Author Topic: Research Help...  (Read 4422 times)

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Offline xeroc

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Offline donkeypong

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BM the banker +5% +5% +5%

I killed the bank. I bought the bank.

Offline donkeypong

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I also wonder whether you could find a failing bank (like those on that last page I linked from the FDIC). Those particular ones are dead and being buried by the government. But if a bank were at an earlier stage of failure, perhaps in bankruptcy court, then someone could make a good offer on it. Normally, a bankruptcy receiver or judge will go with the highest bidder, though there may well be government pressure on them to select a conventional buyer (i.e. a larger bank).

Offline bytemaster

I'd be very concerned that a brick-and-mortar business isn't worth the cost. And then there's the headache of dealing with government compliance, particularly being able to show that one isn't a party to any money laundering transactions.

Buying one?

http://www.mergernetwork.com/commercial-banks-for-sale/page-1


http://www.mergernetwork.com/search/indID/85

https://www.fdic.gov/bank/individual/failed/banklist.html

Holly crap... you can buy a bank for less than $10 million?   

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Offline donkeypong

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I'd be very concerned that a brick-and-mortar business isn't worth the cost. And then there's the headache of dealing with government compliance, particularly being able to show that one isn't a party to any money laundering transactions.

Buying one?

http://www.mergernetwork.com/commercial-banks-for-sale/page-1


http://www.mergernetwork.com/search/indID/85

https://www.fdic.gov/bank/individual/failed/banklist.html

Offline luckybit

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

How much would it cost to buy a Credit Union that is already up and running?   Examples of recently sold Credit Unions or ones on the market today?

Is it simply a matter of becoming the largest depositor in a particular Credit Union as they are in theory owned by their members?

Are you setting up a Credit Union that accepts cryptos as collateral?


Maybe something like this http://www.neo-bee.com/en/
https://bitcointalk.org/index.php?topic=289730.0
Neo Bee? Only do it right? I think it's very possible to do it but not cheap or easy.
« Last Edit: October 17, 2014, 10:34:16 pm by luckybit »
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Offline luckybit

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

How much would it cost to buy a Credit Union that is already up and running?   Examples of recently sold Credit Unions or ones on the market today?

Is it simply a matter of becoming the largest depositor in a particular Credit Union as they are in theory owned by their members?

Wow these are very interesting questions! Never even considered that.
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Offline Ander

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End result, convince a single credit union to invest depositor funds this way and bring in millions of dollars to BTSX.
+5% +5%
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Offline bytemaster

A credit union would give customers accounts and buy BitUSD with the USD they receive and promise interest rates half that of BitUSD.
A credit union would use yield to pay customers interest.
A credit union would refund any profits as either higher interest rates or lower fees.

Users of the credit union never see BitUSD... the credit union takes on 100% of the risk with BitUSD in exchange for USD deposits.  Most users wouldn't even know how the credit union was investing.

End result, convince a single credit union to invest depositor funds this way and bring in millions of dollars to BTSX.
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Offline CoinHoarder

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

How much would it cost to buy a Credit Union that is already up and running?   Examples of recently sold Credit Unions or ones on the market today?

Is it simply a matter of becoming the largest depositor in a particular Credit Union as they are in theory owned by their members?

Are you setting up a Credit Union that accepts cryptos as collateral?

Or building a bridge to allow Credit Union customers to purchase and and hold bitAssets inside their CU accounts?

Not sure specifically what he's trying to do.. I assume on and off ramps. CUs are pretty much the same thing as banks except they are technically "non profit".... although they pay dividends to members so I don't get why they call them "non profit". I think they can offer any service a bank can.

Credit unions *act* as for profit organisms. One of the biggest I know makes hundreds of millions in profit each year and give back "dividends" (which is basically a refund proportional to the business you gave them, i.e the fees and interests you paid). The difference from a bank is that each branch of a credit union has a board that decides about small management decisions (pretty much like a franchise), and this board is elected by the members of that branch. Then you have the head office that decides about all the major decisions for all the branches. Instead of distributing profits to shareholders through dividends, they do it through refund to their members.

Yes, so technically they are "non profit". Like I said.. I don't understand how they can call themselves non profit, but they do.

