Bitcoin is not money, judges rules in victory for backers

Ruling means no specific licence needed to buy or to sell crypto-currency

Bitcoin, a Florida judge says, is not real money. Ironically, that could provide a boost to use of the crypto-currency which has remained in the shadows of the financial system.

The July 22 ruling by Miami-Dade Circuit Judge Teresa Pooler means that no specific license is needed to buy and sell bitcoins.

The judge dismissed a case against Michel Espinoza, who had faced money laundering and other criminal charges for attempting to sell $1,500 worth of bitcoins to an undercover agent who told the defendant he was going to use the virtual money to buy stolen credit card numbers.

Espinoza's lawyer Rene Palomino said the judge acknowledged that it was not illegal to sell one's property and ruled that this did not constitute running an unauthorized financial service.

"He was selling his own personal bitcoins," Palomino said. "This decision clears the way for you to do that in the state of the Florida without a money transmitting license."

In her ruling, Pooler said, "this court is unwilling to punish a man for selling his property to another, when his actions fall under a statute that is so vaguely written that even legal professionals have difficulty finding a singular meaning."

She added that "this court is not an expert in economics," but that bitcoin "has a long way to go before it is the equivalent of money."

Bitcoin, whose origins remain a mystery, is a virtual currency that is created from computer code and is not backed by any government. Advocates say this makes it an efficient alternative to traditional currencies because it is not subject to the whims of a state that may devalue its money to cut its debt, for example.

Bitcoins can be exchanged for goods and services, provided another party is willing to accept them, but until now they been used mostly for shady transactions or to buy illegal goods and services on the "dark" web.

Bitcoin was launched in 2009 as a bit of software written under the Japanese-sounding name Satoshi Nakamoto. This year Australian programmer Craig Wright claimed to be the author but failed to convince the broader bitcoin community.

In some areas of the United States bitcoin is accepted in stores, restaurants and online transactions, but it is illegal in some countries, notably France and China.

It is gaining ground in countries with high inflation such as Argentina and Venezuela.

But bitcoin values can be volatile. Over the past week its value slumped 20 percent in a day, then recouped most losses, after news that a Hong Kong bitcoin exchange had been hacked with some $65 million missing.

Impact across US, world

Arthur Long, a lawyer specializing in the sector with the New York firm Gibson Dunn, said the July court ruling is a small victory for the virtual currency but that it's not clear if the interpretation will be the same in other US states or at the federal level.

"It may have an effect as some states are trying to use existing money transmitting statutes to regulate certain transactions in bitcoin," Long told AFP.

Charles Evans, professor of finance at Barry University, said the ruling "absolutely is going to provide some guidance in other courts" and could potentially be used as a precedent in other countries to avoid the stigma associated with bitcoin use.

Bitcoins can store value and hedge against inflation, without being considered a monetary unit, according to Evans, who testified as an expert witness in the Florida trial.

"It can be used as an exchange," he said, and may be considered a commodity which can be used for bartering like fish or tobacco, for example.

Evans noted that "those who are not yet in the bitcoin community will be put on notice: as long as they organize their business in a particular way they can avoid the law."

But he added that "people who are engaged in illegal activities will continue to do what they are going to do because they are criminals.- AFP"

Explore further: Australia says Bitcoin not taxable as currency

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Rio 2016 Olympics sets good example; Smug Aussie swimmer won’t cloud Rio

The Olympic flame burns in Maracana Stadium during the opening ceremony at the 2016 Summer Olympics in Rio de Janeiro, Brazil, Aug 5, 2016. [Photo by Wei Xiaohao/China Daily]

Congratulations, and many thanks to Rio de Janeiro, for the innovatively choreographed and beautifully executed opening ceremony for the Olympic Games, which was mesmerizing, inspiring, and thoroughly entertaining.

From supermodel Gisele Bundchen's elegant walk across the stadium floor and the first-ever refugee team to the all-green Olympic rings and the Samba, there was indeed plenty to enjoy and remember.

What amazed us even more is the way Rio has achieved it, and in such a graceful manner, when so many thought it was impossible.

The Rio Games could not have come at a worse time for Brazil, under the triple pressures of an economic recession, the like of which the country has not seen in decades, a domestic political crisis and the Zika threat.

The prospect of Rio hosting a decent Olympics once seemed so bleak that some even suspected the International Olympic Committee had made a bad choice awarding the city the 2016 Summer Games.

With Beijing and London setting a high bar for opening ceremony theatricality, few had anticipated anything this impressive from Rio. After all, opening ceremonies are increasingly costly these days with host countries competing to invest in effects they deem commensurate with the self-image they intend to project.

