Assange Thanks US Govt For His 50,000% Gain On Bitcoin As Russia Unveils 'CryptoRuble'

Once again the unintended consequences of government intervention are exposed...

In 2010 - following the release of sensitive government documents related to wars in Afghanistan and Iraq - John McCain and Joe Lieberman led a bipartisan attempt to cut off WikiLeaks funding by forcing 'traditional' payment systems to block them.

image courtesy of CoinTelegraph

7 years later and the price of Bitcoin has... risen...50,000%!

And Julian Assange chose yesterday to thank the US government and its corporatocracy for his forced investment...

As CoinTelegraph concludes, Wikileaks has been on the forefront of revealing government corruption, and Assange has lived as a fugitive in the Ecuadorian Embassy in London since 2012. With all the antigovernment rhetoric, it’s no wonder Assange is not friendly with pro-government fiat currencies. Wikileaks and its founder represent the sort of non-governmental control that Bitcoin is founded upon.

And while governments around the world play 'pass the hot potato' with their regulatory crackdowns on cryptocurrencies, it appears - after denouncing Bitcoin earlier in the week - that Russia has accepted the inevitability of digital currencies... and created its own.

image courtesy of CoinTelegraph

As CoinTelegraph reports, Russian President Vladimir Putin has officially stated that Russia will issue its own ‘CryptoRuble’ at a closed door meeting in Moscow, according to local news sources.

The news broke through Minister of Communications Nikolay Nikiforov.

According to the official, the state issued cryptocurrency cannot be mined and will be issued and controlled and maintained only by the authorities.

The CryptoRubles can be exchanged for regular Rubles at any time, though if the holder is unable to explain where the CryptoRubles came from, a 13 percent tax will be levied.

The same tax will be applied to any earned difference between the price of the purchase of the token and the price of the sale. Nikiforov said:

“I confidently declare that we run CryptoRuble for one simple reason: if we do not, then after 2 months our neighbors in the EurAsEC will.”

While the announcement means that Russia will enter the cryptocurrency world, it is in no way an affirmation or legalization of Bitcoin or any other decentralized cryptocurrency. On the contrary, Putin quite recently called for a complete ban on all cryptocurrencies within Russia. The statement from Putin seemed apparently to contradict the earlier comments from other ministers who seemed pro-crypto, but only with regulations, as well as Putin’s recent meetings with Buterin and others.

Now, with the issuance of the CryptoRuble, the apparent contradiction has been made clear.

Comments

TeethVillage88s Son of Captain Nemo Oct 16, 2017 12:13 PM Permalink

one chink in the argument... to say that markets work because they are regulated, protected from fraud, investors are protected from brokers,... that insiders are not allowed to Ponzi like Enron & Bernie Maddoff, MF Global, Peregrine,...

Well... you are beat by HST, Algos as well.

Deregulation Plans,

1913 - Federal Reserve Act
1964 - Gulf of Tonkin, Congress gives up War Powers, Legislative Powers, and Budget Powers
1968 - US Congress over-budget due war, currency in trouble
1971 - Smithsonian Agreement, decoupled USD from gold standard,
1973 - War Powers Resolution (Allows 60 days combat/war without congressional declaration)
1974 - Federal Energy Administration Act of 1974 (R. Nixon)
1978 - Bankruptcy Reform Act of 1978,
1980 - Depository Institutions (J. Carter, followed by S&L Crisis, 5000 convictions, RTC)
1981 - Executive Order 12287, (R. Reagan, removed price controls on Petrol)
1982 – Garn–St. Germain Depository Institutions Act
1984 - Caribbean Basin Initiative (Free Imports to USA)
1985 - Plaza Accord
1987 - Louvre Accord
1992 - Energy Policy Act (H.W. Bush)
1994 - NAFTA, Deregulation of Trade, 3 Nations (W. Clinton)
1995 - Community Reinvestment Act, the Clinton Admin urged flexibility,
1995 - HUD advocated greater involvement of state and local organizations
1996 - Energy (W. Clinton, followed by ENRON Scandal)
1996 - Telecommunications Act (W. Clinton, cross ownership)
1997 - M2 Money Velocity Top
1998 - Clinton's Kosovo War (over 60 Days)
1998 - Brooksly Born Rejected on her concerns on OTC Derivatives
1998 - Derivatives expanded and were not regulated
1998 - Citicorp & Travelers Insurance Merger
1999 - Gramm–Leach–Bliley Act (Phil Gramm, followed by 2008 Financial Crisis)
1999 - bombing campaign in Kosovo
2000 - Commodity Futures Modernization Act of 2000 (P. Gramm)
2002 - Sarbanes-Oxley Act of 2002
2002 - McCain–Feingold Act, soft money unlimited
2005 - Energy Policy Act (subsidies, excluded clean air Water acts)
2005 - BAPCPA 2005
2005 - CAFTA-DR Ratified,
2008 - 2014 QE & LIRP/ZIRP (B. Bernanke, J. Yellen, B Obama)
2008 - 2012 H. Clinton Emails, known to Executive Branch
2009 - 2014 Continuing Resolutions
2010 - Citizens United v. Federal Election Commission
2011 - US combat in Libya (over 60 days)
2014 - lift ban on crude oil exports (Commodities Deregulation)

In reply to by Son of Captain Nemo

Kefeer Oct 16, 2017 8:29 AM Permalink

The same people he is sarcastically thanking may turn out to be the ones, or ones like them, that turn BitCoin into the dustbin or to become heavily regulated.  Not very good judgment on Assange's part in my opinion. Consider where he is and where the people he called out are; between the two Lieberman and McCain have more liberty and that is priceless.  All of them will end up in the same hell; so what happens in the end is what will ultimately matter. 

galant Oct 16, 2017 2:02 AM Permalink

My favorite Bitcoin story -Lunatic senators unintentionally boosting Wikileaks contributions by 50,000 per cent!Every $100 they forced supporters to send in Bitcoin, now worth $5 million!Love it.

