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Donald Trump Blasts Bitcoin, Facebook Libra, Demands They Face Banking Regulations (scmp.com) 229

President Donald Trump on Thursday night warned Facebook over its plan to create digital currency Libra, a move that poses a new obstacle to the company's cryptocurrency ambitions. From a report: "Facebook Libra's 'virtual currency' will have little standing or dependability. If Facebook and other companies want to become a bank, they must seek a new Banking Charter and become subject to all Banking Regulations, just like other Banks," Trump said in a series of posts on Twitter. In the tweets, the president also expressed scepticism of digital currencies in general. "I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air," Trump wrote. "Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity." Trump's entrance into the debate over Bitcoin and Libra could mark a significant development for crypto enthusiasts. The White House has largely remained silent on the subject even as federal regulators like the Securities Exchange Commission, Commodity Futures Trading Commission and units of the Treasury Department have grappled with how to regulate virtual coins.
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Donald Trump Blasts Bitcoin, Facebook Libra, Demands They Face Banking Regulations

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  • Trump has said for every regulation two must be revoked. He is not going to help out Warren and Pelosi by advancing their agenda of further regulating financial institutions. It is unclear how he is going to do anything within this framework.
    • While I am loath to defend Donald Trump, the 2 for 1 deal predates him quite a bit, and is about new regulations, not about applying existing regulation to new entities.

    • It is unclear how he is going to do anything within this framework.

      It's not about making things harder for the banks, but for their competition. That's why you often see large corporations in favor of certain types of onerous legislation. It might put some additional burden on them, but a billion dollar company can bare it and pass it on to the consumers, whereas it almost ensures that new startups cannot get going do the massive amount of resources that need to be invested in dealing with some regulations as opposed to the core business area. This is a favor to the banks.

  • Well... (Score:5, Funny)

    by Waffle Iron ( 339739 ) on Friday July 12, 2019 @12:07PM (#58914402)

    "I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air,"

    As they say: "It takes one to know one."

    • by Kludge ( 13653 )

      "Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity."
      said the man who made money helping the Russian mafia launder money through New York real estate.
       

  • by magusxxx ( 751600 ) <magusxxx_2000 AT yahoo DOT com> on Friday July 12, 2019 @12:08PM (#58914414)

    Before I became President I dated a lot of Libras. Can't trust any of them."

  • by nospam007 ( 722110 ) * on Friday July 12, 2019 @12:15PM (#58914454)

    "I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air,"

    A bit like his wealth, then.

  • which is highly volatile, and based on thin air. It also facilitates unlawful behaviour, such as the drug trade and other illegal activities.

    • which is highly volatile

      [Citation Required]

      For example, please point to the instance where the Dollar-to-Euro exchange rate changed by 1000x within one year.

      • Re: (Score:1, Troll)

        by alvinrod ( 889928 )
        In 1999 the exchange rate of the dollar and Euro changed at an infinitely higher rate than 1000x. That may have had more to do with the fact that the Euro had no existing value before then and a consequence of how the rate is calculated mathematically, but it's still one particular instance.

        /pedant
  • Having read them... (Score:5, Interesting)

    by Areyoukiddingme ( 1289470 ) on Friday July 12, 2019 @12:31PM (#58914570)

    Having read the actual tweets... Donald Trump did not write them. Donald Trump does not give a rat's ass about Libra. Somebody is handling his Twitter account again. That was the most pro-Establishment set of tweets coming out of that account in months, and that's very much out of line with his public persona. That, and somebody was making an effort to match his bombastic tone but they didn't pull it off.

    It's going to be interesting to watch the schizophrenic behavior coming out of the White House on the subject of Libra. I predict wild swings depending on who last talked to Trump.

    • by hey! ( 33014 )

      This goes back to Ye Olden Times; it's not the *king* who is doing the things that make you mad, it's his wicked advisers. And people never seem to ask why the king keeps those wicked advisers around.

      There's nothing schizophrenic about it. Different messages are intended for different audiences.

      • This goes back to Ye Olden Times; it's not the *king* who is doing the things that make you mad, it's his wicked advisers.

        Oh Trump himself is a dipshit. A sociopathic opportunist with delusions of grandeur. I would claim he suffers from a crippling case of the Dunning-Kruger affect, except to qualify for that he would have to have some actual skill in something.

        And people never seem to ask why the king keeps those wicked advisers around.

        To be fair, Steve Bannon is no longer allowed in the White House.

        There's nothing schizophrenic about it. Different messages are intended for different audiences.

        Or... Trump can't keep track of his own lies and just says whatever comes into his head at 5:00 in the morning. Nearly all of which is triggered by what he has seen on TV in the past, oooh, 12 hours. H

    • It would need 'coal-powered cryptocurrency' mined from the actual ground before the real Trump perked up his ears.
    • by antdude ( 79039 )

      So, which tweets are directly from President DJT then?

    • > Donald Trump does not give a rat's ass about Libra

      That's a baseless bullshit conspiracy theory

      > It's going to be interesting to watch the schizophrenic behavior coming out of the White House on the subject of Libra

      The only schizophrenics here are rabid partisan imbeciles like you.

      You are ready to sacrifice any common sense for the sake of political attack.

      You and 4 dummies that upvoted you.

  • "Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity."

    Like ransomware. I feel kinda dirty agreeing with Drumpf, but I agree.

    I would probably have changed the word 'can' to 'mostly.'

  • by mea2214 ( 935585 ) on Friday July 12, 2019 @12:38PM (#58914624)
    Bitcoin poses a risk to the trillions currently being washed via old school unregulated money laundering. Trump represents their interests.
  • Sometimes the stars line up and the wind is blowing the right way, and Trump says something that I don't really disagree with.

  • So Trump says cryptocurrency isn't money (he may actually be correct). But if not, why does it need to comply with banking regulations?

    It seems to me he can speak faster than he can think.

    • You're just said a complete non-sequitur. Banks _have_ money, they themselves are _not_ money. Facebook is proposing doing what banks do (storing money). The only difference is that when you give them money they use a tokenized asset to keep track of it (Libras) instead of the actual money.

      As always if it walks like a bank and it quacks like a bank it gets regulated like a bank.
  • by account_deleted ( 4530225 ) on Friday July 12, 2019 @01:37PM (#58915066)
    Comment removed based on user account deletion
    • Normally I would say bitcoin is a unsustainable pyramid scheme, but now that Trump is against it I no longer know what to think..

      Even a monkey randomly pounding a way at a keyboard will eventually produce a coherent sentence.

  • by nehumanuscrede ( 624750 ) on Friday July 12, 2019 @01:43PM (#58915116)

    You may as well apply the same labels and regulations to Pay-Pal.

    They could use some regulating to be honest since they like to play games with your funds at the drop of a hat :|

    • Paypal is heavily regulated, and they fought tooth and nail not to be. The main reason Paypal & Ebay split was because Paypal needed to become a bank or get shut down for acting like one without being one, and if the two companies had stayed under the same banner Ebay would fall under the regulations too.

      Uber can lie about being an employer because the rich and powerful don't give a rats ass about what they do to vulnerable workers. The rich and powerful _do_ care about the banking system though, si
  • Seriously, he wants to remove regulations from banks, but when these are not his friends, then he wants them regulated. Typical GOP.
  • We don't trust regulators to do their job. What we need is a system where regulation is built into the system and automated - with no dependency on humans - with no human interference possible. This is what crypto-currencies promise, but whether they will deliver or not is far from certain.

  • Money is type of relationship between state and economy

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