Rio, on the other hand, had a budget that was reportedly 12 times less than London's and 20 times less than Beijing's. It was operating on a comparative shoestring.

But the show they presented was nothing short of spectacular. Which prompted one Chinese commentator to gasp in admiration, "Who needs money when you have a conscience?"

Money does matter when it comes to hosting an international sporting event like the Olympic Games. But Rio offered a loud reminder that money is not everything, and conscience and creativity can go a long way.

Besides visuals that were hardly less fabulous than what we saw in Beijing and London, and the strong message about climate change, this aspect of the opening ceremony challenges future hosts and the Olympic community to rethink the way the world's largest sporting gala is handled.

We particularly admire the organizers' idea that it was unnecessary to spend large sums of money on the opening ceremony, when such undertakings as education and public health in Brazil are crying out for funds.

Like the "Avatar-like allegiance" to the environment demonstrated in the opening ceremony, this is a poignant Brazilian statement on conscience and social responsibility we sincerely wish will reach the hearts of all future Olympic hosts. Including those in Beijing, who are preparing for the upcoming 2022 Winter Olympics. - (China Daily)

Rio 2016 medals tally

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Search Results

Olympic Games Rio 2016

OVERVIEWSportsON TVSCHEDULEAthletesMEDALSCountries

Medal standings

	Country
	1 United States		5		7		7		19
	2 China		5		3		5		13
	3 Australia		4		0		3		7
	4 Italy		3		4		2		9
	5 Japan		3		0		7		10

Smug Aussie swimmer won’t cloud Rio

Mack Horton of Australia (Center), Sun Yang of China (Left) and Gabriele Detti of Italy pose with their medals during the Men's 400m Freestyle Victory Ceremony in Rio de Janeiro, Brazil on August 6, 2016. [Photo/Agencies]

The Chinese Swimming Association (CSA) has called its Australian counterpart, to demand Australian swimmer Mack Horton apologize to Chinese swimmer Sun Yang, against whom Horton initiated a personal attack. To no one's surprise, the Australian side declined, saying Horton "is entitled to express a point of view."

The CSA's protest is a consolation for Sun, and the one voice from the Chinese media and public backing Sun shows the unity of Chinese society and the people's human touch.

Horton won the first gold medal for Australia at the Rio Olympics, and has become a hero for the country. It is understandable if Swimming Australia finds it difficult to teach him a lesson right now for his rude and irresponsible words.

The problem is that it seems the entire sports circle and media in Australia do not have a problem with Horton's ill-mannered and provocative remarks. In a response to the CSA, Swimming Australia didn't forget to flaunt the "freedom of speech" cliché with a swaggering ego. According to their logic, it seems that no matter how derisive and slanderous the remarks could be, it is all free speech, which should be praised.

If so, the focus of the squabble will go beyond Horton's ill manners and silliness. The whole level of Australia's awareness of sports ethics and glory is as low as that of a young and brash kid.

Australia's aberrant response is confusing not only to the Chinese, but also to many other Westerners. How come the Australians are not ashamed of Horton's personal attacks, but are shamelessly climbing to the moral high ground in this case?

From China's perspective, Australia, an English-speaking and developed country, is a typical part of the Western world. But actually, Australia has always been a "second-class citizen" in the West, and many people from Western Europe, especially the UK, feel condescension toward Australians.

Australia used to be a land populated by the UK's unwanted criminals, and this remains a stigma attached to Australian culture.

Eager to be completely accepted by the Western world and afraid of being overlooked, Australia has grown docile and obedient in face of the US and the UK.

However, in front of Asian countries, it cannot help but effuse its white supremacy. The tangle of inferiority and superiority has numerous reflections in Australia's foreign exchanges.

We don't have to take seriously the tinge of barbarism that comes out of some Australians, nor should we pay keen attention to some vindictive provocations. China cannot be distracted from its own path of development, so it should turn a blind eye to what should be despised.

Horton and his backers represent the dark side of Australian society, and it is time for us to look at the bright side of the Olympic Games. This trifling botheration won't ruin our beautiful memories of this grand event. - Global Times

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Investing in minds to stop brain drain

Beijing lures back foreign graduates with lucrative offers

BEIJING: As a young biologist at the University of Michigan, Chen Xiaowei had plenty to like about life in the United States.

He was paid well as a researcher and enjoyed raising his family in Ann Arbor, a town he remembers as beautiful, friendly and highly educated.

But an offer from a Chinese university for him to return home to Beijing was too generous not to consider.

