stupid questin : why not buying siacoin directly ?



  • i have a very basic question

    why not bying siacoin directly instead of buying bitcoint then siacoin ?

    i can explain someone to buy some storage tokens called (siacoin)

    if i take my parents as a possible user that will appreciate decentralised backup
    but to explain them buying a virtual cryptocurrency and then exchange it to another cryptocurency...
    they will be telling me they do not want any problem with the police

    in france we know bitcoin through MtGox and Mark Karpeles so reputation is quite sulfurous


  • admins

    US financial regulation means that for us to transfer dollars for siacoins, we would need to be a money transmitter. That's something that costs millions of dollars, and is not anything that Nebulous or the Sia team can support in the near future. Instead, we must make use of existing money transmitters. If someone like Coinbase was willing to support direct USD -> siacoin payments, then it would be fine.

    When Sia has grown sufficiently, there will be the ability to trade directly.



  • Siacoins will soon be available to buy with creditcard (3D Secure Visa and Mastercard only), bitcoin and other cryptocurrencies (via ShapeShift) at http://siapulse.com. An announcement will follow soon. We are still working on integration with the Poloniex order book, on which prices will be based. We hope to be able to provide the service soon after the v0.5.0 launch.

    We are based in Norway, where cryptocurrencies are considered a 'service' and subject to sales tax (aka 'value added tax' in Europe) for domestic purchasers. Sia is in fact a service (cloud storage), so its not as odd as it sounds. Thus, there is no requirement to register as a money transmitter here.

    Price will be based on the Poloniex order book, plus our markup (plus 25% sales tax / VAT for Norwegian residents).


  • admins

    really?

    :D

    Make sure you are being regulatory compliant. It's a scary road to go down, we can't protect you legally if something goes wrong.

    But... very happy to see you doing this.


  • Global Moderator

    As said, you may sell cryptocurrencies in Norway as if it was any other service. Norway, for some reason, has decided to follow a different path with regards to Bitcoin than the European Union (which it is not a member of). That may of course change, and we will then of course follow suit to ensure we are fully compliant.

    There is currently one exchange in Norway, and many private individuals legally buying and selling bitcoin as sole proprietors (no other permit required). JustCoin, a now defunct major Bitcoin exchange, was based in Oslo, Norway.

    What cryptocurrency exchanges in Norway have to be worried about currently are rather the attitudes of banking partners and payment processors, which do have a vast regulatory web to comply with. These have been slow to permit bitcoin-related businesses operate using their services. JustCoin failed for the simple reason that their banking partner (the largest bank in Norway) would no longer support them with banking services. We intend to communicate our plans with our banking partner and credit card payment processor.

    I think Sia will prove an exception and perhaps as a way to warm up Norwegian banks to cryptocurrencies in general. The Siacoin is a currency designed for a very specific purpose, namely to pay for decentralized cloud storage. Our service will be marketed as such: you will be pre-paying for cloud storage with credits issued in Siacoins.

    We will be placing restrictions on volumes in a warm-up phase while we gather basic information. So, it is part experiment too. We might change the format of how, and whom, to sell Siacoins. We may eventually limit ourselves to a domestic market only (where the risks of chargebacks are negligible due to a very secure and integrated banking system).



  • Which different path has the EU taken? I kind of stopped following cryptocurrency regulation back when the general understanding was that they were just random bytes, not currency and not even services, and if you wanted you could pay people to get bytes without much in terms of regulation at all.



  • Here's a step by step tutorial on how to buy Siacoin: buyingsiacoin.com



  • @in-cred-u-lous said in stupid questin : why not buying siacoin directly ?:
    [...]

    We are based in Norway, where cryptocurrencies are considered a 'service' and subject to sales tax (aka 'value added tax' in Europe) for domestic purchasers. Sia is in fact a service (cloud storage), so its not as odd as it sounds. Thus, there is no requirement to register as a money transmitter here.

    Nice - in Switzerland, you'd likely still need to follow basic AML/KYC rules, this takes the form of being a member in a self-regulating organization, and pay for their auditor to stop by and check your processes & books once a year. Not as expensive as registering as money transmitter in the US, but also not as easy as you make it sound for Norway!

    Good luck


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