Topic: New law enables german banks to sell and store cryptocurrencies in 2020 - page 3. (Read 814 times)

Many people who are viewing bitcoin as a type of investment they would be happy with this news, but for someone who uses it for the benefit it provides anonymity, fast transactions without the need to relay on any other third party this seems contradiction to what we use it for, banks holding bitcoin meaning that you are giving up all the above benefits that it provides and you are letting the government control it the same way they are controlling fiat.

That's why I thought Germany is already moving to have the law changed and passed this law in advance to give them a headstart. Coz if not, despite their clout there's going to be resentment. Something that will not do them good as nationalist movements are currently on the rise in Europe.

I don't think this is good news for the bitcoin community, because the more laws and the more complication involved bitcoin, the more it strays away from anonymity and the whole purpose of bitcoin in the first place. In my opinion, Germany has a lot of messed up laws, I do not see how this law could be good for btc. Like, honestly they are only doing this to make money from BTC. Do you really think those licenses will be free? Citizens who use BTC will most likely be known, big brother will be watching.

if Germany would do that, why is it so difficult to do in America and China, because they are in the first and second position of the economy?
what makes it difficult for them to implement it.
whether the rules are different, or the government deliberately prohibits it for a reason.

I think that it is necessary to take into account the fact that Germany has political and economic weight in the European Union.  Countries such as France and Germany are the largest investors in the European Union and therefore no one dares to dictate terms for these countries.

That's fascinating, how they can make rules for you without being even in the Euro zone (from what I remember the UK kept the pound). I'm interested with how Germany would carry on with this, if it'll get struck down by EU or if indeed, there is already plan to change the law and Germany is just preparing for that in advance.

YEAH! Finall they decided to count us all!

Sure that soon we will got a proposal to store our private keys in banks/ LOL

Even exchanges does have right to not give you your money if they feel like there is a problem going on. Now I know it will be a greatly over the top example but lets assume you are a hacker and you hacked into an exchange, you got everyone's money to your own account and you want to withdraw, exchanges have rights to not give that money to you and disallow you from withdrawing because you are a hacker.

Now think about it in banking terms, banks are entitled to only governments and if government doesn't want you to get rich they will just tell the bank to freeze your assets with court order and you won't be getting it, banks are not dealing on a decentralized system, it is quite centralized, which means your money is now gone. Hence having your own decentralized wallet is more important.

I think we should take into account that it's Germany, not Zimbabwe. I'd say it's pretty hard for banks to be "dishonest" in a country like Germany. I mean, you can try, but you'll be sued(inevitably).

I agree with posters saying here that this is overall good for crypto adoption. I even read one article saying that the new law makes Germany “crypto heaven”. We'll see how it turns out, but so far it's definitely better than laws in some countries forbidding banks to deal with crypto.

I rather hope for people to smarten up on how things work in crypto land so that they will not need banks for coin storage.

Education is key in all facets of life, but apparently, within crypto the education that we have been spreading out didn't work because exchanges still hold gigantic stacks of coins. Perhaps that the cost of hardware wallets going down will help, but I'm not sure what we can do differently to make people aware of the risks and stop using an exchange as wallet.

The aim is to be our own bank, not to have banks yet again be our bank. 

https://www.handelsblatt.com/finanzen/maerkte/devisen-rohstoffe/kryptowaehrungen-neues-geldwaeschegesetz-banken-duerfen-bitcoin-verwahren/25276392.html

Let's hope most of the banks readily goes along accepting bitcoins and crypto for both deposit and withdrawals. This would enable them to to be a center for crypto around the Europe. Germany is becoming the center of European economy and they are the connecting economy of the east and the west. Their crypto adoption would boost crypto adoption around the world.

By doing so, it offers convenience to crypto peeps in Germany. Whether we like it or not, bitcoin or cryptocurrency is here to stay. With government or a nation letting cryptocurrency or bitcoin being integrated to banks, mean ease of transaction between crypto and fiat.

None of the EU states can  break EU directives.

Where is the link to an actual proposed law?

The beauty of bitcoin is that you can always hold a wallet on your own computer if you want.

I think this piece of regulation is about making it easier for businesses who which to move seamlessly from crypto to fiat and back to be able to do so without having to set up multiple accounts at multiple exchanges.

I am not entirely sure if I want the government to know how much money I have in my bitcoin account.
Now, as adoption it is great because it allows everyone to have a bit of bitcoin in their bank account which would make it very simple to get it, however for the ones that got into bitcoin way before it got this much attention, we got into it because we wanted politics out of finance.

Do you know what "having bitcoin in your bank account" means? That means people would be able to give the banks the right to have bitcoin in their systems, so they could basically once again have 1000 bitcoins as a whole bank but tell people they own 9000 bitcoins all because they think nobody will be cashing it out, there are more money on earth than there is cash all due to this problem.

With the enactment of the anti-money laundering law in Germany, I feel that it benefits banks by preserving their interests, existence, and hegemony in the economy. Many people realize that the wave of blockchain and the era of digital currency is inevitable. From the business side, this regulation is very beneficial for the Bank because banks have a variety of forms of service which will certainly increase bank profitability.

Learn from the experience of several banks in Germany that went bankrupt due to money laundering scandals. Then bank officials need to ensure that their banks will not be used for money laundering. It is in their own interest not to be taken advantage of for money laundering or terrorist financing purposes - simply to avoid any damage to their reputation or to prevent significant financial losses which may also jeopardize a bank's very existence.

For the German government itself, this policy will spur the entry of revenues into Germany and spur German economic turnover which had slowed down due to the global economic downturn. The German economy has been supported by manufacturing exports, which have been affected by the weakening global economy.

With the certainty and legal umbrella for cryptocurrency trade in Germany, it is expected to be transmitted to many other countries. This policy can also be used as a pilot project for other countries which so far only wait and see become learn and action because in essence blockchain and cryptocurrency technology does offer many advantages.

I see that we are talking on different frequencies because what I meant by asking permission is that when you allow others to hold your crypoto for you it no longer is yours. The person who controls the private key is the owner. If you give your bitcoins to a banker he becomes the owner.
I also spoke about permission because that's what you're doing when you're sending money from your bank account. It's not an automated process. The bank can disagree and not complete the transfer. It happened many times just google it. In many countries banks were denying service to their customers saying that they will not allow them to send money to a casino, or to another country covered by an embargo, or when they were suspecting you of criminal activity. This doesn't mean you were really doing it, you were only a suspect, but they were treating you like a criminal.
Start sending coins to banks and you will lose freedom that cryptocurrencies are giving you.

I am actually delighted to read about this. It just further show to the those waiting on the sidelines that bitcoin is not sustainable to begin to have a rethink. If a bill can be passed by the world forth largest economy still looking at how to further expand their economy with this, i wonder countries whose economy is nothing to make reference to would still be there flexing their muscles as to how bitcoin or crypto is the source of all their problems and how they have not been able to fix it.

As much as this news brings gladness, we should not be aware of the regulations and compliance that will surely come with it because that is what I see would be a challenging transition at this time.

I think what is more likely to happen is that companies like Coinbase, which already have a lot of crypto expertise, turn themselves into banks (in other words offer standard banking facilities to their existing members).