what happens when you have 100 Cr in a traditional broker and it goes down under. Nothing you loose it all. SEBI/NSE will have max 10lakh/15 lakh insurance and that also u will have to wait a lot...rest all is gone ..they probably will try to auction broker asset to recover but not enough and you have stand in a long line along with all others.
MFGGlobal scandal remember happened in USA one of the most regulation/protection country USA.Even after 2 years some people reported they have recovered 67% of their account.
India NSEL scam happened Lets find out how many recovered their full money and after how many years
Lets talk the facts not rhetoric.
This is absolutely inappropriate comparison.
Stocks are issued by corporations not governments, stocks have never been considered as an alternative of currencies, as well stocks are NOT meant to be exchanged against commodities, neither government says " "promise to the bearer"" to stock holders, people invest in stocks knowing the risk factors involved with that particular company.
No comparision between stocks and currencies, whatsoever.
In India, bank deposit guarantee is only upto 1lac . if you have multiple account in single bank your guarantee is still 1 lac.
First thing, banks are not going to vanish overnight, there is entire regulatory process by government and central bank is involved.
Second thing, if one is afraid of the bank then he can keep any number of amount in cash provided with
adequate legal income proof of ownership and taxes etc, NO LAW in india prohibits a citizen to hold cash of whatever amount.
Unless a country completely collapses economically their banks are not going to be bankrupt overnight.
The protection is only illusion...if anything bitcoin will force all fiat system to improve else they are gonna loose ...it is a race against bitcoin ....
Either all fiat system will fail and we move over to bitcoin
or all fiat system will improve so much that nobody will need bitcoin
This is plain rhetoric not even worthy of any comment.
btw to your original question your money at broker is not safe as it is not under your control.
This is another inappropriate comments. My friend, Brokers are regulated by exchanges who are in turn regulated by regulatory bodies under the government, they are not beyond law.
My main questions are still unanswered
- IS THERE ANY REGULATORY BODY BY ANY GOVERNMENT WHO REGULATES THE BITCOIN AND THEIR EXCHANGES?
- Or any tom, dick and harry can open a bitcoin exchange and one day vanish with hard earned money of people and no one can even trace them?
- Can we by the force of law compel someone to accept the payment in Bitcoin for exchange of something?