REASONS OF ILLEGALIZING BITCOIN

[goaldigger]

I am sick and tired seeing thread here on legal about the reasons why bitcoin is illegal on other countries. Its about a hundred same topics. So here are my assumptions hope this would help.

*TAXES
- I think its the main reason of all these. Government didnt know how to categorize bitcoin for their taxation whether it would be on a passive income or not because BTC is also a currency. Thats why its better for them to ban it.

*BANKS
- Crypto becomes a threat to them leading investors to invest on cryptocurrencies rather than them. The monetary system also will change if Bitcoin becomes more popular than fiat. Central banks, which is a part of the government would make some inforcements to stop this.

*SCAMMERS
- This is the good side of all this illegalizations, to protect people from increasing number of scammers on the internet. But if that so, its not a reason why they would stop people from achieving all opportunities bitcoin would give.

Correct me if im wrong, but these three are the main reasons why i think bitcoin is illegal on other countries

[jseverson]

It really depends on the country. By taking a look at this page:

https://en.wikipedia.org/wiki/Legality_of_bitcoin_by_country_or_territory

...you'll be able to see countries that have banned Bitcoin and why. Majority of them don't have any reasons cited, but here are a few that have theirs mentioned:

Ecuador - they have an electronic money system
Bangladesh - money laundering concerns
Macedonia - they think it's risky and speculative
Others simply ban using them as payment for transactions.

There's likely no single prevalent issue, but rather a combination of these reasons cited among other things.

[St4yInTh3D4rk]

I am sick and tired seeing thread here on legal about the reasons why bitcoin is illegal on other countries. Its about a hundred same topics. So here are my assumptions hope this would help.

*TAXES
- I think its the main reason of all these. Government didnt know how to categorize bitcoin for their taxation whether it would be on a passive income or not because BTC is also a currency. Thats why its better for them to ban it.

*BANKS
- Crypto becomes a threat to them leading investors to invest on cryptocurrencies rather than them. The monetary system also will change if Bitcoin becomes more popular than fiat. Central banks, which is a part of the government would make some inforcements to stop this.

*SCAMMERS
- This is the good side of all this illegalizations, to protect people from increasing number of scammers on the internet. But if that so, its not a reason why they would stop people from achieving all opportunities bitcoin would give.

Correct me if im wrong, but these three are the main reasons why i think bitcoin is illegal on other countries

Simply they want to save their country from economical crisis,if the bitcoin got popular then the fiat use will reduce so it means taxes for the governments are also reduce.But they better regulate it than making it illegalizing then it will save the government from tax problems and also citizens of their country can get benefited.

[creeps]

Most of the countries have their own explanation why they tagged bitcoin as illegal. There’s a lot of reason for sure but we must remain positive despite of the pressure that government and even banks gives to cryptomarket. Illegal in some places but for their people its a good opportunity that they should not missed.

[crzy]

In addition to this, I think Personal Interest can also be a reason why bitcoin becomes illegal. A lot of big personalities are making negative comment to cryptocurrency just to protect its company. We all know how good cryptocurrency is, and for sure even government know this thing but they are just afraid because its hard for them to collect taxes from this kind of technology.

[marcbitcoins]

I am sick and tired seeing thread here on legal about the reasons why bitcoin is illegal on other countries. Its about a hundred same topics. So here are my assumptions hope this would help.

*TAXES
- I think its the main reason of all these. Government didnt know how to categorize bitcoin for their taxation whether it would be on a passive income or not because BTC is also a currency. Thats why its better for them to ban it.

*BANKS
- Crypto becomes a threat to them leading investors to invest on cryptocurrencies rather than them. The monetary system also will change if Bitcoin becomes more popular than fiat. Central banks, which is a part of the government would make some inforcements to stop this.

*SCAMMERS
- This is the good side of all this illegalizations, to protect people from increasing number of scammers on the internet. But if that so, its not a reason why they would stop people from achieving all opportunities bitcoin would give.

Correct me if im wrong, but these three are the main reasons why i think bitcoin is illegal on other countries

In addition, not only scammers but some of these countries are close minded that Bitcoin shall be ban because it can be use in illegal activities by most of the bad people in which it my put their nation and welfare of the people at risk. They banning it without considering that their is regulation in order to prevent Bitcoin to be use in illegal means and to ensure that Bitcoin will be use in prosperity of every nation thru tax and reduction of unemployment.