In addition to a comparable salary, he was promised enough startup research money that he wouldn’t have to worry about pursuing grants.

So in 2014 he moved back with his wife and two children.

“I feel freer to pursue my best ideas,” Chen said.

He said he has received such generous support that he’s able to study a disease through symptoms in both the liver and muscles simultaneously – something he said he would not be able to do in the United States because of limitations on grants, which are often tied to projects instead of researchers.

Chen, who earned a doctorate in physiology at Michigan in 2008, has joined thousands of high achieving overseas Chinese recruited to come home through the 1,000 Talents programme, one of many state efforts to reverse a decades long brain drain.

China, the world’s second-largest economy and one of the fastest growing, sees a need to bring home more of its brightest as it works to transform its largely labourintensive, lowtech economy into one fuelled by innovation in science and technology.

More than 300,000 Chinese studied in the US alone in the 2014-2015 school year.

Most of those students return to China, but the country has had difficulty regaining the most coveted graduates – those with advanced degrees and experience in science and engineering.

A 2014 report by Oak Ridge Institute shows 85% of the 4,121 Chinese students who received doctorates in science and engineering from American universities in 2006 were still in the US five years later.

The 1,000 Talents programme offers recruits salaries several times more than what a Chineseeducated local hire would receive, as well as heavily subsidised education for children and millions in startup research funds. The signup bonus alone can be as much as US$150,000 (RM605,850).

Chen, now an assistant professor at Peking University, was given a US$1.5mil (RM6.05mil) research fund.

“In the States,” he said, “it’s very hard for young people to get money when they need it the most.” — AP

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Stay vigilant to Japan's "China Threat", right-wing 'hawk' Inada as new defense minister

Tokyo hype

Once again, in its latest defense white paper, Japan has shamelessly accused China of jeopardizing regional peace and stability, playing up the "China Threat" for its own right-wing agenda.

As the Abe administration moves Japan's security policy further and further to the right, rebuilding the country as a military power, those neighboring nations who remember the past look on aghast.

The new defense paper adopts an even more confrontational tone compared to previous ones, accusing China of "changing the status quo by relying on its strength" and expressing "deep concern" over China's activities in the East and South China seas.

If history is indeed a mirror, then surely that mirror reflects Japan's recent record of stirring up regional trouble and enmity wherever and whenever it can. If there is any meddling with the status quo, it is easy to see that Japan is the meddlesome one.

In 2012, Tokyo stoked up tensions in the East China Sea through the transparent farce of "purchasing" the Diaoyu Islands. Warships and aircraft were dispatched to the islands' waters and skies, harassing Chinese vessels and aircraft going about their lawful business.

On the South China Sea, Japan -- far from an interested party -- can't seem to keep its nose out of the issue, pointing fingers at China and cheerleading for distant parties who also seek to interfere in the dispute.

And then in April, Japan sent warships to the Philippines, perhaps as a direct "thank-you" for the spurious South China Sea arbitration, laying bare its attempts to mount pressure on China.

The Abe administration has tinkered with the stability of the Asia-Pacific and conjured up security threats for no reason other than to justify a move to the right: a militarist move which includes, but is not limited to, easier arms trade, weaker civilian control over the military, and these controversial security bills.

This year's white paper makes much of the "constitutionality" of Japan's new security laws - the legal foundation for the right-wing to take control of Japan's defense.

Japan talks of "concern" and "vigilance" over China's military development, and has done so in its annual papers since 2005. After new security legislation last year, Japan has taken a more proactive approach, a more aggressive approach, directly condemning and challenging China.

Abe and his coalition partners are clearly speeding up their attempts to rewrite the constitution before his tenure ends in 2018. Laws allowing Japan to engage in armed conflict overseas, even if Japan is not attacked or threatened, came into effect in March. The Abe administration is inching closer to its dream of replacing the country's pacifist constitution with... a different kind of constitution.

Abe's real intention

The fanciful "China Threat" and tensions in the region are the best excuses for aggressive military and security polices that Tokyo can cook up.

Seven decades after World War II, Japan now stands at a critical juncture: to continue on its peaceful path or to return to militarism with all the fears and tensions that will bring to the region.

Each and every responsible member of the international community must stay vigilant. This peace and stability was hard-won. Its loss will be harder still. - Xinhua

Abe appoints ultra-right wing "hawk" Inada as new DM to push military agenda

https://youtu.be/X0kSBfF7XS4
Her comment that Japan's actions during the war "depends on one's point of view" has sparked anger from neighboring South Korea and China.

