[false] Denmark bans self-custodial wallets

[NotATether]

Update: see https://www.altcoinstalks.com/index.php?topic=322406.msg1581228#msg1581228


Bwahahaha (sorry, I am actually pissed)

The finance department of Denmark is set to ban self-custodying your Bitcoin. That mans you can't legally store your coins in Bitcoin Core (what about miners??), Electrum, Sparrow, Unstoppable, BlueWallet, and pretty much all hardware wallets and software wallets.

These guys must be really pushing hard for you to use an exchange.

It's like everyone forgot how catastrophically FTX imploded just 18 months ago.

It's important to note that Denmark is part of the EU, and so we might see similar regulation on their part as a larger level eventually.

https://coingape.com/danish-regulator-to-ban-unhosted-bitcoin-btc-wallets/

[Charles-Tim]

Many countries have biased government in one way or the other. The government that made fiat that can be in cash which can be used anonymously.

What is worst is that the bank is full of laundered money. How many can they trace. Scammers are using fiat mostly. There are fake verified accounts. Fiat are mostly used for terrorism financing and the likes. But these people will not see any wrong with what they created.

There are many ways that these governments are as wrong as scammers. They do not just want people's freedom in many ways.

[EluguHcman]

Government will always want to get its citizens financial incomes and portfolios on track.
Cryptocurrencies was more interested to users due to its decentralized blockchains and the possibilities to store the assets of self-custodial wallets.

This Denmark policy to ban custodial wallets feels some kind of phishing because there must be an interesting of them to the crypto holders which they don't want the people to know.

If they can actualize this, then there would be no privacy and no security in the Crypto Blockchain anymore because.... Not  your key and not also your coin.

[Charles-Tim]

Cryptocurrencies was more interested to users due to its decentralized blockchains and the possibilities to store the assets of self-custodial wallets.

Yes, but there are many users that do not go for decentralization only but go for investment because many of the altcoins like ethereum are centralized, although not as centralized as how fiat are centralized.

This Denmark policy to ban custodial wallets feels some kind of phishing because there must be an interesting of them to the crypto holders which they don't want the people to know.

You mean ban noncustodial wallet. I guess it is a typo.

If they can actualize this, then there would be no privacy and no security in the Crypto Blockchain anymore because.... Not  your key and not also your coin.

There are some countries that still allow noncustodial wallet. In the banned countries, there is no way many people will not still try to have noncustodial wallet especially if they are many of them that prefer decentralized exchanges, and exchanging the coins and their fiat directly within themselves without any platform needed.

[Lucius]

Denmark or any other EU member can pass any law, but that does not mean that I, as an individual, must blindly respect that law. Such a ban does not apply to anyone who wants to take over any non-custodial wallet and buy cryptocurrencies via DEX, which means that the state has no idea that anyone owns cryptocurrencies at all, let alone in which wallet they keep them.

~snip~
It's important to note that Denmark is part of the EU, and so we might see similar regulation on their part as a larger level eventually.

Every country can independently regulate such things, and what Denmark has done does not mean that any other country will follow. The EU has long passed laws based on AML/CFT, but in some EU members you can still sell/buy cryptocurrencies without KYC up to the amount of EUR 1000 per transaction - and considering the Schengen Area (travel without border controls) the business is especially booming during the tourist season.

[Mr. Magkaisa]

         -    We all know that not all countries have the same beliefs as Denmark. So, in my opinion, many countries have made Bitcoin and other cryptocurrencies different, and in the end, they also withdrew. Also, most of the time, the governments of each country always prioritize the benefits of their government, not the welfare of their people in the reality of life.

But there are also other countries in this era that recognize blockchain technology, bitcoin, or top crypto's in the field that we are actually living in.

[Fivestar4everMVP]

This is absolutely nothing to be afraid of, or even give attention, any country can ban anything related to crypto they want, or even crypto in its entire self, but the issue have always been in its implementation.
For example, Nigerian government banned crypto entirely in the whole of the country, but it's citizens still go about crypto like there was or is no ban at all, I believe this will be the same story in Denmark, how are they going to effect this ban? To make sure that citizens don't continue using self custody wallets even after this ban? There is no way to implement such a rule, even if they restrict citizens access to the domains of those wallets, citizens can always use VPN to bypass such restrictions.

