Over the last few months, we have provided numerous articles detailing how most do not understand what is taking place. This is something that we focused upon with the general public yet, we are now seeing it spread.
Operation Choke Point 2.0 is the United States Government's attempt to stamp out cryptocurrency. This is turning into a full blown war. It is time that everyone wake up to this fact. The Biden Administration is intent on eliminating this industry and, whatever remains, will be in the hands of the banks and Wall Street.
At the head of the table is the Securities and Exchange Commission (SEC). There is no doubt that Gensler is operating with full White House support. In fact, he is doing a marvelous job from that perspective. His role is to reign this in by whatever measures necessary. The legality of what he is doing will be worked out later, after the job is done.
It is best to look at what is taking place and how Hive truly is the solution.
Operation Choke Point
This is a government scheme that was instilled a decade ago. The idea was to target industries that were legal yet unsavory to the political establishment. At the time, it was Obama who occupied the White House.
The basic concept is to cut industries such as gambling, firearms, and other risky ventures from gaining access to banking services. As we can see, if there is only a limited way to engage commercial, an industry is going to suffer. Basically, without banking services, an entity is screwed. This is a point to keep in mind.
We can debate the effectiveness of Operation Choke Point yet it did seem to have an impact. Many of the services that were targeted did go away. Gambling, as an example, ended up moving offshore. This is another important fact.
Governments operate within a specific geographic location. Even though they can often span national boundaries, there is a limit to what can be implemented. Nevertheless, they made it difficult for hundreds of millions of people.
Operation Choke Point 2.0
Here we see the next iteration of this concept. The target now is cryptocurrency as the establishment deemed them a threat to the population. Of course, the action throughout 2022 did not make things any easier on this end. Ultimately, the ammunition was provided although it is not cryptocurrency. What we witnessed was nothing more than typical Wall Street antics which were done numerous times by firms over the last few decades.
The difference is we were not dealing with those from the inner circle.
We saw a recent push were SWIFT decided not to message transactions relating to cryptocurrency under $100,000. The idea is not to eliminate cryptocurrency but, rather, get it into the hands of the banks. Financial institutions have no problem moving $100,000 around; retail investors do.
The evolution of this is going to be a continued eradication of services that entities (and individuals) tied to cryptocurrency enjoy. We are going to see the banking services tightened just like the aforementioned industries.
Here is where the U.S. Government believes it will win this battle.
Unfortunately for it, there is a completely misunderstanding of what cryptocurrency is all about.
Monetary System
People discuss cryptocurrency and debate its merits as money. How many times have you heard the focus being upon the monetary system as opposed to money?
Cryptocurrency, through blockchain, is a new monetary system. Here is where the first miscalculation takes place. Trying to destroy crypto without understanding it is doomed to fail.
It is also why those who are advocates of it have to be optimistic. When looking at the situation, the fact we have a new monetary system being created means the old is rapidly becoming obsolete.
From this perspective, I maintain Hive is one of the most powerful monetary systems there is. It is truly decentralized along with the fact that it is an advanced network. When it comes to speed, cost, and settlement, there is little that can match it. Make no mistake, communications is a big part of the monetary systems we utilize. Few, if any, are better than Hive.
Therefore, trying to attack a monetary system by excluding it from the monetary system it is designed to replace is pretty foolish. Viewed through this lens, we can see how flawed the plan is.
Operation Choke Point 2.0 is trying to unbank the cryptocurrency realm. What they overlook is this was designed to bank the unbanked.
Global And Digital
In the original version of Operation Choke Point, the goal was to drive industries offshore. The United States Government could care less if firearms or gambling took place in other countries. Its focus was to eradicate it from within the nation.
Of course, industries such as gambling picked up and left. This was a hit to the industry as liquidity most likely dried up. However, the industry survived. Ironically, a decade later, it is was legalized by the United States Supreme Court. Again, the legalities are always worked out later, after the damage is done.
The difference in this situation is that blockchain is already global. We are dealing with the digital world. There are no building, jurisdictions, or headquarters. Instead, we have a decentralized network that is operating on servers all over the world. This means that shutting it down in one country has no effect. China's ban on Bitcoin mining proved that. It was nothing more than a temporary reduction in hash rate.
What ends up happening is the bucket springs a leak. Operation Choke Point wants to attack the on and off ramps meaning the access to the banking system. The idea is to stifle the industry by cutting it off from the money.
To make this effective, everyone has to agree. The ban on Bitcoin mining was ineffective because other locations were rolling out the red carpet.
A bank in the Philippines just started Bitcoin and Ethereum trading. This is an example of a hole in the bucket. We are going to see this happening all over the world.
Hive Is Out Of Reach
The decentralization of Hive puts it out of reach from any government. They would all have to align to wipe it out. That means, as a monetary system, Hive will keep chugging along.