Japan's new Defense Minister, Tomomi Inada, inspects a honor guard on her first day at the Defense Ministry in Tokyo, Aug. 4, 2016.

TOKYO, Aug. 3 (Xinhua) -- Japanese Prime Minister Shinzo Abe's appointment of Tomomi Inada as defense minister following a cabinet reshuffle on Wednesday has underscored his intentions to forge ahead with a controversial push to amend the nation's pacifist Constitution and further expand the scope of the nation's military, observers here have said.

The prime minister, nevertheless, has maintained that the reshuffle was aimed at speeding up the pace of the nation's sluggish economic revival, following multiple failed installments of his "Abenomics" economic policy mix, following the approval a day earlier of a 28.1 trillion yen (277.74 billion U.S. dollar) stimulus package.

However, political observers attest that the hawkish Inada, 57, a particularly close ally of Abe's, yet a novice when it comes to security issues, being given the defense minister's portfolio demonstrates the prime minister's intention to use his coalition's newly-gained dominance in both chambers of parliament to advance his legacy-led mission to fundamentally reshape Japan's security paradigm in the biggest, most controversial shift since WWII.

Security experts as well as senior members within the defense ministry itself believe that Inada, Japan's second female defense minister following Yuriko Koike, herself recently elected to be Tokyo governor who held the position briefly in 2007, is ill-equipped and lacks the necessary experience to hold the defense ministry's top post.

Inada is currently only serving her fourth term as a lower house lawmaker and previously held the post of state minister in charge of administrative reform for just two years and has chaired the ruling Liberal Democratic Party Policy Research Council again for just two years.

Defense, security and military affairs are not in her repertoire, experts close to the matter have maintained.

Inada, however, is known to share the prime minister's singular goal of revising Japan's postwar, pacifist constitution and is also, along with Abe and a number of other prominent cabinet members, a visible member of the ultra-right wing Nippon Kaigi fraternity.

"Inada has long been a member of Abe's inner coterie and shares his fundamental beliefs about the future course of the nation's political and security direction," Asian affairs commentator Kaoru Imori told Xinhua, ahead of Inada's widely-expected appointment.

"She is also a known right-wing revisionist and has made a number of controversial remarks about Japan's history, and her membership to the right wing Nippon Kaigi group is evidence of her tendentious political and nationalistic views," Imori added.

Nippon Kaigi is an ultranationalistic nonparty entity with around 300,000 members who all believe in praising the Imperial family (The Emperor), changing the war-renouncing, pacifist Constitution, promoting nationalistic education in schools and supporting parliamentarians' visits to the controversial Yasukuni Shrine.

It is the biggest right-wing organization in Japan and Abe has, ostensibly, cherry picked his Cabinet members from this group to run the country, with these "Shinto Conservatives" believing that Japan should not apologize for its wartime acts of brutality, despite the legitimacy of proven historical events.

The appointment of Inada as defense minister will almost certainly ruffle the feathers of Japan's neighbors, experts claim. "The mood now is to try to promote cooperation," Jeffrey Kingston, director of Asian studies at Temple University in Tokyo, was quoted as saying of the current situation regarding ties between Japan and its immediate neighbors.

"That could change if she makes a pilgrimage to Yasukuni in a couple of weeks," Kingston added.

"Inada supports the prime minister and all parliamentarians' visits to Yasukuni (shrine) and has openly contested The International Military Tribunal for the Far East after World War II. She also believes that Japan should not apologize for its internationally-recognized war crimes committed and is a proponent of denying Japan's wartime atrocities," Imori said.

To this end, Abe appointed her chairperson of the LDP Policy Research Council in September 2014, despite the fact that the position is almost always exclusively held by party members who have had lengthy political careers. - Xinhuanet

THE ATOMIC BOMB: HIROSHIMA AND NAGASAKI August 6 & 9, 1945

https://youtu.be/_z4ZBA_HEVYbr />

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The annual document came after an ad hoc arbitral tribunal with judges mostly picked by Shunji Yanai, a Japanese right-winger, issued a biased and illegal award over the South China Sea dispute. Full story

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Why do Chinese think differently from the West?

Sculptures of Confucius with his students are seen near the headquarters office building of Chambroad Holding in Boxing, Shandong Province, China, June 27.PHOTO: REUTERS

We live in an age of science and technology, so strictly speaking science should be able to forecast the future and help us make decisions better. But in this Age of Uncertainty, the best economic models did not predict the global financial crisis.

