If centralized coordinators are considered unlicensed money transmitting business, what does that imply for ecash mints?
Discussion
I've always said this about the mints. Maybe it's FUD, maybe not, but it's something to consider.
even worse. not just money transmitters but also banks
i'm not sure where this shit is going because they seem to be trying to claim jurisdiction over all cryptocurrencies.
if they try to stop custodial wallets, most will just get VPNs and use them offshore. then they have to chase down VPNs.
there will be a coordination problem, ultimately, with trying to do this. if one set of nations tries to ban it, another set have a benefit to allow it. same as bitcoin in general.
What's wild is that Samourai was a non-custodial wallet. Imagine if the government goes after other non-custodial ones like Cake Wallet after this. Terrifying precedent set.
Unlicensed banks to be more specific.
I would argue that you buy ecash from a mint, whereas a coordinator provides an obfuscation service.
Ecash mint is similar to custodial mixer where you deposit and withdraw. However, mints use blind signatures or tokens instead of accounts.
The ecash is a bearer instrument that you purchase with bitcoin. You don't deposit and withdraw. There are no accounts to withdraw from. You redeem tokens which were purchased previously.
Unless I misunderstand how it works, I'm an ecash noob. Happy to be educated. nostr:nprofile1qqs9pk20ctv9srrg9vr354p03v0rrgsqkpggh2u45va77zz4mu5p6ccpzemhxue69uhk2er9dchxummnw3ezumrpdejz7qgkwaehxw309a5xjum59ehx7um5wghxcctwvshszrnhwden5te0dehhxtnvdakz7qrxnfk
You purchase tokens by **depositing** bitcoin and **withdraw** bitcoin by redeeming tokens.
Never said there are accounts.
If I buy gold from my local gold shop with dollars, give it to my friend, and then he sells it back to the gold shop for dollars, that is me depositing dollars to the gold shop?
Better analogy: https://en.m.wikipedia.org/wiki/Hawala#Procedure
Yeah, tokens are redeemable at the bank but they are controlled by the bearer.
all these custodial cuck solutions will fold under pressure
🐘