Government & Bitcoin

[Gyfts]

Bitcoins will be hard for them to stop without shutting down the entire internet. Should a government act against bitcoin, it would drive the price through the roof.

The government of first world countries would never want their beloved currency to go to waste. They are already acting against it. They can't fully go through with it, however. It's a decentralized currency. The only possible outlet they have is putting place laws and regulation that make it harder to obtain or trade. NYC bitcoin LBC exchanges have pretty much been banned because you need a license (which is hard to obtain) in order to purchase/trade bitcoin. I wouldn't be surprised if more came.

[1714945995]

1714945995

[1714945995]

1714945995

[1714945995]

1714945995

[nerFohanzo]

No government will allow bitcoins to consider as a normal currency because all these big institutions will never allow to happen.

Thats right no country will do that, although they already adopt it and already accepting it as a payment they will not do that because it can cause of loss or shortage of their own currency and also they not do that because they more want to used their own currency than the others more on digital or virtual money.

That is true, Governments will never come in support of bitcoins as they view it as a threat to fiat currency, and if bitcoins get on the mainstream then it would be end of their corrupted activities as fiat would loose its power against bitcoins, and Government only wants to benefit themselves, they would never think about the benefits of the people of the country.

[freeyourmind]

Bitcoins will be hard for them to stop without shutting down the entire internet. Should a government act against bitcoin, it would drive the price through the roof.

The government of first world countries would never want their beloved currency to go to waste. They are already acting against it. They can't fully go through with it, however. It's a decentralized currency. The only possible outlet they have is putting place laws and regulation that make it harder to obtain or trade. NYC bitcoin LBC exchanges have pretty much been banned because you need a license (which is hard to obtain) in order to purchase/trade bitcoin. I wouldn't be surprised if more came.

I think there is a lot more difficulty in trading bitcoin with a fiat currency, as the fiat part can be tracked without too much trouble, and as long as financial institutions/banks carry out the government's will, it can make it a chore to trade.  What is very difficult to control however, would be bitcoin being used to buy and sell actual goods and services.  It is very effective at doing that, whether the government chooses to act against it or not.  In fact if they choose to be against it, then they will force bitcoin users to operate outside of the law, and that means that they won't be able to capture any tax revenue from sales.

[HarHarHar9965]

Bitcoins will be hard for them to stop without shutting down the entire internet. Should a government act against bitcoin, it would drive the price through the roof.

The government of first world countries would never want their beloved currency to go to waste. They are already acting against it. They can't fully go through with it, however. It's a decentralized currency. The only possible outlet they have is putting place laws and regulation that make it harder to obtain or trade. NYC bitcoin LBC exchanges have pretty much been banned because you need a license (which is hard to obtain) in order to purchase/trade bitcoin. I wouldn't be surprised if more came.

I think there is a lot more difficulty in trading bitcoin with a fiat currency, as the fiat part can be tracked without too much trouble, and as long as financial institutions/banks carry out the government's will, it can make it a chore to trade.  What is very difficult to control however, would be bitcoin being used to buy and sell actual goods and services.  It is very effective at doing that, whether the government chooses to act against it or not.  In fact if they choose to be against it, then they will force bitcoin users to operate outside of the law, and that means that they won't be able to capture any tax revenue from sales.

I don't think so it is as easy to track where the fiat is coming from, when you are tracking it without knowing the owner, however it might be a different case if a bank is trying to find out In order to completely get myself anonymous, I lent some btc and even earned bitcoin from scratch, paid my crypto dues, made my own money and basically I am anonymous to the world rn, don't think so I can be tracked so easily.

[botany]

Bitcoins will be hard for them to stop without shutting down the entire internet. Should a government act against bitcoin, it would drive the price through the roof.

The government of first world countries would never want their beloved currency to go to waste. They are already acting against it. They can't fully go through with it, however. It's a decentralized currency. The only possible outlet they have is putting place laws and regulation that make it harder to obtain or trade. NYC bitcoin LBC exchanges have pretty much been banned because you need a license (which is hard to obtain) in order to purchase/trade bitcoin. I wouldn't be surprised if more came.