How did the ancients attempt to make better decisions? They relied on history, their own experience or oracles, astrology or mumbo-jumbo. In a situation of uncertainty, you make decisions on the basis of information that you have, and if don't have that information, you simply have to consult someone or something you believe in.

Some people turn to old sacred text, such as the Bible, with a priest to interpret what God intends. The Greeks used the Delphic Oracle, dating back to 1,400 BC, whose predictions were in riddles that were interpreted by the female diviners. Divination was then serious business, with astronomers studying the stars for some cosmic order.

Most people think that Chinese philosophy began with Confucius [551-479 BC], but his school became famous because it compiled the existing ancient books into the Five Classics, of which the I Ching (or Book of Change) is one. The problem with any translation of ancient text is that we can never differentiate translations from interpretation. How an ancient text is read depends very much upon the translators’ biases or ignorance. This is why reading of sacred text is always personal.

My own view is that the I Ching deserves to be considered a book of early Chinese science, rather than as a book on divination, considered at best as pseudo-science.

The I Ching comprises two books, an earlier classic dated to roughly 1,000 BC, and an interpretive text written about 400-600 years later. The earlier classic comprises the Eight trigrams, attributed to Fuxi, one of the legendary founders of China, and the 64 hexagrams, reputedly invented by Duke Zhou, one of the founders of the Zhou dynasty. In simple terms, the Eight trigrams simply stand for eight possible situations, from good to bad; whereas the 64 hexagrams stand for 64 possible predictive outcomes. The later text is attributed to Confucius and his disciples, which helps the interpretation of what the hexagrams mean. To use the I Ching for divination or decision purposes, you randomly choose a hexagram and then consult the I Ching for what it means.

Herein lies a fundamental difference in decision making between Western science and the Chinese approach to life.

Science developed in the West partly because of the alphabetic language, derived from the Arabs, which means that you can define words and meaning much more precisely, since the English language comprises today over a million words. As the philosopher Wittgenstein argued, all concepts are defined by language.

The Chinese language, on the other hand, is basically ideogramatic and phonetic, meaning that each character comprises radicals that originally were pictures. For example, the character for man can easily be identified as a drawing of a standing man. Because there are limited sounds for each character, each character carries four or five tones, and complex words comprise combinations of different characters. Most people can read basic Chinese with about two to three thousand characters, with the maximum number of characters being roughly 50,000. Complex words are combinations of two or three characters.

Given limited sounds, tones and characters, the Chinese language is not as precise as English. A single character can have different meanings and different sounds, so that Chinese words and phrases can only be understood in context. So when I hear a Chinese speak, I often have to ask in what context is that particular sound/word being used? In other words, we have to add contextual information in order to interpret the meaning of what is being said.

Western science, following the Aristolean logic, is essentially reductionist and linear, seeking cause and effect. The language enables the conceptualisation to be precise and the logic flow to be consistent. The imprecision inherent in the Chinese language means that conceptual thinking is more organic and fluid, and subject to interpretation, including guessing.

In other words, whilst natural sciences could be more precise in communication between two machines, the communication between two human beings carry a huge amount of uncertainty. The social sciences are much more qualitative because one human being cannot by definition fully comprehend the other person’s life experience, values and preferences. Uncertainty is built into the social sciences.

Modern economics dealt with this problem by assuming perfect information, which actually assumed away uncertainty. Economic models based on such perfect information and rational players (mechanical decision-making) gave rise to precise or “optimal”, first-best outcomes. The first best ideal is then thought to be a natural outcome, and life will simply revert back to equilibrium or a stable situation.

Real life is obviously not so simple. The eight trigrams mean that in binary good and bad or black and white terms, there are eight possible outcomes in any decision: good, bad and six mixtures of good/bad. The 64 hexagrams makes life even more complicated, since black and white are only two possible manifestations of any system, the rest being 62 shades of grey (mixture of black and white).

By definition, any fundamentalist view of life is more likely to be wrong, because life is mostly shades of grey.

The best games that illustrates this difference between Western and Chinese thinking are the games of chess and Go (weiqi). Chess has defined linear moves with six types of pieces. It forces one to think logically and sequentially. Go comprises only black and white pieces, but the player has to think spatially, playing the piece in any position on the board, continually trying to outguess the other player.

Without understanding these fundamental differences in language, context and decision-making under uncertainty, it would be difficult to bridge the yawning gap between both sides of the Pacific. It also means that the Chinese approach to economics and geo-politics will be quite different than is more commonly interpreted outside China.

By Andrew Sheng, Asia News Network

The writer, a Distinguished Fellow with the Asia Global Institute, writes on global issues from an Asian perspective.


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