The extent to which people will go to justify those sponsoring them is just abhorrent. I mean that is one of the reasons that sometimes, as an engineer and a person of science (in the STEM scheme of things), i find that all these humanities and allied sciences are little more than propaganda.
These people will fucking justify racism on the basis of eugenics when it suits their agenda. This dude has his first employment at Federal reserve after Wharton. All these schools which apparently take only the best of minds, refusing to acknowledge bitcoin as a solution for arriving at consensus in a decentralized manner, hence imparting it security and value as a P2P system, is simply too absurd to be accepted as not being agenda-driven.
I mean the guy goes on and does a whole classification of money just because he is told to put bitcoin in a strait-jacket. So they go on and "invent" a classification. Academic bankruptcy much? Fuck you Michael Junho Lee. We
Topic: Bitcoin is another type of fiat money according to the New York Fed (Read 699 times)
July 08, 2020, 12:14:23 AM
Let us begin accepting the classification of bitcoin as another type of fiat money if the regulators also begin to accept bitcoin as also another type of currency hehehehe.
As far as I know, the definition of fiat is government-regulated money. Even if the government tax bitcoin and altcoin, there's no way they can control the blockchain, which makes things possible for people to transact with these currencies. Even Satoshi itself stated in the white paper that there's no financial institution needed with peer to peer transactions with bitcoin.
In the first place, the only way government could tax crypto is through exchanges. What if more people engage in bitcoin and disregard exchange? Bitcoin - goods and services, and vice versa.
July 07, 2020, 10:05:23 PM
Let us begin accepting the classification of bitcoin as another type of fiat money if the regulators also begin to accept bitcoin as also another type of currency hehehehe.
June 23, 2020, 12:34:38 PM
Everyday people keep coming up with some boring definitions for Bitcoin. I don’t see Bitcoin the same as fiat as he has explained, there is a huge gap when it comes to fiat and Bitcoin, they are really different. And the way Bitcoin (BTC) works is totally different from the currency we have been using for years now, that we all call fiat. First BTC doesn’t have to rely on banks/middlemen just as the fiat does, it’s always peer to peer straight up and it gives you freedom, unlike fiat where there are plenty of restrictions. In so many ways BTC beats fiat in the ring.
Simply we may assume, bitcoin could be the "new type of fiat" still having variable value but trying to serve us similar to fiats. Because after some time, bitcoin may have stable value and that way bitcoin can become as "exact fiat".
Simply we may assume, bitcoin could be the "new type of fiat" still having variable value but trying to serve us similar to fiats. Because after some time, bitcoin may have stable value and that way bitcoin can become as "exact fiat".
June 23, 2020, 01:38:32 AM
I find it unreasonable. Why is bitcoin fiat money when it is not approved by any government agency as a currency? Besides, it is considered an intangible asset and we will never see bitcoin in real life. it is a non-physical asset and cannot be traded directly from hand to hand. I think people should no longer struggle to think about Bitcoin becoming a common currency. it is unworthy, the supply is limited and a lot of whales hold it to manipulate the market. This is unfair and it's wrong to see bitcoin as a payable currency everywhere.
Yes, right now, there is still an issue between bitcoin and fiat currency. Most of the countries are not yet making bitcoin legal in their country so how can you say that it is an another type of fiat money?
Not all of us are knowledgeable about bitcoin that's why we are having a hard time to introduce it in the society and our community to achieve mass adoption.
Fiat currency is the traditional money that we are using for so many years in many transactions. While bitcoin is a digital currency that can be used in a more faster and safe transactions. This is due to the advancement of technology and it is very far different from fiat.
June 23, 2020, 01:07:19 AM
Is this even considered research ? looks like he just assumed that Bitcoin has the same features as fiat currencies.
Im very disappointed how the economic elites explains Cryptocurrency and Bitcoin poorly. Well, in time once the current monetary system falls they will see how valuable Bitcoin is.
They are smart enough to understand what bitcoin is and what it serves for. They also know that most people are ignorant when it comes to understanding of how monetary system works. These narratives are used to convince people that in order for monetary system and economic to work, they should be controlled by authorities. Bitcoin is yet to become "legal tender", it is very far from this status. Moreover, it will likely never be legal tender, because it is not pegged to any jurisdiction, it is neutral to any laws. It can't be controlled and printed by New York Fed and that is why they are angry, angry enough to give false definitions to everything related to Bitcoin. A piece of code is stronger than a powerful organization. Im very disappointed how the economic elites explains Cryptocurrency and Bitcoin poorly. Well, in time once the current monetary system falls they will see how valuable Bitcoin is.
June 23, 2020, 01:06:32 AM
This is another case of moving the goalposts to get the goal. Blockchain's got quite a bit of goalpost-shifting when it comes to definitions, I notice. Terms I've seen been defined, redefined and massaged to validate a claim: "decentralisation", and "private/public (blockchain)". Suppose fiat's got such a bad connotation in this space someone was bound to swoop in and redefine fiat.