First world or third world, governments hate letting go off power. Controlling the money supply is one way of exercising power and they would hate to surrender it. They would always view parallel currencies, including bitcoin, as rivals.

[HarHarHar9965]

Bitcoins will be hard for them to stop without shutting down the entire internet. Should a government act against bitcoin, it would drive the price through the roof.

The government of first world countries would never want their beloved currency to go to waste. They are already acting against it. They can't fully go through with it, however. It's a decentralized currency. The only possible outlet they have is putting place laws and regulation that make it harder to obtain or trade. NYC bitcoin LBC exchanges have pretty much been banned because you need a license (which is hard to obtain) in order to purchase/trade bitcoin. I wouldn't be surprised if more came.

First world or third world, governments hate letting go off power. Controlling the money supply is one way of exercising power and they would hate to surrender it. They would always view parallel currencies, including bitcoin, as rivals.

I think instead of waging a war, they would do it silently by stealing the technology behind block chain, using it to duplicate their own currency and then ban any other crypt currency, at least that's what I would do if i was a mean evil corporation controlling everything portraying that the power is in the people lying by the idea of democracy.

[Dotakels]

No government will allow bitcoins to consider as a normal currency because all these big institutions will never allow to happen.

Thats right no country will do that, although they already adopt it and already accepting it as a payment they will not do that because it can cause of loss or shortage of their own currency and also they not do that because they more want to used their own currency than the others more on digital or virtual money.

That is true, Governments will never come in support of bitcoins as they view it as a threat to fiat currency, and if bitcoins get on the mainstream then it would be end of their corrupted activities as fiat would loose its power against bitcoins, and Government only wants to benefit themselves, they would never think about the benefits of the people of the country.

Yeah thats right, they can't corrupt coins because bitcoin is a virtual money but they can create fake activities and send the coins into their own wallet. still they will be caught because of blockchain.

[avatar_kiyoshi]

No government will allow bitcoins to consider as a normal currency because all these big institutions will never allow to happen.

Thats right no country will do that, although they already adopt it and already accepting it as a payment they will not do that because it can cause of loss or shortage of their own currency and also they not do that because they more want to used their own currency than the others more on digital or virtual money.

That is true, Governments will never come in support of bitcoins as they view it as a threat to fiat currency, and if bitcoins get on the mainstream then it would be end of their corrupted activities as fiat would loose its power against bitcoins, and Government only wants to benefit themselves, they would never think about the benefits of the people of the country.

Yeah thats right, they can't corrupt coins because bitcoin is a virtual money but they can create fake activities and send the coins into their own wallet. still they will be caught because of blockchain.

With Bitcoin, the gov can't do manipulate, Bitcoin is transparant.

But i think there are the ways gov is do to refuse Bitcoin is:
- Made it illegal, it's means who do a transaction will be arrested, like bangladesh case CMIIW
- Made a regulation which the cost is high, like BitLicence
- Maybe some minions of gov hoards of Bitcoin which come from the crime, like police who hoards of bitcoin from the bitcoin crime

[freeyourmind]

Bitcoins will be hard for them to stop without shutting down the entire internet. Should a government act against bitcoin, it would drive the price through the roof.

The government of first world countries would never want their beloved currency to go to waste. They are already acting against it. They can't fully go through with it, however. It's a decentralized currency. The only possible outlet they have is putting place laws and regulation that make it harder to obtain or trade. NYC bitcoin LBC exchanges have pretty much been banned because you need a license (which is hard to obtain) in order to purchase/trade bitcoin. I wouldn't be surprised if more came.

I think there is a lot more difficulty in trading bitcoin with a fiat currency, as the fiat part can be tracked without too much trouble, and as long as financial institutions/banks carry out the government's will, it can make it a chore to trade.  What is very difficult to control however, would be bitcoin being used to buy and sell actual goods and services.  It is very effective at doing that, whether the government chooses to act against it or not.  In fact if they choose to be against it, then they will force bitcoin users to operate outside of the law, and that means that they won't be able to capture any tax revenue from sales.

