Quote from: kparcell on July 22, 2011, 12:31:21 PM

Following the link you provide, I note that China has banned the use of virtual currency for the purchase of real goods, as you report, but that it also restricts the use of virtual currency to virtual goods provided by the issuer of the currency, and thus Bitcoin is effectively banned in China. You suggest that the definition of a virtual currency includes that it is backed by one issuer that can provide goods and services and that it is pegged to a specific exchange rate. Do you have a reference for that definition as a general rule, or are referring to China only and extrapolating from the link?

Thanks!

I was only extrapolating from the link. Chinese residents should read the original Chinese circular from the Ministries of Culture and Commerce in case something got distorted in the translation/summarization:

Quote from: Ministry of Culture and the Ministry of Commerce

The virtual currency, which is converted into real money at a certain exchange rate, will only be allowed to trade in virtual goods and services provided by its issuer, not real goods and services.

Edit: It may make sense to see a "virtual currency" as something like vouchers. Obviously bitcoin is distinct from that.