Why crypto businesses should consider moving offshore

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mr_diamondFull Member
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#1Jan 24, 2018, 11:42 PM
Anyone starting a brokerage or money transfer service seriously needs to consider going fully offshore. Accept only crypto. Seriously, the US, EU, and even India are just too much to deal with. Governments are corrupt, and their regulations are ridiculous. It's time we focus on real financial freedom.
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probablynothingFull Member
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#2Jan 25, 2018, 12:41 AM
The two-tier system is just gonna get worse. On one side, we have those compliant platforms like Coinbase and Bitflyer, and on the other, the ones dodging KYC. I hope Binance and BitMEX can hold on until we see something truly decentralized for anonymous trading.
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sam_rocketSenior Member
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#3Jan 26, 2018, 08:05 AM
Yeah, but even if we push for non-KYC exchanges, it won't last. The regulatory pressure will come eventually. People in those countries will still have to follow their laws and can't just use these offshore platforms freely. Look at what happened with Binance and the US.
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degen1337Member
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#4Jan 26, 2018, 09:09 AM
I get that. Bisq is a good platform, but I can't use it in my country where Tor is banned. I tried to make it work standalone, but they bundle their own version. So annoying... Wish I could just use my own setup.
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#5Jan 26, 2018, 10:49 AM
We've been in this mess for ages. We can either fight against these governments and organizations or just accept KYC and all that crap. I don’t see much of a choice here.
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mr_diamondFull Member
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#6Jan 28, 2018, 03:10 PM
Tor is the way to go. DEXs should work with Tor and act like it too. No more registered companies. Just open-source software and nodes running like miner rigs. There’s even a policy think tank that challenged the UK over its idea to enforce KYC on developers and users.
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raven21Full Member
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#7Jan 28, 2018, 05:18 PM
True, but if all exchanges move offshore, we might see a lot more scam exchanges pop up. With loose regulations, anyone can just disappear with users' funds.
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#8Jan 28, 2018, 11:32 PM
Binance is already making KYC mandatory for US users. They’re working on a separate platform for them. Other regions still have some freedom but with regulations tightening, it’s only a matter of time before KYC is everywhere.
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#9Jan 29, 2018, 02:15 AM
Yeah but when BTC-E got shut down, they only lost fiat funds in banks. They kept control of crypto funds. That’s a big difference. No bank accounts means less risk when things go south.
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alpha_2021Senior Member
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#10Jan 29, 2018, 04:55 AM
That's probably why Binance moved to Malta. They're trying to avoid issues with governments who are against crypto. But even offshore, they still have to comply with local laws.
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CalmDefiNewbie
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#11Jan 29, 2018, 05:06 AM
Totally. Every profit comes with risk. They want your identity or you're out of luck.
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#12Jan 29, 2018, 11:03 AM
They should definitely pick friendlier places, but they can't just all crowd into one spot. That could lead to some bad legislation hitting them hard.
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#13Jan 29, 2018, 04:13 PM
Regulated exchanges do have their place. A lot of folks want to use Bitcoin legally. If you're a business needing to accept Bitcoin, dealing with an unregulated exchange can be messy with taxes.
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alpha42Newbie
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#14Jan 29, 2018, 07:39 PM
Long-term, larger exchanges should lobby for better laws. It’s easier to push smaller countries to adapt than to fight big ones.
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gas88Newbie
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#15Jan 30, 2018, 11:05 PM
But why would tax authorities care if you got money from an unregulated exchange? As long as they get their cut, right?
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#16Jan 31, 2018, 03:41 AM
Even if KYC becomes mandatory, not every exchange will have to enforce it. Like Bittrex only does it for transactions over a grand. Not all governments are gonna push that hard.
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#17Jan 31, 2018, 09:02 AM
The big exchanges are under pressure from FATF. They need to comply to stay in the G20 markets. Smaller exchanges might dodge the rules, but the giants will likely give in.
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#18Jan 31, 2018, 10:42 AM
Bittrex has had KYC for a while now. No withdrawals for unverified accounts and no basic account registration. They’re already on that path.
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