I don't think so it is as easy to track where the fiat is coming from, when you are tracking it without knowing the owner, however it might be a different case if a bank is trying to find out In order to completely get myself anonymous, I lent some btc and even earned bitcoin from scratch, paid my crypto dues, made my own money and basically I am anonymous to the world rn, don't think so I can be tracked so easily.

I'm talking about trading...where you exchange fiat for bitcoin or vise versa, for profit.  You and many other people including myself have bitcoin which are off the grid from fiat, but we are not trading against fiat and it lowers the liquidity of bitcoin.  I consider this to be a barrier for bitcoin at the moment.  It should be as easy as a normal foreign exchange transaction.

[HarHarHar9965]

With Bitcoin, the gov can't do manipulate, Bitcoin is transparant.

But i think there are the ways gov is do to refuse Bitcoin is:
- Made it illegal, it's means who do a transaction will be arrested, like bangladesh case CMIIW
- Made a regulation which the cost is high, like BitLicence
- Maybe some minions of gov hoards of Bitcoin which come from the crime, like police who hoards of bitcoin from the bitcoin crime

 A pissed off government might end up doing all of the above, but I don't think any bitcoin user would worry about being arrested for making transactions as their ID will always be private, as long as they are not cashing out/trading in exchange for fiat. I don't think banning bitcoin would have an effect on bitcoin if grass root adoption takes place among people for btc, which seems very unrealistic at the moment.

[Dotakels]

No government will allow bitcoins to consider as a normal currency because all these big institutions will never allow to happen.

Thats right no country will do that, although they already adopt it and already accepting it as a payment they will not do that because it can cause of loss or shortage of their own currency and also they not do that because they more want to used their own currency than the others more on digital or virtual money.

That is true, Governments will never come in support of bitcoins as they view it as a threat to fiat currency, and if bitcoins get on the mainstream then it would be end of their corrupted activities as fiat would loose its power against bitcoins, and Government only wants to benefit themselves, they would never think about the benefits of the people of the country.

Yeah thats right, they can't corrupt coins because bitcoin is a virtual money but they can create fake activities and send the coins into their own wallet. still they will be caught because of blockchain.

With Bitcoin, the gov can't do manipulate, Bitcoin is transparant.

But i think there are the ways gov is do to refuse Bitcoin is:
- Made it illegal, it's means who do a transaction will be arrested, like bangladesh case CMIIW
- Made a regulation which the cost is high, like BitLicence
- Maybe some minions of gov hoards of Bitcoin which come from the crime, like police who hoards of bitcoin from the bitcoin crime

yeah theres so many ways that they can do so that they can have a coins without earning it in their job, but if the government is the one who corrupt or use bitcoin in a wrong way? bitcoin will bot be develop and also it will died because of these people.

[aso118]

With Bitcoin, the gov can't do manipulate, Bitcoin is transparant.

But i think there are the ways gov is do to refuse Bitcoin is:
- Made it illegal, it's means who do a transaction will be arrested, like bangladesh case CMIIW
- Made a regulation which the cost is high, like BitLicence
- Maybe some minions of gov hoards of Bitcoin which come from the crime, like police who hoards of bitcoin from the bitcoin crime

 A pissed off government might end up doing all of the above, but I don't think any bitcoin user would worry about being arrested for making transactions as their ID will always be private, as long as they are not cashing out/trading in exchange for fiat. I don't think banning bitcoin would have an effect on bitcoin if grass root adoption takes place among people for btc, which seems very unrealistic at the moment.

You don't need bitcoin adoption only among individuals.
You need bitcoin adoption among corporates as well.
And corporates try to stay on the right side of the law.

[bitcoinmasterlord]

Some Governments are thinking to regulate bitcoin exchanges to stop their use as money laundering purposes. But bitcoin is not a bank or a financial company based in one city. How would regulation apply to something that exists in the cloud?