There is another factor to this. The ones behind the crackdown below that cryptocurrency value only comes from fiat currency rushing in. This is not surprising since that is how most of the industry approached it. Mooning and Lambos were the mantra so long most overlooked what happens when building takes place.
Hive excels in the fact there are many projects that are developing platforms that extend outside the financial arena. These are going to have interest from the average person. Of course, the fact that this is Web 3.0 means there is a merging of social media with finance[.
Network effect offers enormous value. This results when large numbers of people start to utilize an application. The exponential nature of the growth means the value skyrockets.
Of course, we have a way to capture that via tokenization. While not having access to exchanges might be a problem, the reality shifts when we see off ramps through the ability to purchase real world goods. Again, the global nature of things makes this impossible to stop.
We are already seeing a small group in Sucre, Venezuela who are accepting HBD as payment. Here is where Hive also can excel. This is a stablecoin that cannot be regulated. That means it cannot be hindered by the USG (or any other government) for making purchases.
Here is the real kick in the pants: HBD is appealing to many people outside the US because it effectively gives them access to a digital dollar since there is a peg. This is desired when you have currencies such as the Bolivar that are total train wrecks.
In the end, the US Government is going to help Hive because it is one of the few systems that cannot be messed with. Of course, we cannot rest on our laurels and more work is required, pushing decentralization even further out. The addition of smart contracts is crucial.
Over time, Hive can expand in value simply by offering more services and applications that people desire. We are already seeing a plethora of front ends being created. The social media spectrum is slowly being covered.
At some point, we are going to approach DeFi. There is already a bit of fixed income without counterparty risk on the blockchain. This will continue to evolve over the next couple of years.
Finally, we are bound to see commercial applications popping up, especially as HBD gains a hold in some areas. This is a major counter move to Operation Choke Point 2.0.
To Hive, it does not matter where, geographically, it comes from. The only criteria is that it happens.
If you found this article informative, please give an upvote and rehive.
gif by @doze
logo by @st8z
Posted Using LeoFinance Beta
~~~ embed:1626250387995992066 twitter metadata:MTMzMTMzMDM1NTUxMzc0NTQxM3x8aHR0cHM6Ly90d2l0dGVyLmNvbS8xMzMxMzMwMzU1NTEzNzQ1NDEzL3N0YXR1cy8xNjI2MjUwMzg3OTk1OTkyMDY2fA== ~~~
The rewards earned on this comment will go directly to the people( @rzc24-nftbbg, @taskmaster4450le, @ishareontwitter ) sharing the post on Twitter as long as they are registered with @poshtoken. Sign up at https://hiveposh.com.
This is a detailed explanation of everything going on behind the scenes that you've put in here @taskmaster4450.. And it's very encouraging, especially for new guys like us.. We just hope we get our feet wet on this hive platform, cuz there's a lot of exciting possibilities in here and a lot to learn..Thanks a lot.
Not sure it is behind the scenes. It is out in the open. People just seem to be misreading what is taking place.
Posted Using LeoFinance Beta
They really don't understand what they're 'trying' to control. Crypto is multidimensional, attacking one dimension wouldn't weaken it but it will make it stronger! It's an opportunity for decentralization and globalization of cryptocurrency to reign.
Agreed. They are trying to attack it like everything they encountered. This, for the most part, is a different animal.
Posted Using LeoFinance Beta
If the keep this plan eventually ppl will get tired of it and start using crypto as payment method on a daily bases as it already happens on countries with high levels of inflation like Cuba, Venezuela, countries in Africa, its just a matter of time, Im not saying fiat or their monetary system will be gone but ppl will start using both depending on the situation, Im not saying they cant stop crypto at all just saying is very big and would be a lot of work to completely stop it, crypto is the only option, thx for sharing ✌️
I think that is where HBD enters. It is tied to the USD as a unit of account which protects against the collapsing of other currencies yet is accessible.
Posted Using LeoFinance Beta
Good news to my ears. Thanks for sharing that UBP article. I just shared it on facebook.
!PIZZA
!CTP
Posted Using LeoFinance Beta
Thanks for the share out.
Yes they will try but our developers are moving ahead quickly.
Posted Using LeoFinance Beta
Yes, it's not just informative what you wrote. It is also encouraging for people like me who get a bit scared by SEC and other global games, govs, and sharks. It's good to know a huge community like Hive has support not just through HBD but also through its people. People like you who show themselves and make sure we stay strong and united. Thank you!
Our governments were not established to deal with the digital world. The structure was put in place when we were still physically based.
The Eurodollar system provides how a global system is outside the reach of governments, regulators, and central banks.
Posted Using LeoFinance Beta
Thank you for writing about Operation Chokepoint 2.0. Overall these actions of USSA will help to make cryptosphere more resilient (or even antifragile). Additionally it will make USSA and similar nations fall behind in innovation. Operation Chokepoint 2.0 is a great opportunity for jurisdictions with better financial sense and less tyranny. Africa and Middle East can have a great future if they play their cards right.
