India Cautions Users On Risks Associated With Virtual Currencies 121
Posted
by
samzenpus
from the proceed-with-caution dept.
from the proceed-with-caution dept.
hypnosec writes "The Reserve Bank of India (RBI) has cautioned users of virtual currencies like Bitcoin, Litecoin, and Dogecoin on the risks associated with them and said that it is looking at the use and trading of these currencies. They noted that there are quite a few risks including: theft of digital wallets that are used to store the digital currency, absence of any frameworks to tackle customer problems, disputes and charge backs; exposure to potential losses because of high volatility in value of the virtual currencies, legal and financial risks, and breach of anti-money laundering laws because of lack of complete information on counterparts in a peer-to-peer anonymous / pseudonymous systems."
Explain something for me. (Score:2, Informative)
How do we go from the Execuitive Management of a board issuing a press release to "India issues warning"?
Seriously. is India a person? Is the Reserve Bank of India a Person?
No.
Please refer to the PEOPLE making the claims. FFS, organizations are not people.
Re:In other news, the Dutch warn about tulip mania (Score:5, Informative)
yes, they do...i'm getting tired of this incorrect meme.
the dollar is backed by "the full faith and credit of the united states government"...yes that means the ability to seize bank accounts and the use of the threat of prison and even guns/bodily harm to get their money to pay its debts.
it's ludicrous to think bicoin has the same feature.
Re:In other news, the Dutch warn about tulip mania (Score:5, Informative)
No, that's simply not what a currency is. Never think of a currency as a store of value, but as an aid that makes barter easier. It's a way to measure value, sure, but that's different.
If you want something with intrinsic value, you need to turn your currency into wealth, by which I mean ownership of the means of production. Land, stocks, private businesses, whatever: the only assets with intrinsic value are those which produce something that people want or need. Everything else is mere convention or convenience.