How could they possibly stop Bitconnect from paying out to people?
But that's essentially what they have done to U.S residents living in Texas (likely more states to come). Yes; they can't stop Bitconnect from paying out (for now), but what is going to happen when the loan period expires and capital is returned? The returned capital will be the final payout. No more lending = no more paying out. Thus, the government successfully severs U.S. residents from Bitconnect.
On the positive side, this is now an opportunity for Bitconnect to prove itself. If it's not a scam, then they should do whatever they have to do to comply with the states to continue doing business with U.S. residents. If they do that, most of the FUD directed at Bitconnect will be put to rest.
If they don't make an effort to comply, then that should give people all the more reason not to trust Bitconnect.
If you are smart you can avoid this. We are in crypto after all... You can open endless amount of wallets, transfer from anonymous exchange (Binance has 2 BTC limit to be anonymous) to BCC, order a debit card and spend money via debit card.
You can open an offshore bank account. In crypto everything can be anonymous... No government can stop you from investing if you want to invest...
US citizens can invest even in ICO that way. You don't fill the information KYC and instead of sending 1ETH or 1BTC you send small amounts. For example you can send 100x 0.1 ETH from 100 wallets. It's all your money but spreaded trough more wallets. Nobody will know it's coming from you... And you can do that forever...
There is always a way to avoid regulation, that is why crypto was created, so we can be regulated by ourselves and not by state regulators...