!PIZZA
Posted Using LeoFinance Beta
I agree. This will only serve to push innovation elsewhere.
That is where the leaky pail comes in. Someone, somewhere will embrace all this. That is the weak point.
Posted Using LeoFinance Beta
This explains their misunderstanding in simple terms, some of us are tired of using traditional banks anyway so limiting banking services to crypto holders is a positive that will lead to establishing a way to transact with cryptocurrency outside the bank.
I can't help but laugh at this, the Naira is another that has become a joke and these are reasons why anyone in these nations exposed to HBD finds it valuable.
Posted Using LeoFinance Beta
Can you find people in your community that accept cryptos?
Not at present most want to hodl onto their cryptos and only spend when they have to, this is a practice like anywhere else now, and hopefully, that changes in the future when crypto acceptance for payments will be a lot more common.
Posted Using LeoFinance Beta
That is because most are confusing medium of exchange coins (like HBD) with value capture tokens.
They dont want to give them up because they will be worth more in the future (so the thinking goes).
HBD is pegged to $1 worth of $HIVE so it is set. Use it to buy things.
Posted Using LeoFinance Beta
When people generally have to spend it, that is when it is going down.
The situation with the Naira shows the issues. It would be comical if where werent tens of millions so affected.
HBD is a great way to store ones value in Nigeria. Hopefully the concept as a medium of exchange will take off.
Posted Using LeoFinance Beta
They can try, but Hive is like hydra. You cut one head it’ll spring another as long as the community stands
Posted Using LeoFinance Beta
We are moving in that direction. Not sure where we are at if we were attacked right now. However, with each passing month, we progress further.
Each new application helps to spread things out.
Posted Using LeoFinance Beta
I think it is various people on both sides of the aisle that seem to have an agenda against crypto. For many and most of the reasons you explained here. I don't think it is a solely leftist thing like your post implies though.
Posted Using LeoFinance Beta
How did my post imply it was leftist? I agree it is both sides of the aisle.
Posted Using LeoFinance Beta
It didn't. I think I wrote something besides what I intended to write.
Ah ok. Well you point is valid, I dont think many in power are crypto friendly. It is a threat to their power base.
Posted Using LeoFinance Beta
Yeah, just when I think I find one they end up doing something stupid.
@taskmaster4450! The Hive.Pizza team manually upvoted your post.
I gifted $PIZZA slices here:
vimukthi tipped taskmaster4450 (x1)
rzc24-nftbbg tipped taskmaster4450 (x1)
Send $PIZZA tips in Discord via tip.cc!
operation blokePoint
Posted Using LeoFinance Beta
This statement is very true. Nigeria is facing a huge financial crisis because of the new Naira Note. Everywhere is screwed up because the banks are the only ones in charge of financial activities.
You write great and educational posts all the time. But this one was absolutely amazing.
I hope all of Hive and beyond reads it.
Bang on brother 👏
!BBH
!ALIVE
!CTP
@taskmaster4450! Your Content Is Awesome so I just sent 1 $BBH (Bitcoin Backed Hive) to your account on behalf of @bradleyarrow. (6/50)
@taskmaster4450! You Are Alive so I just staked 0.1 $ALIVE to your account on behalf of @bradleyarrow. (2/20)
The tip has been paid for by the We Are Alive Tribe through the earnings on @alive.chat, feel free to swing by our daily chat any time you want.
Definitely, one of the things that is ripe for the building is actual decentralized peer-to-peer marketplaces that simply bypass the legacy economic system. I'm talking HiveList on mondo steroids... a place where I can order a T-shirt, an iPad or a piece of jewelry and the price is never anything other "X amount of HBD." Fiat is never even mentioned, except maybe as a comparative reference point.
It will likely take us 5-10 years to get there, but Hive is an excellent starting point.
=^..^=
Posted Using LeoFinance Beta
I agree that it's too hard to completely stamp out crypto but the government will try. Hive is decentralized even if there are projects that are centralized. However, I do think these changes will make people more reluctant to enter crypto and thus slow adoption.
Posted Using LeoFinance Beta
!BBH
@taskmaster4450! Your Content Is Awesome so I just sent 1 $BBH (Bitcoin Backed Hive) to your account on behalf of @fiberfrau. (2/5)
I think you will find this short video very interesting.
https://www.wsj.com/video/series/news-explainers/cryptos-crash-has-been-swift-but-largely-self-contained-heres-why/A76A224A-34F0-4334-B5D2-D416C227FC71
Posted Using LeoFinance Beta
The US Government is terrible!
Thank God for Hive! Great article and thank you.
@taskmaster4450 !BBH !CTP
Barb :)
Credit: azazel5799
Earn Crypto for your Memes @ HiveMe.me!