The anarchists, libertarians, Objectivists, Occupiers, dreamers, schemers and delusionals who make up bitcoin’s most devoted fans are united by a vision of the future, one in which their own made-up currency will displace governments’ made-up currencies, ringing in a new era of freedom from the discredited compromises that make up the current liberal capitalist order. That one day, bitcoin will quite literally kill the banks.
Until that day, however, bitcoin quite literally relies on banks. That’s because bitcoins aren’t good for anything, except the occasional slice of pizza, ounce of cocaine or illicit assault rifle, unless they’re first converted into their nemesis, the hated fiat currencies that 99.99999999999999999% of the world still insists on when getting paid. And right now, the banks are not cooperating with their eventual conqueror.
Hong Kong-based Bitfinex, the largest cryptocurrency exchange by market share, said last week its customers couldn’t withdraw or deposit any currencies because the Taiwanese banks that handle its transactions were blocking all requests. OKCoin International, the Hong Kong-based arm of one of China’s biggest bitcoin exchanges, and BTC-e have warned users of disruptions in U.S.-dollar transactions….
Other cryptocurrency exchanges have reported disruptions in recent weeks. OKCoin International said on its website on April 18 that it would temporarily suspend deposits in U.S. dollars because of unspecified “issues with intermediary banks.” It said it was seeking alternatives to resume usual service.