Recently, the price of one bitcoin jumped to 10,000 yuan. When talking about this, the former "player" Liu Yong said faintly, "Bitcoin doubled in a word, and it was awkward. It is now much milder than before. At the end of 2013, the price of one bitcoin reached At $1238, the price of the day exceeded the unit price of gold per ounce. Then, all the way shocked to $160."
Since the beginning of this year, the bitcoin transaction price has experienced several “diving†in the Chinese market, but then it has gradually rebounded and reached a new high. On January 11, 2017, the People's Bank of China inspected the three major Bitcoin trading platforms in Beijing and Shanghai. The price of Bitcoin “flashed down†and fell by 17.92% on the day. On February 9, the central bank issued a "People's Bank Business Management Department to continue to talk about the Bitcoin trading platform in Beijing" announcement, bitcoin prices fell by 6.63%.
Combating every sharp rise and fall in the price of Bitcoin transactions, it can be found that among all the influencing factors, "legality" almost occupies a decisive position.
"Legality" issue not resolved
In fact, there are not many places where Bitcoin can be consumed, and more often it is paid between Bitcoin enthusiasts. In the real economy, the "purchasing power" of Bitcoin is far from the legal currency, and even less than the virtual Tencent Q coin.
However, compared to Tencent Q coins, Bitcoin has a huge advantage: it can be cashed. In other words, Bitcoin can be exchanged for other traditional currencies outside the Internet. The MtGox exchange website in the United States displays the price of the world's major currencies such as Bitcoin against the US dollar and the euro in real time.
"Bitcoin fever" begins in 2008, a programmer named Nakamoto Satoshi (probably a pseudonym) wrote a paper detailing Bitcoin design, describing the currency that is traded electronically, as long as When your computer is connected to the Internet, you can transfer money to any corner of the world. It is named bitcoin.
Nakamoto has designed a complex algorithm. When you use a computer to crack this algorithm, Bitcoin is generated. This is called “miningâ€. When your computer has completed a certain task, a new bitcoin will be created.
Initially, these tasks are easy to accomplish, and you can quickly produce a bunch of bitcoins with your computer. When you download the Bitcoin client software and set it to "mining" mode, you are equivalent to contributing your own computer to the entire network for calculations, and the reward you get is 50 bitcoins. This is very similar to the BT download principle, which is also P2P mode. Your computer is both downloading resources and uploading resources. With more and more entrants, computers without strong graphics cards will not be able to mine Bitcoin in a few years.
In the Bitcoin forum, a salesperson who used to sell computer graphics cards used "sucking chicken blood" to describe the stimulation of Bitcoin in 2011. In April 2011, he sold 270 graphics cards. "At that time, I came to the store to purchase high-end graphics cards. When I chatted, it was used to make bitcoin. I also demonstrated mine mining in my store. To compare the selection of graphics cards."
Whether this online transaction is safe is one of the most concerned people. According to cryptography, all Bitcoin users are connected through a distributed network. Each user has a pair of keys. The private key is authenticated and hidden in the computer. The public key is the address that accepts the bitcoin sent by others.
Bitcoin trading is much more free than real money. According to industry insiders, any computer connected to the Internet can make point-to-point bitcoin transfers. The flow of funds depends only on the network. It does not need to be through third-party institutions such as banks, so it cannot be supervised at all. There is no so-called quota limit for collecting fees.
However, according to the design, as more and more Bitcoin is created, your computer needs to do more work to create new bitcoin. Finally, by 2040, the total amount of Bitcoin will always be limited. In 21 million pieces.
“One of the biggest characteristics is that Bitcoin is decentralized, and its circulation does not depend on any issuer, such as banks, governments and enterprises, but only on the algorithm itself, which fundamentally guarantees anyone or institution. It is impossible to manipulate the total amount of Bitcoin." Yao Yaoxiong, director of the Communication Law Research Center of Beijing University of Posts and Telecommunications, told the "Legal Daily" reporter.
In 2011, WikiLeaks, Internet Archives, Free Software Foundation, Electronic Sentinel Foundation and other organizations announced acceptance of bitcoin donations. Some Internet companies subsequently said they accepted the payment method of Bitcoin. However, due to the uncertain future of legal status, some of these organizations have since announced the cessation of receiving bitcoin.
On August 19, 2013, the German government became the first country in the world to officially recognize the legal status of Bitcoin. On October 29th, Vancouver, Canada activated the world's first bitcoin ATM.
To be truly circulated, a legitimate identity is essential. However, most countries, including China, have not recognized the legal currency status of Bitcoin. Because of this, among the many factors affecting bitcoin prices, “legality†is almost a decisive factor.
On November 19, 2013, the US Senate discussed the policy issues caused by Bitcoin, which stimulated the soaring price of Bitcoin on the same day, but no one proposed legislation. This cautious attitude caused Bitcoin's price to fall rapidly after the day's high.
In China, less than a month later, the People’s Bank of China’s official website published the “Notice on the Prevention of Bitcoin Risk†issued by the central bank and other five departments. It is clear that Bitcoin is only a specific virtual commodity and cannot and should not be used as Money is circulated in the market.
"Black means" constantly appear
Bitcoin has been in controversy because it has not gained legitimacy in many countries. The most prominent question is that Bitcoin is very easy to become a money laundering tool for lawless elements. For example, hackers use Bitcoin as a way to pay a "ransom" by an attacker.
Since 2014, a strange blackmail method has appeared around the world: when users open the computer one day, they suddenly find that all their document files are encrypted. The headline on the screen reads "Your files have been "Your files are encrypted"; the title below details the method of paying the ransom - send a bitcoin to a specific account, and send the decrypted password to you after receiving the money.
