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MaxTax
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November 24, 2015, 03:17:26 PM |
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The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have. If it's trackable then why are all these countries banning or making bitcoin illegal? |
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owm123 (OP)
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November 24, 2015, 09:12:30 PM |
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The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have. If it's trackable then why are all these countries banning or making bitcoin illegal? It is traceable: "its pretty blib and dumb to do a lot of illegal transactions on bitcoin when it's so easily traceable" - Jeff Garzik [http://www.bitcoinisnotanonymous.com/#bitcoins-are-traceable] That's the point of this thread. Why governments are afraid of bitcoin? Bitcoin is pseduo-anonymous, not anonymous. Maybe if governments and politicians understood this, they would not have so much objections regarding bitcoin. But as other's pointed out, there are many other possible reasons for this, which are more likely. For example, governments cant just print bitcoins whenever they like. They cant collect transactions fees, etc. |
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XinXan
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November 25, 2015, 11:00:49 AM |
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The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have. If it's trackable then why are all these countries banning or making bitcoin illegal? It is traceable: "its pretty blib and dumb to do a lot of illegal transactions on bitcoin when it's so easily traceable" - Jeff Garzik [http://www.bitcoinisnotanonymous.com/#bitcoins-are-traceable] That's the point of this thread. Why governments are afraid of bitcoin? Bitcoin is pseduo-anonymous, not anonymous. Maybe if governments and politicians understood this, they would not have so much objections regarding bitcoin. But as other's pointed out, there are many other possible reasons for this, which are more likely. For example, governments cant just print bitcoins whenever they like. They cant collect transactions fees, etc. Bitcoin transactions are traceable but that doesn't mean you will be able to track down the person who is sending the bitcoins and you never will if the address is not associated to anything that could be related to that person. |
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ivan19
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November 28, 2015, 02:12:15 PM |
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it sure can become a problem since they can't place taxes on it to generate any revenue
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btc-facebook
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November 28, 2015, 02:14:49 PM |
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This kind of anonymity makes a "hole" for terorist to keep bitcoin since it's difficult to track it down who the owner of the address.
At my country, still not have a law but it's still not legal as normal payment ( means : use bitcoin with own risk )
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kyrios_
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November 28, 2015, 04:42:28 PM |
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it sure can become a problem since they can't place taxes on it to generate any revenue
Most of the fees regarding transfer of money goes to the banks... So I don't think that's a big reason |
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biggus dickus
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November 28, 2015, 06:40:36 PM
Last edit: December 25, 2015, 10:43:51 AM by biggus dickus |
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Cash is more anonymous than Bitcoin, and if you have a massive amount of either you are faced with the same problem when you want to buy something worth a fortune legitimately. If you have Bitcoins they need converting to cash, then you have to deposit your massive amount of cash into a bank before buying something worth a fortune, and the bank will want to know where it came from.
You can't buy a mansion with cash, you have to go through the bank to buy it. There are a few companies selling lambos and mansions directly for Bitcoins, but you would still have to explain where they came from after buying your lambo and mansion. How many times have criminals had their lambos and mansions taken off them because they were suspected as being bought with proceeds of crime? Their source of cash was more anonymous than Bitcoin but they couldn't explain where it came from when they were asked about it.
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XinXan
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November 29, 2015, 12:03:01 AM |
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This kind of anonymity makes a "hole" for terorist to keep bitcoin since it's difficult to track it down who the owner of the address.
At my country, still not have a law but it's still not legal as normal payment ( means : use bitcoin with own risk )
Terrorists are not using bitcoin tho and almost no criminals either since bitcoin is so volatile it wouldn't make sense for terrorists to convert 100 million dollars to bitcoin, it would be impossible and extremely risky, it's not going to happen |
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owm123 (OP)
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November 29, 2015, 12:08:50 AM |
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This kind of anonymity makes a "hole" for terorist to keep bitcoin since it's difficult to track it down who the owner of the address.
