Monkey wrench in the Bitcoin wheels

Lately, I like what is going on with Bitcoin. When I say Bitcoin I actually have in mind all major cryptos. In the last 6 months Bitcoin and whole cryptocurrency market kind of stabilized. That is good.
In my mind Bitcoin not only stabilized but kind of matured as well. A jumping Jack volatility is taken out from the movements. Volatility is never a good thing unless you purchased something really low and now looking for a high peak to unload it. Looking at Bitcoin from investors and merchant’s point of view, stability is great, volatility is not.
A quick visit to Wikipedia reveals improved acceptance throughout the world. There are many more legal green checkmarks than red illegal cross marks. In stark contrast, there is Japan which is one of the most Bitcoin-friendly country and China. China is a huge patch of “Bitcoin is illegal” statement.
A whole Asia is like a chequered flag where for example Russia is on board with Bitcoin. A kind of. Until you want to do a transaction. Indonesia sports implicit ban. Pakistan, Taiwan, same thing. In Bangladesh, Bitcoin gets you a jail or something ugly along that line.
Europe is pretty much all green. No issues there.
Jump to South America reveals Argentina and by far the largest country Brazil are legal for Bitcoin. Colombia, Ecuador, Bolivia are in the red.
As a conclusion one could say that things are looking up. A sort of. That is if you don’t dig deeper.
Predictions that Bitcoin will go up to $50000, $100000 and pushing it to 1 Million dollars dried up. Originators of such bold ideas are quiet now. It is not trendy anymore to run mouth in such fashion.
I would also say that public matured. I don’t see or read about people who are mortgaging their already mortgaged houses to borrow money to invest into the Bitcoin. Investing 1000 to get 20000 in few short weeks is not on anybody’s agenda. Reality set in and that is how it should be.
Are we finally set out for easy sailing into the crypto future?
“There must be a reason why Russia and China are making Bitcoin illegal to use and proliferate,” thinks I.
Particularly China several times already shut down crypto exchanges and not allowed people to use bank accounts to buy and sell Bitcoin. They also cracked down on anybody creating new cryptocurrency and there was plenty of that going on. So why would they do all that?
I believe there are several reasons for such a position and it has nothing to do with a fact that Government there is a communist establishment.
- Chinese Government is actually deeply involved with digital currencies
- They analyzed Bitcoin and found it to be a very bad investment
- They want to prevent money from leaving the country
- They are preparing the terrain for something bigger and better and I believe it is clear what it is …
Let’s look into the finer details
China and Russia are deeply involved in cryptos. Did you notice that Russia and China are doing the same things in almost unison? They found a common language in many developments.
I feel that the USA has taken a back seat in the crypto world. Trump is right in one thing. Government and industry are over-regulated to death. That makes the whole machine extremely sluggish to make and accept the changes. Any moves in a crypto industry are met with shitstorm of obstacles.
For example, on July 26 SEC rejected Winklevoss brothers proposed crypto-based ETF for the second time. I don’t know how good or bad their ideas are but they are putting their money on the line and trying to do something innovative. If a proposal wasn’t good a first time you would expect that shortcomings were fixed for the next review.
I guess for SEC is just too easy to say no. Much easier than roll up sleeves and create new rules or change existing regulations that are outdated and simply not in sync with recent developments.
Maybe there are wrong people sitting on top. Too old, close-minded, bought by the big bad wolf called bankers. I don’t know what it is but those guys are not getting their crypto exchange and ETF approved any times soon.
I watch CNBC often, check sites and read articles about the economy. First of all, Russia is not ever mentioned there as any economic factor. It is like they don’t exist as an economy just as enemy.
China on other hand is mentioned often, every day, usually in the bad light. Whatever they are doing is undermined or stupid or aggressive or wrong in every respect. How could centrally run economy do anything correctly, and their communist Government did … blah…blah…blah? Endless unfounded rhetoric.
As it is widely approved to bash Trump or say that Russia is a mortal enemy to the United States the same stands true when China comes as a subject. Slow down with that rhetoric. Open your eyes and use common sense.
In my opinion, the Chinese and their economy is anything but incapable or stupid. Ship of fools is here in North America where millions of manufacturing jobs, endless innovations, and best technology was indiscriminately shipped to the Far East for the last 30–40 years.
What didn’t get there by regular ways was stolen as a result of extensive industrial espionage. Do you remember the case of Wen Ho Lee and Xiaoqing Zheng who sang like birds to their colleagues in China? No? I do, and I am not even American.
They were Chinese born nationals working at Government and GE on latest nuclear reactors and developments. Until FBI arrested them they fed top industrial secrets to China saving to them tens of years of development and Billions in process.
But that is a story for another day. This way or another look at China today. The largest economy in the world. Unstoppable expansion. Supplier of everything to everybody on the planet. Who is laughing now?
The same is with cryptos. They are fast learners and their “incapable” Government will leave the US in the dust once more. I bet dollars to donuts that they already know what and how to do it.
Simple truth: they analyzed Bitcoin and find it to be a very bad investment
How is that even possible? King of cryptos rated so low. There was a report by their commission talking about all major cryptos with Bitcoin at a usual lead.
