May This Circle Be Broken

By TabbyTabby | The Lonely Places | 27 Aug 2021


Recently while looking for a new job, I discovered Circle. The job they offered -- remote, Mac experience, instructional design -- sounded like a dream job. Then I found out that they want to be a national bank, placing themselves under federal regulation. 

Wha-a?

Why would they want that? I checked out their blog, where they talk about subjecting themselves to strict standards and publishing those standards (openness, transparency) for everyone to see. I'm still not following guys -- what does voluntary self-regulation have to do with bending the knee to the feds? Are you sadists? Misguided martyrs? Trying to make it easier for your investors (Goldman-Sachs...cough cough) to cash in? They are rolling out new financial services and say they want to build trust in cryptocurrency. 

Excuse me -- newbie perspective here -- but doesn't becoming a national bank completely destroy trust in USDC? The federal government has a pretty poor record of how it treats people, with the more authority and oversight you give it, the less well it turns out for you. The federal government doesn't look too kindly on competing currencies, either, yet Circle is jumping at the chance to be its #1 ho. The endgame is a digital US currency, I suspect, with profits for all those involved. Now, what happens if that happens?

As others have pointed out, if USDC becomes a national currency, it means that anything you do with it can be traced. Imagine how it goes: first your IRS refunds end up in USDC. Then the government decides to clamp down on exchanges, so you can't exchange it. You might be able to save it, but what's the point if you can't spend it without every transaction being out there on the blockchain? You've already KYC-ed yourself as part of submitting your tax return, so now you're right where they want you -- you can spend it only how they say, or if you save it you're poorer and easier for them to pick off with new "benefits". Yes, serious money-laundering has happened in crypto, but the answer is never to drop the 10,000-ton hammer on everyone because of the crimes of a few. But I guess Circle won't care -- they'll have achieved their goals of frictionless transactions (stop laughing you back there), while shafting privacy. 

I'm beginning to suspect that Circle is just another fungible conduit of money clamoring to be piped into the government, for all the federal parasites to waste in various ways and get themselves reelected by buying new illegal voters. I sure wouldn't put it past the current cast of clowns in office. After all, with skeezy Ukranian money, they stole a nationwide election and several senator races in broad daylight. 

I almost pity the folks running Circle. Like so many other useful idiots, they refuse to believe it'll happen to them. However, the feds don't have any friends and they always burn their informants. This movie ends either in a fireball like Waco or in a jail cell next to a guy who's dead, but didn't kill himself.

 

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TabbyTabby
TabbyTabby

I write. I program. I make music. I am of the tribe of liberty.


The Lonely Places
The Lonely Places

Fixing thoughts and evanescences like butterflies beneath glass

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