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ferdo | 12 years ago

Then the yuan exchanges will pick up the slack. I'd dump my dollars for yuan and btc, as would other people. The USG would be slitting its own throat if it made btc > $ exchanges outright illegal.

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venomsnake|12 years ago

Because the wildly libertarian China that has state firewall and can cut off the access to the block chain completely will just fall in love with something that could for any reason diminish its ability to have iron grip control over its economy and currency.

If Bitcoin is going to be not fringe it will need wide state support of at least 51% of the world GDP. There is not a single economic bloc that could endorse the loss of the ability to manipulate its own currency.

It is an awesome real time payment system, but crappy as a currency.

ferdo|12 years ago

China likes Bitcoin because the USG doesn't. As long as that dynamic holds, Bitcoin is safe in China.

Unlike the US, a hundred million+ internet users in China are already accustomed to digital money through the use of the now defunct Q coin.

It makes no difference to me if Bitcoin stays fringe or goes mainstream. It's value will continue to increase as long as it finds uses all over the globe, with or without the blessing of the USG.