King of Ruperts Land Oct 16, 2017 1:42 AM Permalink

Thanks Zero Hedge. This is the first time I have seen you show the all time log chart of Bitcoin.

Observations:

1. All the "crashing" headlines you have run of late are based on the most minute squiggles compared to previous "crashes"

2011 - 90% down in a few months.
2013 - Down 50%
2014 - Down 80% in yearlong decline - 7 quarters of downtrend

2. The green trend line if extended for 3 years hits $1,000,000.00. It will be interesting to keep an eye on that.

highwaytoserfdom Oct 16, 2017 12:34 AM Permalink

hey just a thought the 1999 apartment-building bombings in Russia were pretty much copied by USSA to bring this mess here. Sure hope not Weimarer Republik.

Politicians suck.. Gold backed oil bond sound pretty good to me. For once can we stop these guys? http://www.zerohedge.com/news/2016-07-31/500-years-stock-panics-bubbles…

The only thing Russian is the Russian Nuclear Roulette game. Still think the Awan Pakistan India is the biggest problem in the world...... Be interesting and fun to see 21 trillion dollars missing from MIC inspired by that little country with 62 Senators and cui bono.. and of course the drug dealers, pimps, and self dealers get out of this one you have to admit it not very good for kids but it is funny the amazingly stupid people that believe one thing out of the political and total elite corrupted legal and bureaucratic system.

Repeal section 702 and some financial claw-backs and shunning to FEMA camps for the criminals and the banks they rode in on.

Chaney sold nukes to North Korea... Currupt South Korea would probably elect Rocket Boy.

King of Ruperts Land Oct 15, 2017 10:25 PM Permalink

I reserve judgment pending the white paper on the exact nature of these "crypto-rubles". They may be useful even outside Russia and a source of "backing" and thus reinforce the Russian currency (via demand creation).

Even a "black market" economy is part of the economy thus adds to GDP and is good for your country in that way. A scheme to tolerate it and still skim some tax might be OK. Man those Ruskies are smart.

dietrolldietroll Oct 15, 2017 9:13 PM Permalink

So a crypto currency that has non of the advantages of crypto currency? There truly are bureaucrats stupid enough to think there is some advantage in doing this? They already have digital currency. WTF are they doing except wasting money?

Rebelrebel7 Oct 15, 2017 9:36 PM Permalink

Dismiss all  charges against Assange! Press charges against congress,  and the U.S.. spy industry! Recall the words of Nixon after being accused of spying on the DNC at the Watergate Hotel! " I am not a crook!" - a thief, a corrupt person! Our government is by their own definition, crooks!They spy to steal. It's that simple. Crime is rampant.

Rebelrebel7 Davidduke2000 Oct 16, 2017 12:28 AM Permalink

That had more to do with the Fraudulence of fractional reserve banking because France  suddenly started drawing down on U.S.gold. banks usually lend out 10 times what is stored. It seems  that he could have responded by suddenly increasing the price of gold, especially considering that it was $35 an ounce! There's a thought. There seems to have been a dirdy deed, not done dirt cheap between Nelson Rockefeller and Henry Kissinger at the time:Looking back, things are once again, Not. Adding. Up. Until 1973, there was what was known as the mandatory import oil program, which restricted oil imports from going above 12.5% of U.S. oil consumption. In 1973, OPEC nations decided to have an embargo on the U.S., Canada,  Japan, England, and the Netherlands for supporting Israel in the Yom Kippur war. Oil had gone from $3 a barrel, to $12 a barrel as a result of the embargo, supposedly, but a 12.5 % limit on oil imports would NOT increase prices by 400%. Particularly when South America could meet the demands!  It seems more likely that the U.S. oil industry disputed the value of the dollar for that percentage to have occurred.   The U.S. had also recently abandoned the gold standard in ' 73. The Assistant Secretary of State in 1974 was drum roll please,  Nelson Rockefeller. Does anyone believe that collusion did not transpire between Kissinger and Rockefeller?!The Davos world economic forum also started in 1974.Also at that time, the 1974 Trade Act had been enacted,  " to encourage U.S. workers to compete with Japanese workers." There were also violent UAW strikes, that I recall watching on tv at that time as a result of it, but the UAW was also seeking higher pay and benefits.https://en.m.wikipedia.org/wiki/Mandatory_Oil_Import_Quota_Program https://en.m.wikipedia.org/wiki/Nelson_Rockefeller https://en.m.wikipedia.org/wiki/1973_oil_crisis https://en.m.wikipedia.org/wiki/Trade_Act_of_1974

In reply to by Davidduke2000

King of Ruperts Land tmosley Oct 15, 2017 8:16 PM Permalink

Paper dollar bills or OK. The ordinary everyday dollars, the ones we normally use, the ones and zeros electronic bits dollars and bank accounts and ATMs and cards are every bit as broken as bitcoin is during an electric/communications outage.

If the individual took care to store their bit coins in a hurricane safe place, they will be there when the network comes back. Hopefully the bank you trusted with your dollar 1s and 0s did as much.

In reply to by tmosley

samsara Oct 15, 2017 7:17 PM Permalink

"The same tax will be applied to any earned difference between the price of the purchase of the token and the price of the sale. Nikiforov said:"

Electronic gold ?

Come on CME (grid down)

hotrod Oct 15, 2017 6:48 PM Permalink

Bankers really deserve for CRYPTOS TO FLOURISH.  They caused this because of their suppression of gold and silver.    People found a work around. so Fuck'em.