcoin is seen by some as a safe way of storing money’.

In these times, there has never been a greater need for physical assets. Virtual ones, especially those held on cloud-based airware, are easily turned on and off.

Try turning a bar of gold bullion off.

I rest my case.

 

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