Scared Cyprus government issues Bitcoin warning
Angelos Votsis warns people about the risks of Bitcoin. Bitcoin's popularity has grown tremendously in Cyprus. Bitcoin has seen its popularity go up tremendously in the past year. Some argue that this is due to the worldwide financial crisis. This is proven when looking at specific countries that have been hit harder than others by this disaster. Cyprus being a great example of this. Bailout deal. The mediterranean island reached headlines last year after several unusual measures were taken to eliminate the national debt. Cyprus agreed to a bailout deal that was set by the European Union.....
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Barclays Bank, one of the largest banks in the world, has today issued a warning on the nascent digital currency Bitcoin arguing that it is not backed by any government or central bank and the deposits are not insured. The warning follows numerous similar warnings by Consumer Financial Protection Bureaus in the aftermath of the still mysterious downfall of MT Gox. Barclays urges its customers to beware of hackers and scammers and beware of rate fluctuations as well as general advice such as carefully read the contract and know with who you are dealing. Absent from the warning however is....
Cyprus has prepared its own legislation to regulate crypto assets and is likely to adopt it before Europe finalizes a common regulatory framework, a government official has indicated. The authorities in Nicosia welcome the “careful” use of cryptocurrencies, he added. Government of Cyprus to Submit ‘Attractive’ Crypto Bill Cyprus has an “enviable position” in the EU when it comes to innovation, with the second-best progress last year, according to the European Innovation Scoreboard, the country’s Deputy Minister for Research, Innovation and....
Without a hint of irony, the central bank of Cyprus warned citizens against cryptocurrencies, noting that such money is not government-backed, volatile and ripe for money laundering. The bank does not go so far as to describe digital currencies — chiefly Bitcoin — as illegal, but “does not approve any activity that falls within its purview, unless it can ensure the legality of that activity.” To quickly sum up the last year in Cyprus: The country accepted an EU bailout of about 10 billion euro, closed its second-largest bank, froze everyone’s bank accounts, then skimmed money off the top....
Cyprus is joining the "beware of bitcoin" bandwagon, it seems. A report published Tuesday on at CyprusMail indicates that the Central Bank of the country and the Ministries of Trade and Finance released a joint statement warning that the public could lose their money if they put it into bitcoin (and presumably other digital currencies). "There is no specific legal protection in the event of an exchange platform losing money or collapsing," the statement read. The statement brought up the usual warnings the community is now accustomed to: extreme volatility, possibility of getting stolen by....
A Sacrifice to the Cult of Fiat. The bail-in of Cyprus, when Cypriots were essentially mugged by their own government, remains a grim reminder of the fiat system's extreme dysfunction. Where families and businesses can be ruined overnight to support a corrupt banking sector, something is clearly amiss. And the problem is far from isolated to Cyprus, with bail-ins now the "template" for resolving bank failures across Europe and much of the developed world. Indeed, the EU just agreed to the creation of a central agency to administer future bail-ins. The Next Banking Shock for Cyprus... And....