At my country, still not have a law but it's still not legal as normal payment ( means : use bitcoin with own risk )
Terrorists are not using bitcoin tho and almost no criminals either since bitcoin is so volatile it wouldn't make sense for terrorists to convert 100 million dollars to bitcoin, it would be impossible and extremely risky, it's not going to happen All darknet markets where you can hire killers, buy drugs, weapons, etc, use bitcoin. So its a main currecy supporting criminal activity in the darknets. Thus why not terrorits? Maybe not good to sent 100 milion, but then to buy guns or probably bombs, require much less money, which can be paid by bitcoin. |
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Luqman
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November 29, 2015, 12:41:50 AM |
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I'm sure the big problem for them isn't anonymity but they cant control the bitcoin. We'll know how shit government is. But for our that wants freedom bitcoin is best choices  |
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johnyj
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Beyond Imagination
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November 29, 2015, 03:23:11 AM |
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They want to be able to freeze funds, which is not possible with bitcoin. But similarly, they can not freeze the movement of cash either. So I guess eventually all the regulations for cash will be applied to bitcoin, before more strict address-based regulation is in place
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XinXan
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November 29, 2015, 12:01:53 PM |
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This kind of anonymity makes a "hole" for terorist to keep bitcoin since it's difficult to track it down who the owner of the address.
At my country, still not have a law but it's still not legal as normal payment ( means : use bitcoin with own risk )
Terrorists are not using bitcoin tho and almost no criminals either since bitcoin is so volatile it wouldn't make sense for terrorists to convert 100 million dollars to bitcoin, it would be impossible and extremely risky, it's not going to happen All darknet markets where you can hire killers, buy drugs, weapons, etc, use bitcoin. So its a main currecy supporting criminal activity in the darknets. Thus why not terrorits? Maybe not good to sent 100 milion, but then to buy guns or probably bombs, require much less money, which can be paid by bitcoin. Because terrorists have existed long before bitcoin and there is no point in switching to bitcoins, have you ever seen any news about big terrorist organizations using bitcoins? No, because they don't and never will if they can use normal currency. |
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Aswan
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November 29, 2015, 12:21:07 PM |
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I don't see it as a problem. In fact, I think it's more of a necessary feature for a currency that is not government controlled. I see financial privacy as a basic human right and I am not alone with that.
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caliboy37
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November 29, 2015, 09:18:20 PM |
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I don't see it as a problem. In fact, I think it's more of a necessary feature for a currency that is not government controlled. I see financial privacy as a basic human right and I am not alone with that.
I'm with you but financial privacy can also violated even if you think BTC is anonymous. |
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kyrios_
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December 06, 2015, 02:45:43 AM |
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They want to be able to freeze funds, which is not possible with bitcoin. But similarly, they can not freeze the movement of cash either. So I guess eventually all the regulations for cash will be applied to bitcoin, before more strict address-based regulation is in place
With cash the government can still interfere and freeze accounts. But with bitcoin it is totally not possible, so there may be reason for government to dislike it |
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cellard
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December 06, 2015, 03:02:20 AM |
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The main problem for governments is they can't tax it properly. Sure, the ledger is public and all that, but anyone that wants to can achieve a pretty decent level of anonymity. Of course it's not very user friendly and most people will not get into trouble trying to mix their coins and whatnot. In the future it will be way easier to do it so I guess governments are going to face a lot of problems controlling and taxing it even for the average joe.
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CreativeCarol
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December 30, 2015, 05:30:00 AM |
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I don't think it'll be too much of an issue but then I will notice some issues where anonymity has played a big part in criminal activity.
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yoona
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Live by your own rules
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December 30, 2015, 06:13:28 AM |
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I was just reading this article: Anonymity Recognized as Serious Problem with Bitcoin https://coinreport.net/anonymity-recognized-serious-problem-bitcoin/It says, among other things: some fear anonymity might be the issue that truly threatens bitcoin’s future
Regarding anonymity, Bernanke explained it’s a “bug” in that it allows bitcoin to be the vehicle for illicit transactions. He suspects government oversight will be a result of this, and could reduce the appeal of bitcoin and other cryptocurrencies.
I wonder why so many people worry about this? It is rather known fact that bitcoin is not anonymous, but only pseudo-anonymous ( http://www.bitcoinisnotanonymous.com/). And what will happen with Bitcoin if CT or Zerocoin or some other technology will be incorporated to bitcoin, to make it truly anonymous? If you are curious and ask why they are concerned with bitcoin anonymity, I think the answer is because they do not have sufficient knowledge about bitcoin and problems, they need time to learn if they are ready to accept bitcoin. |
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OROBTC
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December 30, 2015, 06:29:15 AM |
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My take is that the problem for most BTC users is that Bitcoin is pretty anonymous assuming the below re most users:
1) You take some care to hide your tracks (mixing coins, using wallets only once for receiving (and then sending))
2) You are not a BIG FISH (using large amounts of BTC)
3) You stay away from illegal activity like Darknet drug purchases, etc. Maybe DON'T become an loud activist either...
Governments have plenty of other things to worry about (and "Tax Donkeys" to go after) to worry about most of us.
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