Quote from: BkkCoins on January 30, 2012, 03:11:33 AM

Quote from: cbeast on January 30, 2012, 03:04:17 AM

I don't see the problem with the OP scenario. I have suggested this numerous times. It simply gives tracking capability to law enforcement. It does not remove privacy and doesn't give away control of your balance. Now if you are saying that this WTF (nice) can actually control your spending, that's another story and I doubt anyone would allow any government to do that to the Bitcoin network law or no law.

If the WTF is signatory on a multi-sig transaction then that presumbly means they would exert control over each and every legal transaction. One can easily imagine they would maintain blacklists of addresses at a minimum and block transactions. With more sophistication they could go further, controlling spends based on time, total volume, economic indicators etc.

The natural result would would be forming a new blockchain without those controls and which in this context would be treated as illegal, black market transactions by the WTF.

At least they would not be able to print money. Without that privilege, governments won't be nearly as powerful and corrupt as they are now. It's still not such a bad scenario. You can always still trade gold.