[electronicash]

This is absolutely nothing to be afraid of, or even give attention, any country can ban anything related to crypto they want, or even crypto in its entire self, but the issue have always been in its implementation.
For example, Nigerian government banned crypto entirely in the whole of the country, but it's citizens still go about crypto like there was or is no ban at all, I believe this will be the same story in Denmark, how are they going to effect this ban? To make sure that citizens don't continue using self custody wallets even after this ban? There is no way to implement such a rule, even if they restrict citizens access to the domains of those wallets, citizens can always use VPN to bypass such restrictions.

they may implement this law to all in EU since their MICA had been planing the same way. they are against self custody and that these wallets we are using may just be mandated to ask KYC to its users.

SEC is even trying to win a lawsuit against metamask til this day even when ETH was already considered not security. so this is going to a struggle and will likely be the next fud to bring the prices down in the next bear market.

[taufik123]

LOL is a strange rule and seems to want to control all crypto users in Denmark. If this regulation is really implemented, then what are the steps to control everything so that people do not use self-storage wallets.

It's impossible to check everyone's phone one by one, it's pretty ridiculous when there's a rule that doesn't seem to want someone to manage their own crypto assets.

Expecting everyone to store crypto assets in the CEXs they already monitor so that the government gets more taxes.

[Z-tight]

Expecting everyone to store crypto assets in the CEXs they already monitor so that the government gets more taxes.

They also want to know who you sent your coins to, when you sent it and all information such as that; governments simply wants control, and they know that the only way they can control people's funds is if it is in a custodial wallet. However, i believe there are many ways to circumvent this law, just that you would then be breaking the law, and committing a crime, it is crazy.

[target]

LOL is a strange rule and seems to want to control all crypto users in Denmark. If this regulation is really implemented, then what are the steps to control everything so that people do not use self-storage wallets.

It's impossible to check everyone's phone one by one, it's pretty ridiculous when there's a rule that doesn't seem to want someone to manage their own crypto assets.

Expecting everyone to store crypto assets in the CEXs they already monitor so that the government gets more taxes.

Its a strategy for them to make money. It looks to me that decentralization will still be compromized regardless of how thenteam developed their project. Whether they claim it to be Decentralized or not, the law will make it centralized.

They are just using the crypto laws for surveillance. The CBDC isn't their only way.

[philipma1957]

Bwahahaha (sorry, I am actually pissed)

The finance department of Denmark is set to ban self-custodying your Bitcoin. That mans you can't legally store your coins in Bitcoin Core (what about miners??), Electrum, Sparrow, Unstoppable, BlueWallet, and pretty much all hardware wallets and software wallets.

These guys must be really pushing hard for you to use an exchange.

It's like everyone forgot how catastrophically FTX imploded just 18 months ago.

It's important to note that Denmark is part of the EU, and so we might see similar regulation on their part as a larger level eventually.

https://coingape.com/danish-regulator-to-ban-unhosted-bitcoin-btc-wallets/

Really fucked up move by them.

Crypto is about to get some very hard hits in quite a few countries.

[examplens]

So it started.
This was presented as an option even earlier, it is really incredible that a developed country like Denmark makes such a move, it seems quite amateurish and without basic knowledge of the Bitcoin ecosystem. It would be better if they completely banned cryptocurrencies, that would make more sense.

[philipma1957]

yeah many other countries are going to do it. All saying to prevent terrorism and terrorists moving funds around.

I think the bull is cooked for now.

[MrSpasybo]

So it started.
This was presented as an option even earlier, it is really incredible that a developed country like Denmark makes such a move, it seems quite amateurish and without basic knowledge of the Bitcoin ecosystem. It would be better if they completely banned cryptocurrencies, that would make more sense.

I was also quite surprised by the Danish government's decision. I thought that Denmark is a member of the EU and would therefore apply MiCA to regulate crypto instead of banning self-custodial wallets. This regulation could seriously affect the development of the crypto market in Denmark, as investors would not be able to self-manage their assets, could not participate in DeFi, and would be forced to accept risks from CEXs.

I hope that crypto KOLs in Denmark will speak out against this regulation and help the Danish government to better understand blockchain technology and the values that crypto can bring to the country. Apart from the proposal to penalize wallet addresses associated with Mixers, this is a stupid regulation made by people who lack basic knowledge of this crypto market.