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How is a Credit Union Different than a Bank?

In the United States, credit unions are not-for-profit organizations that exist to serve their members rather than to maximize corporate profits. Like banks, credit unions accept deposits and make loans. But as member-owned institutions, credit unions focus on providing a safe place to save and borrow at reasonable rates. Unlike banks, credit unions return surplus income to their members in the form of dividends.

http://www.mycreditunion.gov/about-credit-unions/Pages/How-is-a-Credit-Union-Different-than-a-Bank.aspx


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Offline Chuckone

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

How much would it cost to buy a Credit Union that is already up and running?   Examples of recently sold Credit Unions or ones on the market today?

Is it simply a matter of becoming the largest depositor in a particular Credit Union as they are in theory owned by their members?

Are you setting up a Credit Union that accepts cryptos as collateral?

Or building a bridge to allow Credit Union customers to purchase and and hold bitAssets inside their CU accounts?

Not sure specifically what he's trying to do.. I assume on and off ramps. CUs are pretty much the same thing as banks except they are technically "non profit".... although they pay dividends to members so I don't get why they call them "non profit". I think they can offer any service a bank can.

Credit unions *act* as for profit organisms. One of the biggest I know makes hundreds of millions in profit each year and give back "dividends" (which is basically a refund proportional to the business you gave them, i.e the fees and interests you paid). The difference from a bank is that each branch of a credit union has a board that decides about small management decisions (pretty much like a franchise), and this board is elected by the members of that branch. Then you have the head office that decides about all the major decisions for all the branches. Instead of distributing profits to shareholders through dividends, they do it through refund to their members.


Offline CoinHoarder

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

How much would it cost to buy a Credit Union that is already up and running?   Examples of recently sold Credit Unions or ones on the market today?

Is it simply a matter of becoming the largest depositor in a particular Credit Union as they are in theory owned by their members?

Are you setting up a Credit Union that accepts cryptos as collateral?

Or building a bridge to allow Credit Union customers to purchase and and hold bitAssets inside their CU accounts?

Not sure specifically what he's trying to do.. I assume on and off ramps. CUs are pretty much the same thing as banks except they are technically "non profit".... although they pay dividends to members so I don't get why they call them "non profit". I think they can offer any service a bank can.
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Offline xeroc

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Are you setting up a Credit Union that accepts cryptos as collateral?
Not sure what credit unions are supposed to do .. but my guess whould be that they are setting up a CU for bitUSD and on/off ramps .. and store them on the public ledger instead of a centralized banking server ..

Offline sschechter

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

How much would it cost to buy a Credit Union that is already up and running?   Examples of recently sold Credit Unions or ones on the market today?

Is it simply a matter of becoming the largest depositor in a particular Credit Union as they are in theory owned by their members?

Are you setting up a Credit Union that accepts cryptos as collateral?

Or building a bridge to allow Credit Union customers to purchase and and hold bitAssets inside their CU accounts?
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Offline CoinHoarder

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What are the legal restrictions on a Credit Union buying and holding a digital asset such as BTC or BTSX?

It seems they are subject to know your customer and anti money laundering requirements (assuming members can use, deposit, or withdrawal the cryptocurrency), so this could be very expensive to setup. You would need to verify the identities of all users. I have heard to follow kyc and aml regulations as a money service business costs millions in the US. You must register nationally and also with every state separately. Very big legal costs to do it that way, it is much cheaper to partner or enlist services of an existing aml/kyc service. Those do exist.. Ones specifically targeting Bitcoin companies so it will be much cheaper to partner with a msb or find a service to take care of that.

Quote
In the U.S., credit unions are required to verify the identity of the people they do business with (so-called "know-your-customer" laws), especially if they are acting as money service businesses. They're also required to file suspicious activity reports (SARs) to the government.

Here is a couple examples of such a service that seems much cheaper than registering as a msb yourself: http://www.identitymindglobal.com/bitcoin
http://matrixvision.eu/products/evisafe/
http://www.strevus.com/compliance-solutions/countercheck-btc/
« Last Edit: October 17, 2014, 04:47:07 pm by CoinHoarder »
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