June 23, 2020, 12:45:27 AM
They are clearly wrong, how come it became fiat.
By changing the definition of fiat, gaslighting you.
Quote
For me, fiat is centralized controlled by the government and they keep printing when they want to. Bitcoin is decentralized, with no base or main server or anything, it is everywhere and most importantly it has a limited supply and it is not increasing, unlike fiat. But if they consider bitcoin as a new and better version of fiat that is a different story.
As per the textbook definition, "Fiat is a currency issued by decree, by a government, that does not have a backing of anything, or is not redeemable for any asset".
June 22, 2020, 07:56:30 PM
Is this even considered research ? looks like he just assumed that Bitcoin has the same features as fiat currencies.
Im very disappointed how the economic elites explains Cryptocurrency and Bitcoin poorly. Well, in time once the current monetary system falls they will see how valuable Bitcoin is.
Im very disappointed how the economic elites explains Cryptocurrency and Bitcoin poorly. Well, in time once the current monetary system falls they will see how valuable Bitcoin is.
June 22, 2020, 07:09:16 PM
If this is how the US government is classifying what bitcoin is... this might explain why the fight against bitcoin is back all thanks to Trump!
Bitcoin is All in one: Money, Stock and Store of value.
No better definition can describe what bitcoin is than this June 22, 2020, 07:05:00 PM
Bitcoin is All in one: Money, Stock and Store of value.
June 22, 2020, 08:26:26 AM
They have a lot of problems already why add more. 
The pandemic crisis which they proved they are on top once again.
George Floyds's death that put a lot of coal in the fire with the fight against racism.
Are they attacking bitcoin witnessing people giving a lot of attention to it? Could be.
Minds are not closed anymore. They can decide for themselves and facts are just one click away.
The pandemic crisis which they proved they are on top once again.
George Floyds's death that put a lot of coal in the fire with the fight against racism.
Are they attacking bitcoin witnessing people giving a lot of attention to it? Could be.
Minds are not closed anymore. They can decide for themselves and facts are just one click away.
June 22, 2020, 08:14:46 AM
it is just that time of the year again when bitcoin market gets weird since the price doesn't go either up or down so everyone starts bringing out their crap machines and create all kinds of weird-ass statements about bitcoin.
in fact if you check the timing of this types of articles with the price movements you can see they are all focused on times like this!
in fact if you check the timing of this types of articles with the price movements you can see they are all focused on times like this!
Bitcoin has ALWAYS been under some form of social engineering attack, EVERYWHERE. The New York Fed is obviously gaslighting newbies by redefining the meaning of "fiat".
June 22, 2020, 07:22:42 AM
As I see it, they are trying to convince everybody that the only true money is one that is government-issued, controlled, managed, tend to inflation in long term because inflation itself is the driver of economy. Any currency whose supply cannot be easily inflated is by default bad, even if it has intrinsic value like precious metals. For money to be "legal tender" it should be backed by promises of the governments, otherwise it will be considered useless fiat like Rai stones that played a role of money for centures because of theirs credible monetary properties.
June 22, 2020, 05:24:07 AM
They are clearly wrong, how come it became fiat. For me, fiat is centralized controlled by the government and they keep printing when they want to. Bitcoin is decentralized, with no base or main server or anything, it is everywhere and most importantly it has a limited supply and it is not increasing, unlike fiat. But if they consider bitcoin as a new and better version of fiat that is a different story.
June 22, 2020, 03:53:10 AM
If that is how they define fiat, skewed or not, self-serving or not, it's up to them. They may classify Bitcoin as another fiat, then. What do we expect from no less than the Fed? As a matter of fact, that is already a considerably generous definition coming from them.
What they cannot deny, however, are the features of this another fiat which is obviously a world much better than the old fiat they are hopelessly defending tooth and nail.
At the very least, this new fiat is not something imposed on the people. Whether this new fiat succeeds or not would simply be out of sheer freedom. The abhorrent old fiat, its system, rules, and regulations are forced upon a populace which doesn't have much choice.
What they cannot deny, however, are the features of this another fiat which is obviously a world much better than the old fiat they are hopelessly defending tooth and nail.
At the very least, this new fiat is not something imposed on the people. Whether this new fiat succeeds or not would simply be out of sheer freedom. The abhorrent old fiat, its system, rules, and regulations are forced upon a populace which doesn't have much choice.
That's a good point! We have different perspective when it comes to bitcoin's value. If you think that it is another type of fiat then so be it. But you should know the difference of a digital currency to fiat currency. Their value is really just like the same because of the exchange but they have different platforms where they are mostly used.
Fiat currency are more active in a physical transaction where people use a paper money to pay for his expenses. While, bitcoin is a digital currency that you can use with the presence of gadgets and technology. They have different features that make them valuable in our economy. It is your free-will on what will you choose as a currency but never compare bitcoin into fiat.