Not surprisingly they found it to be manipulated with, overpriced for the value it represents and in short, bad investment. As they find it be a poor investment they naturally want to prevent people from having it. No exchanges allowed, trading Bitcoin prohibited, banking restrictions in place and there is a next big thing …
Preventing money from leaving a country
People sending money abroad from China to buy real estate or invest in anything is against the rules. To send money and buy cryptos is even worse. They simply don’t want citizens to send Yuan or any other currency for that matter abroad. Especially not for the fulfillment of digital dreams.
In my mind, there is no special grudge against Bitcoin or Ethereum or whichever crypto you point out. They simply don’t want their citizens to blow money on things they KNOW will turn into a digital dust soon.
How could they know something like that? Remember how CIA works? They “analyze” country Neverland, find shit on their President even he didn’t know exists and they “predict” that regime will soon fall since “people” are against it. After that, they send money, weapons, advisors, employ drug warlords, pay demonstrators and oh, what? CIA was right again. Regime changes. People have spoken. Another self-fulfilling prophecy.
Fast forward to present situation and China. They know crypto shitstorm is coming since they will create it themselves!
The monkey wrench in crypto wheels
It is not a rocket science. To me, it is clear that that more than few countries will release their own national cryptos. Furthermore, I believe it is not a fiction but rather Russian and Chinese Governments are likely to be the first ones with such system.
Bitcoin is maybe the best thing after a remote control but their cryptos will be better. Why? For a few simple reasons:
- The first move is already done but more pain in the crypto ass is coming. They will crush and outlaw Bitcoin completely
- No other cryptos means no competition for the next big move
- Same as currency, own crypto will be issued and made legal tender by the Government. No BS there. That means automatic 100% adoption by the population. 250 Million in Russia. 1.4 Billion in China
What do you think about that?
We already learned that it is very easy today to create new crypto based on the existing framework. Everybody interested can do it from a closet or garage and voila, new amazing crypto is out of the bottle.
You can bet that Russia and China have tons of capable programmers and don’t need anybody else to sell them hot water. They will create their own crypto in one or two afternoons. After green tea or Russian tea.
Obviously, it will be Government controlled as regular Rubles and Yuans are. No doubts they’ll watch it like a hawk. There will be a tech support, phone numbers to call, approved wallets, educational pamphlets and what have you. A whole nine yards. Nothing amateurish there, but real McCoy.
In all honesty, they will not have an extremely hard job educating the population. Young people are into a crypto world already. Everybody has a smart phone.
But there is one more prediction
Those cryptos will be backed up by …
First of all the central bank of Russia and China don’t need to explain themselves to anybody. It will be crypto by decree as present money is. But I think they will want to have their cakes and eat it too.
If they want to make those cryptos be internationally accepted they have to make them attractive to everybody. How you do that?
It’s not easy but it is still much simpler than landing on Mars
What do you think why are Russia and China piling up gold and silver for the last 10 years?
Did you take notice that a few months ago China introduced a Petro Yuan, more precisely called a Gold Yuan? Instead of nearly worthless US treasury bills, they are paying Arab nations for oil using gold-backed Yuan. And it’s working fine. In just 4 weeks they captured 15% of the overall oil market.
Taking a note from the same recipe book I believe they will back up their new Crypto Yuan and Crypto Rubles by gold and silver and they have thousands of tons to prove it.

Please understand the following: in case of true government sponsored and issued digital currency that is exchangeable for the physical gold, ALL other digital currencies will become worthless literally overnight! Nobody will want them anymore. Will you?
Of course not.
Gold will not be affected by such system. Quite opposite. It will rather increase in value. If this happens demand for gold and silver will skyrocket. Gold is many times more valuable than any digital currency consisting of few bytes of data.
It is value forever. It can’t diminish, disappear or go bad. It can’t be brought down by a click of the mouse, any government action, war, flood, fire, computer virus, malware, PC failure, disruption in Internet, ransom-ware, solar flares, lack of electricity, sandstorm, shitstorm or anything else disruptive.
Is this a science fiction or reality?
Many people live through whole lives as a sheep. Instructed by others what to do and how to think.
A situation with Bitcoin proved to be one of those situations. Crypto guru predicted fantastic gains on YouTube channel. 500k views. Did he arrive at a conference in Rolls Royce or in GM Cruze?
Retards running the stage
Never mind the facts, just invest the last dollar into Xcrypto and you will get thousand times money back! Next week. In few weeks. Maybe 2 months. Actually by the end of the year. Sinking like a rock? Don’t worry, just hodl (another idiotic term for present and future losses). It will recover beyond any expectations.
When? Soon! How soon? Very soon! (my favorite line from “Romancing the stone” movie).
Sounds like 2 retards talking? Exactly! Why it has to be presented that way to see things through?
Don’t be a sheep. Think for yourself. I came up with conclusions presented above after reading a lot of materials written by the people smarter than me.
Use your best judgment and common sense to accept facts or reject fiction. Act accordingly.
Extra read: at your leisure check out previous Medium articles:

