Taiwan Joins Global War On Cash: Plans To Ban Purchases Of Houses, Cars, & Jewelry

Tyler Durden's picture

The cancerous virus of freedom-destroying worldwide cash-bans - in the name of fighting terrorism - has reached Taiwan this week. With the aim of 'preventing money-laundering', Taiwan may ban cash purchases of properties and luxury goods, Taipei-based Economic Daily News reports, citing unidentified official at Ministry of Justice.

As we previously noted, the War on Cash is not merely continuing, it is intensifying.

It began in the West, with relatively minor infringements on our right to use the currency of our own nation. The War has now shifted to India, been radically ratcheted up, and inflicted upon a population of 1.2 billion people, where 68% of transactions were conducted with cash. And now, as The Economic Daily News reports (via Google Translate), to Taiwan...

With the goal of strengthening the prevention and control of money laundering, Taiwan's Ministry of Justice plans to promote large-scale transactions without cash. The first wave may lock real estate, luxury cars and jewelry transactions.

 

According to the provisions of the money-laundering control law, which currently controls the use cash payment tools, The Ministry of Justice to discuss the plan with other regulators in the second half of the year.

 

Once finalized, the sale of real estate, cars, and jewelry will not be possible using cash; only non-cash payment tools, such as credit cards, financial cards, checks, electronic payments or remittances.

Current regulations require the keeping of records and reporting of any transcations over 500,000 Yuan (around $72,000), with no limit on the amount of cash that can be used.

As to whether a lower threshold will be set, it is unclear; but from indications, for the sale of real estate, luxury cars or jewelry the threshold will be zero - and only non-cash allowed.

Officials said that in addition to changes in the concept of the majority of normal business people should not be affected, but for some with bad credit, who can not apply for a credit card or bank account, it admitted the new law may cause inconvenience.

Of course, the excuse for all this cah ban is simple -

The Ministry of Justice internal data show that the criminal group's asset allocation is especially heavy in gold, diamonds, and real estate. Real estate transactions are considered to high-risk money laundering transactions.

As we noted previously, on the face of it, this 'war on cash' smacks of conspiracy theory, yet certainly, all governments would benefit from this control and would be likely to get on board. In fact, it might prove to be the only way out of their present economic problems.

So, how would it play out? Here’s roughly how I saw Phase I:

  • Link the free movement of cash to terrorism (Create a consciousness that any movement of large sums suggests criminal activity.);
  • Establish upper limits on the amount of money that can be moved without reporting to some government investigatory agency;
  • Periodically lower those limits;
  • Accustom people to making all purchases, however small or large, through a bank card;
  • Create a consciousness that the mere possession of cash is suspect, since it’s no longer “necessary”.

When I first wrote on the subject, there was considerable criticism as to the possibility that such a programme would ever be attempted, let alone succeed. And, granted, it was so Orwellian that it was understandably seen as a crackpot idea. But since that time, the programme has been developing extremely rapidly. In the last six months alone, it has become so visible that it has even garnered a name - “the War on Cash”.

References in the media have been made that terrorist groups fund their attacks with cash. Dozens of countries have placed limits on the maximum amount of money that can be moved without reporting. Some, notably France, have already begun lowering their limits. Banks in some countries, notably Sweden, are already treating all cash transactions as suspicious. The previously theoretical Phase I is now well under way.

It would appear Taiwan is joining the rest of the world in this war on cash. There are three major players involved in the war on cash:

1. The Initiators

Who? Governments, central banks.

 

Why? The elimination of cash will make it easier to track all types of transactions – including those made by criminals.

 

2. The Enemy

Who? Criminals, terrorists

 

Why? Large denominations of bank notes make illegal transactions easier to perform, and increase anonymity.

 

3. The Crossfire

Who? Citizens

 

Why? The coercive elimination of physical cash will have potential repercussions on the economy and social liberties.

The shots fired by governments to fight its war on cash may have several unintended casualties:

1. Privacy

  • Cashless transactions would always include some intermediary or third-party.
  • Increased government access to personal transactions and records.
  • Certain types of transactions (gambling, etc.) could be barred or frozen by governments.
  • Decentralized cryptocurrency could be an alternative for such transactions

2. Savings

  • Savers could no longer have the individual freedom to store wealth “outside” of the system.
  • Eliminating cash makes negative interest rates (NIRP) a feasible option for policymakers.
  • A cashless society also means all savers would be “on the hook” for bank bail-in scenarios.
  • Savers would have limited abilities to react to extreme monetary events like deflation or inflation.

3. Human Rights

  • Rapid demonetization has violated people’s rights to life and food.
  • In India, removing the 500 and 1,000 rupee notes has caused multiple human tragedies, including patients being denied treatment and people not being able to afford food.
  • Demonetization also hurts people and small businesses that make their livelihoods in the informal sectors of the economy.

4. Cybersecurity

  • With all wealth stored digitally, the potential risk and impact of cybercrime increases.
  • Hacking or identity theft could destroy people’s entire life savings.
  • The cost of online data breaches is already expected to reach $2.1 trillion by 2019, according to Juniper Research.

This issue has expanded more quickly than we’d anticipated. Clearly, the governments that are forcing it into being are running out of time. There can only be one reason why they’d rush a programme that normally would be given more time for people to accept, and that’s that they see a crash coming before they can get Phase II of the programme underway.

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MFL5591's picture

Stop terroism , the first step was taking when Obama left office.

hedgeless_horseman's picture

 

People are MUCH more likely to spend what they don't have (borrow) using plastic as opposed to currency.

The banks know this.

knukles's picture

And another piece of multiniferous garf straight out of "Yesteryear's Tomorrow Today" section of the Onion.
Does anyone but me have even the faintest sense of impending doom?

Sonny Brakes's picture

I sure feel it, but I sense that most people don't. 

dasein211's picture

It's funny people think "Trumps would never give in to the desires of Golman Sachs or the monetarists." Get real you fucks. Bitcoin and better yet Monero and Dash will be the way going forward. Let them try to stop it ( I'm sure they will). And if I hear one more person say "I can't hold it" I'll fully admit that a majority of readers here are retards who don't read and research anything but the size of hillarys dick vs trumps labia.

Perimetr's picture

One might think that there are enough people taking/making cash on the side that the idea of a cashless society might meet some significant resistance.

Maxter's picture

When you won't be able to convert your bank account saving into physical cash, what will stop the bank from charging you attrocious negative rate on your savings? Your money will be stuck there and you won't be able to do anything about it.

 

Don't tell me you will be able to buy gold. They will most likly make it illegal too. And since every transaction will be electronicly controlled and monitored, you won't be able to buy any.

SoDamnMad's picture

Last year Latvia implemented a law the first of the year limiting the amount of gold you could buy with cash.  You still have to provide passport documents for the purchase to the Latvian national tax office (no idea whether they shared this information or what they did with this information).  This was the push to force buying through bank transfers however cross border purchases required they provide court information to find out who the purchasers were.  This law came down from the EU to "equalize" the individual countries laws to prevent money laundering.

Unfortunately this gold was lost in a boating accident in the Baltic Sea.  Russian naval ship movements and over-flights are thought to be part of the Russian search for this gold. 

French Bloke's picture

So the assumption here is that you won't be able to buy gold on the open market. You may be right Maxter, but they won't know what you've bought from Joe Bloggs when they see private transactions. If Joe Bloggs wants to sell you gold, he'll still be able to. That'll send the black market price soaring and will work it's way back into the official price. They'll probably never be able to stop smuggling. Interesting times ahead.

Maxter's picture

Good idea. Joe say he sold you a car, but it was actualy gold.

Thank you for your idea.

847328_3527's picture

This will definitely hurt Mainlanders who are flooding the world with cash purchases.

Jim in MN's picture

WE HAVE TO STOP THESE GLOBAL ELITE MOTHERFUCKERS.

And we will.

If you live in a country where they pull this shit, go ahead and riot, do bank runs, drain any liquid asset and GTFO if necessary.

This is truly the Mark of the Beast. 

If it happens to you, THEY own you.  And your kids.  Forever.

Ignatius's picture

"WE HAVE TO STOP THESE GLOBAL ELITE MOTHERFUCKERS."

A million dollar march on DC?


VWAndy's picture

 Learn to barter. Or learn to go hungry.

nmewn's picture

Terrorism & Tawain.

Has the Fake News been alerted to this development? I mean, after completely blowing the whole "no terrorism in Sweden" thingy in less than 24hrs this might give them ANOTHER shot at redemption! ;-)

knukles's picture

Yeah, but that was Trump's fault because the illegal immigrants heard him say it was OK to riot in Swedeinistan

nmewn's picture

I got a great skit for SNL seeing as how they've gone completely off the rails and are one of the unfunniest, unentertaining things on .net TeeeVee, besides the View.

Have Alec Baldwin do his impersonation of Trump with Hillarys reset button as the nuclear button that all the moonbats are freaking out about him ready to push. The setting is the Oval Office, the first address to the nation from the Oval Office and Trump says:

"See this button? You've all got five minutes to live!"

As he starts bangin on it like Hillary humping a donors leg.

Now thats good clean family fun, with the added bonus that half the progs die of a heart attack thinking its all real ;-)

monad's picture

This should fix Vancouver's surplus mansion problem.

francissba's picture

Damn  

This war on cash bullshit is moving faster than cholera in a whorehouse. 

francissba's picture

Damn  

This war on cash bullshit is moving faster than cholera in a whorehouse. 

buzzsaw99's picture

yeah, chinese cash.

aliens is here's picture

The Taiwanese President is a dumb ass progressive bitch.

ScratInTheHat's picture

These clowns are really stupid. People are going to run to value and crash the fiat faster!

TeethVillage88s's picture

I don't expect a Cultural Analysis or Economic Analysis from Jeff Gundlach, or the guy that left PIMCO...

- Taiwan is similar culturally to China
- Taiwan is maybe much like South Korea, Japan, China
- Taiwan had a break-a-way from China, but not clear if they had Independence kind of movement or open homesteading policy... where land could be staked out and settled.
- Taiwan was perhaps a Royalty Movement, a support of Royalty and acceptance that Royalty like Prince Charles has all the rights and power

Any Commenters here today from Taiwan... Taipei?

Probably Taiwan has a Western Style US Central Bank and they are getting lots of lubricant on their ass.

rejected's picture

Taiwan was the last stand for the Nationalist Chinese as the US delayed help which gave the Commies time to consolidate the mainland. This is what eventually got MacArthur dismissed by moron Truman.

The US deserted them again agreeing to a one China.

Ace006's picture

The US indeed delayed and starved the Nationalists and otherwise betrayed them but I'm unaware of any MacArthur part in that. Truman fired him for other reasons relating to his actions relating to Korea.

SoDamnMad's picture

Yes, MacArthur wanted to march north and Truman feared it would trigger a direct confrontation with China/ perhaps Russia.  If he only knew what has happened he should have let him go as we were much stronger then relative to China. This vindicates MacArthur for what it is worth.

Concertedmaniac's picture

All part of the big plan I'm afraid. You just don't get it do ya?!

rwmctrofholz's picture

You got it.  And it's a slow burn.  So slow that so many of us will actually be comforted by the throw away line, "we knew this was coming."  

rent slave's picture

it's a sure way to get rid of most of the illegals.Now if they just ban itemized deductions and tax credits,I'll be overjoyed.

Dragon HAwk's picture

Cash and Guns we can't let them take em..

  but they will try with a thousand cuts, petty rules, not one big cut

Mustafa Kemal's picture

Here

http://www.gunsandbutter.org

is a good podcast that asserts that the Siyaeyah;s USAID, including Gates and Google, are behind this in India.  See also

https://www.globalinnovationexchange.org/beyond-cash

 

It also has a very interesting discussion how the FACTCA is part of USA scheme to make the USA the worlds money laundering center. As I see it, this is how we are going to resist the fall of the petrodollar

 

 

Uranium Mountain's picture

For years, I've watched Hispanics cash checks at grocery stores because they don't have bank accounts. What If cashing a check at a grocery store was no longer legal and everyone had to have a bank account? I suppose that would be a major inconvenience and since they don't have social security numbers they won't be able to get a bank account to cash the checks? If cash is illegal they can't use that either. The noose gets tighter for us all everyday.

East Indian's picture

What If cashing a check at a grocery store was no longer legal and everyone had to have a bank account? 

 

It is, in India. Every citizen compelled to open a bank account - even with no money in it. It is called 'zero balance account'.

Hongcha's picture

Lol as we get cued up for hell on earth.

Billions of transactions a day, each neatly skimmed of micropennies by the PTB.

The rising arc of evermore systemic complexity crossing the falling arc of resources.  Filipinos in Baguio City making $2 a day trying to help you figure out wtf just happened to your bank balance in Peoria, Illinois.  No one actually in Peoria who can do a fucking thing - including the minimum wage bank clerk.  That is, IF there is even a brick-and-mortar Bank that hasn't been burned down yet.  All that 'tech support' farmed out overseas.  Calls cutting out, pounding headache from electronic flotsam ssaturating the psyche.  How much time are we already spending un-fucking electronic mishaps?

Until it gets blown back to Dark Ages a-la Canticle for Liebowitz.

 

stampman's picture

Getting close!

Given the actual Trump landslide after deleting fake votes and illegal alien votes, the fun will really be fun.

But first Trump is going to cut MSM's balls off to clear the path and make it easier for us.

stampman's picture

The ISP of the town store here was down today, so they could only accept cash.

Just one more reason why the banksters are the 'u' in 'stupid'.  No common sense.

onmail1's picture

I am in favor of DIGITAL DEMOCRACY too

**************************************
**************************************
LET ALL DECISIONS BE MADE BY PUBLIC VOTING
i.e. REFERENDUM EVERYDAY BY CELL PHONE/LAPTOP
**************************************
**************************************

Let all the powers of parliament MPs be removed
Let all the powers of ministers be removed
Let all powers of every elected persons be removed

Because

Democracy is of the people
Democracy is for the people
Democracy is by the people

and

Government is of the people
Government is for the people
Government is by the people

LET ALL DECISIONS BE MADE BY PUBLIC
VOTING i.e. REFERENDUM EVERYDAY BY CELL PHONE

if there can be digital economy, cashless economy
, there should also be digital democracy

LET ALL PEOPLE MAKE DECISIONS THEMSELVES EVERYDAY
THERE IS NO NEED OF POLITICIANS AT ALL IN A DIRECT DEMOCRACY

Look How it can be done.....

Everyday, all the matters that are required to be passed by parliament
should now be floated to a website which all citizens will open on their
cell phones, tablets , laptops & PCs, then they will securely do voting
Yes or NO or suggest alternatives ,
The majority decision will be announced everyday and set forth for implementation

FROM NOW ON THE HEAD OF STATE & OTHER MINISTERS/SECYS SHOULD ACT AS
SERVANTS OF THE PEOPLE , BECAUSE ...
GOD RESIDES AMONG THE PEOPLE
DEMOCRACY BELONGS TO PEOPLE

stampman's picture

But the USA is a republic and the UK is a monarchy.

Neither are a democracy.

East Indian's picture

5. Banksters will create worthless money out of thin air, and buy the fruits of your hard labour for nothing. Soon, money will become worthless.

Mr. Universe's picture

...and yet the Banksters will own and control everything.

stampman's picture

..... until they are taken out and shot for counterfeiting, theft and treason.

Es wird geschehen.

MikeOz's picture

The tentacles of the NWO are slowly reaching out further. Doesnt affect you I hear you say? Keep watching, you will wake up one morning & you wil have no cash or saving's. Stay tuned dreamer!

stampman's picture

On that day, I will still have stamps, and Farmer John will still have pigs.

But the salaried suit-and-tie crowd will be totally fucked.  And that will be good.  Very good.  They might actually get off of their fat lazy self-entitled asses and produce something other than methane for once.

I have had no cash nor savings for 59 years so far.  So what's to worry about?

As for the salaried suit-and-tie crowd, I would make them all swim the English Channel with no training, and see who survived.

FidTheRED's picture

Come on ZH do some MAFF. How does 500,000.00 NTD = USD72,000.00?

at ~30.9 NTD to 1 USD, whoever wrote this failed grade school math

Taiwan has an export-oriented economy with many SMEs (business owners) that are cost conscience and stingy, do you really think they are going to let their mostly government owned financial entity bank 2-3% on ALL car, housing, jewelry transcations? 

 

EDIT: IS an export-oriented country

 

 

 

 

DisorderlyConduct's picture

It wasn't that food wasn't affordable in India. The farmers couldn't afford to bring food to market and bartered it locally or let it rot. In many places food became essentially free. But that's a one shot deal since the farmers are ruined now.

My buddy was in India when it went down. He had a good chunk of old notes from a prior trip home and was basically forced to trash it by authorities. They bumped him in line to get basically $40 USD worth of new notes but he had to "tip" to get it.

SmittyinLA's picture

Ironically California isn't waging a war on cash, you can buy whatever you want cash, no questions, houses, cars, boats, US citizenship, public office, bills in the CA legislature, teen girls, teen boys, whatever you want cash is king!