Why do some government ban bitcoin?

[Rooster101]

Government can't effectively ban bitcoin or any cryptocurrencies because it is difficult to enforce and exchanges would go underground instead. Governments use to control currencies and uses their central banks to issue and destroy money and they have their own monetary policy to exert economic influence. Because it is centralized, they controls all functions and uses of fiat including tax collection and monitoring illegal use of currency like money laundering. Cryptocurrencies are opposite of government because they are decentralized which means no one controls them and banks are no longer needed for this kind currency. Government don't like the idea of decentralized currency and some considers that cryptocurrencies are not a currency with legal tender status in any jurisdiction.

[Marrying_Couch]

Perhaps one factor that affects a country forbidding bitcoin is that a country does not impose a tax on bitcoin, so there is no additional income to the country. Hopefully the future in all countries can legalize bitcoin.

[Crowdsale.network]

Governments ban Bitcoin because they are concerned about taxation and their lack of control over the currency.

[hitrawal91]

China-based cryptocurrency exchange BTCC suspended all domestic trading in yuan last weekend. The decision came on the heels of a September 5 statement from regulatory authorities in China, which required all domestic cryptocurrency exchanges publish closing announcements, stop registering new users, and establish a schedule to cease yuan-denominated trading by September 15. Huobi and OKCoin — two other exchanges based in China — have announced similar plans to stop trading. To be clear: China has not banned the use of cryptocurrencies. It has banned cryptocurrency exchanges and initial coin offerings (ICOs). Even still, it has prompted some to consider whether a government might ban cryptocurrencies like bitcoin — and, perhaps more importantly, whether such a ban would be effective

I don't think the banning of the cryptocurrencies would be more effective and the best option i think we should be applying is that we better make some ways to manage those crypto coins because crypto coins cannot be banned suddenly and also banning cannot give you ways to stop the bitcoin trading in your country. For complete ban, you need to stop the internet around your country which is not possible and so you better make some way to manage them with tighter security.

[dommerty]

Government - is the power and control. Everything new is always perceived by people as a threat. Bitcoins are difficult to control, more precisely, almost impossible. It is very difficult to track payments. According to the Central Bank, the anonymity of the bitcoin system makes it a convenient tool for money laundering and terrorist financing. It's easier to forbid something and block it than to adapt to the new one.

[andregunawan1]

many influences from chinese countries but many countries support bitcoin investments :
Japan
Japan in April 2017 began receiving Bitcoin as the legal currency. Then the electronic retail giant, Bic Camera accepts payments using Bitcoin one week after the cryptocurrency is passed.

Quoting CNBC, Bitcoin's trading using the Japanese yen is the second most liquid after the United States dollar (US). It was mentioned by a trading platform of Gatecoin cryptocurrency.

"The act of legalizing the Virtual Currency in Japan has the potential to have a big impact, because there have been many rumors about Bitcoin's endorsement," Gatecoin Founder and CEO Aurélien Menant said as quoted by CNBC, Friday (8/9/2017).

United States of America
The US is the number of countries that use the highest cryptocurrency in the world. Citing bitcoin.com is reflected in the high trading volume of Bitcoin.

The high volume of trading occurs due to the support of Silicon Valley which is home to thousands of start-up [Suspicious link removed]panies. The US also has the largest number of Bitcoin ATM machines in the world. The country has always been a leader in digital money.

Denmark
Not only become the most technologically advanced country. Denmark is also the most vigorous country in encouraging the elimination of cash and using digital currency.

Although friendly against the use of Bitcoin, the Danish financial authorities belim recognize Bitcoin as the official currency. But Bitcoin remains usable, because Denmark is home to a number of cryptocurrencies.

South Korea
South Korea today can be regarded as the world's largest technology producers call it very famous products such as Samsung and LG.

The country has the highest smartphone penetration and mobile payment rates in the world, not surprisingly South Korea is rapidly embracing Bitcoin as both an investment and payments or money changers.

Citing bitcoin.com, Bitcoin services are considered safe by using Korbit. In South Korea, people can also buy Bitcoin at 7-Eleven outlets all over Korael.

The country has also hosted a regular Bitcoin conference and has created a friendly climate for the Bitcoin user community.

Finland
Like its neighbor Scandinavia, Finland is also one of the leading countries in terms of technology. The country has also exempted taxes for the purchase of Bitcoin.

Finland already has a very large number of ATMs to meet the needs of the country. From the coinATMradar this country is the most Bitcoin exchange place.

In January 2016, Bitcoin was used to buy a Tesla S series car for € 140,000.