As of now the main use for digital cryptocurrencies has been for purchasing illegal goods and services from markets in black market. So all governments wants to regulate these transactions but not clear how they will do it.

[Abiky]

I always imagined of a government that would use Bitcoin as its main (national) currency. Do you think that would be possible. I mean just think about it when you can buy and sell anything in any store in the country using Bitcoins. That would be so sweet 

[HarHarHar9965]

Some Governments are thinking to regulate bitcoin exchanges to stop their use as money laundering purposes. But bitcoin is not a bank or a financial company based in one city. How would regulation apply to something that exists in the cloud?

As of now the main use for digital cryptocurrencies has been for purchasing illegal goods and services from markets in black market. So all governments wants to regulate these transactions but not clear how they will do it.

The execution of regulating transactions isn't very hard tbh. we have a god damn public ledger recording all transactions taking place man. The reason why it can't be executed is that a govt can only track and access ID of a person who is from their own country, trying to access somebody else's ID would breach privacy and wage complications for the country. And it is impossible to determine which wallet address is owned by an individual of a particular country.

[pitham1]

Some Governments are thinking to regulate bitcoin exchanges to stop their use as money laundering purposes. But bitcoin is not a bank or a financial company based in one city. How would regulation apply to something that exists in the cloud?

As of now the main use for digital cryptocurrencies has been for purchasing illegal goods and services from markets in black market. So all governments wants to regulate these transactions but not clear how they will do it.

They just need a track of who has how much wealth. The exchanges act as an information source for them. If you exchange too many bitcoins for fiat,then the government will investigate if you have paid your taxes and all that wealth is accounted for.

[HarHarHar9965]

You don't need bitcoin adoption only among individuals.
You need bitcoin adoption among corporates as well.
And corporates try to stay on the right side of the law.

They have to stay on the right side of the law because they are answerable to the individuals and if a large amount of individuals are open to adopt a currency, it could be an exciting business scheme to offer lucrative deals to such individuals, pocketing more business as compared to their rivals in order to increase their demographics.

They just need a track of who has how much wealth. The exchanges act as an information source for them. If you exchange too many bitcoins for fiat,then the government will investigate if you have paid your taxes and all that wealth is accounted for.

I don't think that for a person who is exchanging a large amount of btc would have the lack of knowledge to know that they could be potentially tracked by the government. There is no way to determine who owns a wallet address, there could even be multiple wallet addresses by a single trader. Also, didn't really hear any government following up about taxes when the largest btc transactions took place. Check out the blockchain public ledger for the amount of those bitcoins. Interesting.

[MinerHQ]

Some Governments are thinking to regulate bitcoin exchanges to stop their use as money laundering purposes. But bitcoin is not a bank or a financial company based in one city. How would regulation apply to something that exists in the cloud?

As of now the main use for digital cryptocurrencies has been for purchasing illegal goods and services from markets in black market. So all governments wants to regulate these transactions but not clear how they will do it.

They just need a track of who has how much wealth. The exchanges act as an information source for them. If you exchange too many bitcoins for fiat,then the government will investigate if you have paid your taxes and all that wealth is accounted for.

They can just track ID but can't track who owns that account unless user provided any of his personal details for creating that wallet so it is still difficult to track.

[Quinn]

Governments have their own interests and people have their own sometimes. Governments can't risk their money-making machines at any cost. However, on a serious note, they should definitely respect people's interest.

[freeyourmind]

I always imagined of a government that would use Bitcoin as its main (national) currency. Do you think that would be possible. I mean just think about it when you can buy and sell anything in any store in the country using Bitcoins. That would be so sweet 

I'd say the chance of that happening is very low to zero.  The value of bitcoin is still very volatile, and the country would need to give up all monetary policy, so they wouldn't have the option to stimulate or contract the economy through financial manipulation.  That is a huge power that very few governments would be willing to give up.

There may come a day when you can use bitcoin in most stores, but it likely won't be the primary currency.