June 22, 2020, 01:41:51 AM
it is just that time of the year again when bitcoin market gets weird since the price doesn't go either up or down so everyone starts bringing out their crap machines and create all kinds of weird-ass statements about bitcoin.
in fact if you check the timing of this types of articles with the price movements you can see they are all focused on times like this!
in fact if you check the timing of this types of articles with the price movements you can see they are all focused on times like this!
Bitcoin has ALWAYS been under some form of social engineering attack, EVERYWHERE. The New York Fed is obviously gaslighting newbies by redefining the meaning of "fiat".
June 21, 2020, 11:52:31 PM
Just check fiat money characters (from investopedia): "Fiat money is a government-issued currency that isn't backed by a commodity such as gold. Fiat money gives central banks greater control over the economy because they can control how much money is printed". How is it connected with Bitcoin? Can somebody enlighten me?
June 21, 2020, 11:42:27 AM
I am shaking my head. This classification is clearly wrong, however, why do this and why now?
I speculate that this might be a sign of desperation. However, it might also be a sign that the American government might do another round of attacks against the cryptospace because the digidollar is coming soon hehehe.
Michael Lee of the Federal Reserve Bank of New York
An editorial for the New York Federal Reserve’s Liberty Street Economics blog just classified Bitcoin as “another example of fiat money.”
In a post entitled “Bitcoin is Not a New Type of Money,” New York Fed Research and Statistics economist Michael Lee and Research and Statistic’s group Senior Vice President Antoine Martin envision money in three categories: fiat, asset-backed, and claim-backed.
Lee and Martin classify “fiat money [as] intrinsically worthless objects that have value based on the belief that they will be accepted in exchange for valued goods and services.” Incredibly, they assert that central-bank issued currencies are not pure fiat because of their “legal tender status.” They then go on to label Bitcoin, which the CFTC has classified as a commodity, as a fiat currency.
“Examples of fiat money without legal tender status include Rai stones or Ithaca HOURs. And Bitcoin is just another example of fiat money.”
Read in full https://decrypt.co/32940/new-york-fed-bitcoin-fiat-money
Wow, this is clearly a huge stretch. Fiat etymologically means that the money has certain value because someone said so. Due to its roots in Christianity, the way I see it this someone is not the market by a central authority. Not to mention that fiat is not just limited to etymological meaning. All fiat money is centralized and regulated, it has no limited supply and the value is carefully manipulated. Bitcoin is the opposite of those things, so I am surprised someone from the Federal Reserve Bank would say such a thing.I speculate that this might be a sign of desperation. However, it might also be a sign that the American government might do another round of attacks against the cryptospace because the digidollar is coming soon hehehe.
Michael Lee of the Federal Reserve Bank of New York
An editorial for the New York Federal Reserve’s Liberty Street Economics blog just classified Bitcoin as “another example of fiat money.”
In a post entitled “Bitcoin is Not a New Type of Money,” New York Fed Research and Statistics economist Michael Lee and Research and Statistic’s group Senior Vice President Antoine Martin envision money in three categories: fiat, asset-backed, and claim-backed.
Lee and Martin classify “fiat money [as] intrinsically worthless objects that have value based on the belief that they will be accepted in exchange for valued goods and services.” Incredibly, they assert that central-bank issued currencies are not pure fiat because of their “legal tender status.” They then go on to label Bitcoin, which the CFTC has classified as a commodity, as a fiat currency.
“Examples of fiat money without legal tender status include Rai stones or Ithaca HOURs. And Bitcoin is just another example of fiat money.”
Read in full https://decrypt.co/32940/new-york-fed-bitcoin-fiat-money
If that is how they looked at bitcoin, they it will be subject with the same regulation of fiat.
I clearly disagree with it for simple reason reason, fiat is centralized while bitcoin is decentralized, without a centralized system we can transact with bitcoin and that separates us from fiat.
The thing is, those regulators has no or little knowledge about bitcoin so they make a wrong judgment about bitcoin, I guess they need to educate themselves first, understand the basics before making some comments about it.
Actually, regulating Bitcoin as 'just another fiat' could be a great thing, as it would mean that only income tax is applicable, whereas currently Bitcoin is heavily taxed in the US. I clearly disagree with it for simple reason reason, fiat is centralized while bitcoin is decentralized, without a centralized system we can transact with bitcoin and that separates us from fiat.
The thing is, those regulators has no or little knowledge about bitcoin so they make a wrong judgment about bitcoin, I guess they need to educate themselves first, understand the basics before making some comments about it.
June 21, 2020, 11:40:28 AM
it is just that time of the year again when bitcoin market gets weird since the price doesn't go either up or down so everyone starts bringing out their crap machines and create all kinds of weird-ass statements about bitcoin.
in fact if you check the timing of this types of articles with the price movements you can see they are all focused on times like this!
in fact if you check the timing of this types of articles with the price movements you can see they are all focused on times like this!
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