Hmm…

Interesting admission in CoinDesk’s live coverage of the Sammy trial and other bitcoin-related events. A lobbyist who helps bitcoin companies deal with regulation said:

The regulators have shut down the major banks who served the crypto industry, and placed strong restrictions on other banks. If you can’t work with a bank you can’t succeed in crypto.

Hmm. That’s funny. I always thought the SINGLE SOLITARY UNIQUE PURPOSE of bitcoin was to gain total freedom from those horrible banks and fiat currencies.

= = = = =

Broader thought after listening to a bunch of this crap. Self-dealing is nothing special, and it’s even legal and necessary for small privately owned businesses. The owner takes an arbitrary portion of the profits as “salary”, but he can move money in either direction as needed. He may mortgage his house to keep his employees working, or he may arbitrarily take more of the profit to buy a bigger house.

What makes Sammy’s self-dealing unique is the INFINITE and UNLIMITED amounts. He took 8 billion for personal use, and spent hundreds of millions to buy name recognition, all with funds that the customers falsely believed to be vaulted.

Modularity is the key. A small business has limited access to money from banks; if it wants more money it has to WORK for the money, now or later. Fraud is quickly self-destructive.

Sammy had perfect connections to the free counterfeit fountain from the central bank via dozens of VCs who were mindlessly loyal to his cult. Everything he did was aimed to break out of all legal and moral and financial restraints, and it worked UNTIL Powell shut off the free money fountain. That’s when the VCs started to EXAMINE the cult instead of happily funneling free money into Sammy’s billion-dollar mansions and million-dollar vegan meals.