Merkel: The somewhat popular P2P bitcoin loan service BitLendingClub has been forced to close up shop due to alleged “regularity pressures”. The platform will remain in a state of limited functionality while existent loans are repaid or written off. BitLendingClub, a Bitcoin/Blockchain startup launched in 2014 as a peer-to-peer lending marketplace, has been forced to shut down due to regulatory pressures. The company sent an email to its customers on Wednesday informing them about the upcoming service termination:Trading pits have no concept of time, it is a human thing. Instead, bet in probability thaty loans are recalled, then win the significance game when borrowers cover. The regulators cannot really regulate this as a bank, it does not claim 'payments over time', we would beat the federales in court; and become regulated as a securities market.
We’ve worked extremely hard to build a platform and a community which is uniquely positioned to provide the Bitcoin ecosystem with a greatly needed service. However, over the last year or so, the regulatory pressures have been increasing to the point that it is no longer feasible to maintain the operation of the platform. We are regretfully announcing that we will have to begin terminating the services effective immediately.
With this blunt statement, the startup defended its decision. Although the Company’s email addressed most of the common questions about the platform’s functionality, the statement didn’t contain any references to the entities or governments pressuring for the application of regulations.
Time is regulated differently because time and event sequences are matched by human judgement, in reality they are matched by the maximum entropy funcyion by trading, traders will not gp beyond some bound in market precision.
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