If you are hesitant, the ransom price will be doubled; once the specified payment time is exceeded, the blackmailer will never care. The pictures, documents, materials and other documents on the computer have been encrypted by 64-bit to become "hostages". Some Apple users have also experienced similar blackmail: After someone steals the Apple ID, they lie that the phone is lost and lock the device, leaving a contact to blackmail.
Some chain fast food restaurants in the United States have also received paper or electronic versions of extortion letters. The suspects extorted one bitcoin from the store owner and added it to three over the specified time. The suspect threatened that if they did not pay, they would give the restaurant a bad review on the review website; impersonate the consumer, complain to the consumer rights protection department about the restaurant charges; crazy call the restaurant's customer service hotline harassment; Destroy the restaurant property; pretend to be a fake order, make the takeaway brother run in the sky; report to the police and health authorities anonymously, and fabricate the restaurant for allegedly providing criminal clues such as spoiled food, money laundering, tax evasion, etc. Anyway, how disgusting How come.
In addition to online extortion, money laundering, illegal transactions, and evasion of foreign exchange controls also take advantage of the anonymity of Bitcoin.
In October 2013, Silk Road, an electronic trading platform that used Bitcoin for anonymous and illegal trading, was seized by various US law enforcement agencies. At the same time, 26,000 bitcoins were seized, which was worth about 3.6 million US dollars. The founder and operator of the platform, Ross Williams Ublich, a 29-year-old young man from a non-professional degree who is pursuing a degree, is active online on the Internet in just two other roles as "Terrorist Pirate Roberts". In the year, Silk Road became the largest "black market" in the online world, with nearly 1 million customers and sales totaling $1.2 billion. On this platform, services cover fake passports, illegal intrusion systems and access to information, buying and selling drug weapons, providing pornographic services, etc., but all transactions are completed through bitcoin payments. It is the use of the anonymity of Bitcoin, the criminals "perfect" to avoid the possibility of the regulators tracking the ins and outs of each bank through bank card transaction records.
"Gambling is another pillar of Bitcoin, mainly because of a website. This site uses Bitcoin's blockchain (blockchain is the core part of Bitcoin technology, its function is simply similar to a book, Record all the transaction data - the reporter's note) developed an algorithm that makes it impossible for people to bet on their website to be cheating. It guarantees fairness from the algorithm, so it is very popular among gamblers. This website Only accept the transaction commission." Liu Yong told the "Legal Daily" reporter that there are two "just-needed" support for money laundering and gambling. Bitcoin will be hard to die at one and a half, or collapse in the secondary market and pull it up again. . People who use Bitcoin money laundering convert the money into a bitcoin "black box" and then redeem it immediately, in less than a few minutes.
In addition, according to industry insiders, Bitcoin is also used to transfer illegal assets - buy bitcoin in the national currency, sell it on foreign trading platforms, then take it out in US dollars, and transfer assets in a few minutes.
Regulation will become more and more strict
For Liu Yong, the method of making money on the bitcoin over-the-counter transaction is actually not mysterious. It is “moving bricks and arbitrageâ€. It is arbitrage through the spread of domestic and foreign trading platforms, low buy and high sell.
Liu Yong said that in 2013, Bitcoin had a surge of market prices, and the domestic and international spreads were relatively large. “At the most, one day bought 5 million US dollars of bitcoin in foreign markets, and then sold it domestically, when the price difference reached 10%†.
Firecoin.com, OKCoin, Bitcoin China is currently the three largest bitcoin trading platforms in China. For a long time, some trading platform data shows that the daily bitcoin transaction volume even exceeds a staggering million. However, Liu Yong said that the water in these figures is very large, and the actual bitcoin trading volume is far less.
The reason for the high volume of trading is not mysterious, it is almost the brush of the "rules." According to industry insiders, in general, there are three ways to brush the Bitcoin trading platform: one is to directly report the transaction volume; the other is to set up an account and hang a program to reverse the transaction by means of self-transaction. In the transaction, there is no bitcoin transfer in essence; the third is to set up two accounts and realize the high frequency offset between the two accounts through the program.
Liu Yong said that the amount of brushing is technically easy to implement and can be done by simply writing code. The purpose of brushing is to create false prosperity, which attracts more investors and gathers users. To achieve this effect, it is inseparable from the zero-fee transaction model. The trading platform used to be free of charge for Bitcoin transactions, but only charged the handling fee.
In the zero fee mode, some programmatic trading users use code and robots to conduct automatic trading. Because there is a price difference between different platforms, and the trading platform does not charge fees, there is a certain arbitrage space, which also causes the bitcoin transaction volume to exceed One of the reasons for the high.
This phenomenon has attracted the attention of the regulatory authorities. On January 6, 2017, the Shanghai Headquarters of the People's Bank of China and the Beijing Business Management Department interviewed the main responsible persons of the Firecoin Network, OKCoin, and Bitcoin China (BTCChina). Five days later, the joint investigation team of the People's Bank of China entered the three major trading platforms and conducted on-site inspections on relevant conditions.
Since then, the People's Bank of China issued a notice on January 11th requesting Beijing and Shanghai to unite with the local financial bureau, industry and commerce bureau and public security bureau to form an enforcement inspection team and stationed in three platforms for comprehensive law enforcement inspections.
The industry insiders have almost agreed that "the future regulation will definitely become stricter." Liu Yong believes that the tightening of supervision will come from two directions. First, customer identity verification will become more and more strict. Second, what can be done by derivative services of the trading platform, which will become more and more strict.
Legal Network reporter Zhao Li
original title:
Brushing high transaction volume to attract investors to illegally transfer assets for a few minutes to complete "players" to expose the use of bitcoin money laundering insider
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