[cold cool]

Because many countries feel that BTC is what makes investors lose money, they fear that their people will lose their money.

[wpc143]

China-based cryptocurrency exchange BTCC suspended all domestic trading in yuan last weekend. The decision came on the heels of a September 5 statement from regulatory authorities in China, which required all domestic cryptocurrency exchanges publish closing announcements, stop registering new users, and establish a schedule to cease yuan-denominated trading by September 15. Huobi and OKCoin — two other exchanges based in China — have announced similar plans to stop trading. To be clear: China has not banned the use of cryptocurrencies. It has banned cryptocurrency exchanges and initial coin offerings (ICOs). Even still, it has prompted some to consider whether a government might ban cryptocurrencies like bitcoin — and, perhaps more importantly, whether such a ban would be effective

In my own opinion, many country whose government are banning bitcoin or even all cryptocurrencies because they are against it, the government can't earn from people who are earning in bitcoin because bitcoin has no tax.

[gordeevaverona]

I think that the infrastructure does not allow them to participate in the development of their currencies and make bitcoin a multifunctional digital currency definitively its own.

[DreezHoly]

 Most governments consider Btc a threat to their economic growth,  the independence of BTC from regulatory institutions means that it cant be taxed, thus denying most government income tax returns

[malah]

I think the government has decided to ban the use of bitcoin in a country because they fear bitcoin will be used for crime and fluctuating bitcoin prices can cause harm so the government takes action to ban the use and circulation of bitcoin

[xraisers]

This could be as a result of the fact that At the moment, governments of all countries are not able to track transactions made with the help of crypto currency. Hence, there are other reasons. Mining requires a lot of energy, at the same time, there is no legislative base that regulates energy consumption, taxation. And, of course, this is an excellent opportunity for terrorists and scammers to commit their dirty deeds, which is unacceptable.

[Boysen]

We see news of a number of countries illegalizing the use of bitcoin in their territory, what could be their motives for exercising such bold yet devastating attempt? It is mainly be ause of the lack of knowledge over bitcoin. They aren't that knowledgeable with bitcoin's internal functions and they might've  wven read bitcoin news and articles from news sources that are biased or doesn't really reflect what the graphs say.

[Harrisonimo]

Government as it were are a set of body putting the affairs of a country under their control. The major reason why the ain't happy with the Bitcoin is because it can't be controlled; decentralized. Hence the government ban on Bitcoin as they dont have control over it and it is somewhat making the citizens to be at liberty without the government's interference.

[icomap24]

Today I have written the Reserve Bank of India has a circular stating that all bodies operating under the purview of the RBI should stop any kind of operations with cryptocurrency players like wallets and exchanges.

[total.room]

Ada kemungkinan kepemerintahan melarang bitcoint,karna pemerintah mengganggap bitcoint itu akan menghancurkan masa depan warganya

[MallyVogue]

Simple, China wants to ban bitcoin because they want to be in control. They want to replace USA and be the dominant country. And since Bitcoin is decentralized, they cant control it. For example, the islands that they are stealing are not even near their country. I mean if you will just use your eyes and check the world map why would China even try to get these islands far away from them. They are hungry for power and that's why they ban Bitcoins, they can't control it.

[Bugcoin5]

China-based cryptocurrency exchange BTCC suspended all domestic trading in yuan last weekend. The decision came on the heels of a September 5 statement from regulatory authorities in China, which required all domestic cryptocurrency exchanges publish closing announcements, stop registering new users, and establish a schedule to cease yuan-denominated trading by September 15. Huobi and OKCoin — two other exchanges based in China — have announced similar plans to stop trading. To be clear: China has not banned the use of cryptocurrencies. It has banned cryptocurrency exchanges and initial coin offerings (ICOs). Even still, it has prompted some to consider whether a government might ban cryptocurrencies like bitcoin — and, perhaps more importantly, whether such a ban would be effective

Because they can use for illegal activities that is anonymity of transactions makes Bitcoin a good ally of criminals and could be used for drug trafficking, prostitution, terrorism, money laundering, tax evasion and other illegal and activities.

[qtronix]

Bitcoin is a decentralized currency, which means that the government cannot control it and exert any influence. And they don't want to allow on its territory, something that cannot be controlled.

[Harrow30]

The basic summary of governments banning bitcoin is to guard against its citizens from being swindled. Also, because the government doesn't have a full control of the Bitcoin/Cryptocurrency system yet. From my view of what my country's government hold is that they are not fully aware of its full potential, hence they are not that decisive of a ban or not.