[CryptoBry]

There are countries that banned Bitcoin and cryptocurrency in general all because they have a hard time understanding the whole thing and what they heard and viewed about Bitcoin is limited to the negative side and of course the fact that Bitcoin is something no country can completely control. What we are hoping is that countries that recognized Bitcoin can get benefited by this development and those that banned will realize that they let a good opportunity passed so that later on these countries will also be joining the bandwagon.

[qwertyup23]

There are countries that banned Bitcoin and cryptocurrency in general all because they have a hard time understanding the whole thing and what they heard and viewed about Bitcoin is limited to the negative side and of course the fact that Bitcoin is something no country can completely control. What we are hoping is that countries that recognized Bitcoin can get benefited by this development and those that banned will realize that they let a good opportunity passed so that later on these countries will also be joining the bandwagon.

Well learning from the history, bitcoin was used as an avenue/gateway towards acquiring illegal goods under the dark web due to its decentralised nature- which cannot be regulated and controlled by the government. Due to this, crime rates increased and drug cartels became prominent in the society. Though this is only one aspect of it, another problem brought about its decentralised nature is the imposition of taxes. Since the government cannot impose tax on something that they cannot regulate/control, this leads to other countries prohibiting/banning its utilisation on the market.

[samcrypto]

There are countries that banned Bitcoin and cryptocurrency in general all because they have a hard time understanding the whole thing and what they heard and viewed about Bitcoin is limited to the negative side and of course the fact that Bitcoin is something no country can completely control. What we are hoping is that countries that recognized Bitcoin can get benefited by this development and those that banned will realize that they let a good opportunity passed so that later on these countries will also be joining the bandwagon.

I don’t believe government doesn’t understand cryptocurrency, of course they knew this thing and some of those are just afraid because they cannot control this market. Well, I see a good thing during G20 Summit and those countries still have time until July to give some insight about this thing, let’s all hope for good.

[Palmerson]

Taxes are definitely not the reason for banning bitcoin. In order to buy bitcoin you have to earn Fiat. If you did that the state has already lost taxes and bitcoin is not to blame. Children and the Internet is not an economic topic at all and it can only be viewed as an attempt to legally justify claims to bitcoin. But the banks really bitcoin prevents.

[Harlot]

I am sick and tired seeing thread here on legal about the reasons why bitcoin is illegal on other countries. Its about a hundred same topics. So here are my assumptions hope this would help.

*TAXES
- I think its the main reason of all these. Government didnt know how to categorize bitcoin for their taxation whether it would be on a passive income or not because BTC is also a currency. Thats why its better for them to ban it.

It wouldn't matter if it comes from passive income (Mining) or you earned it by work or commission, it would still be classified as income and is taxable through it.

*BANKS
- Crypto becomes a threat to them leading investors to invest on cryptocurrencies rather than them. The monetary system also will change if Bitcoin becomes more popular than fiat. Central banks, which is a part of the government would make some inforcements to stop this.

I don't think this is an issue, if the government is simply banning Bitcoin and other cryptocurrencies because of this reason they are simply favoring one kind of business and is violating the equal protection of the laws through all of their citizens.

*SCAMMERS
- This is the good side of all this illegalizations, to protect people from increasing number of scammers on the internet. But if that so, its not a reason why they would stop people from achieving all opportunities bitcoin would give.

Another wrong reason of some politicians whey they related crimes with Bitcoin, again this is not Bitcoin's fault as criminals are taking advantage of it existing virtually and being anonymous.

[btc-facebook]

Bitcoin become advantage for corruptor because they can cover their transaction trace.
Let's imagine they are using mixer, it's become far more difficult to trace !

Bitcoin also cause inflation especially when my currency are weak against dollar ( since bitcoin also based on $ )

[Coffee135]

Bitcoin become advantage for corruptor because they can cover their transaction trace.
Let's imagine they are using mixer, it's become far more difficult to trace !

Bitcoin also cause inflation especially when my currency are weak against dollar ( since bitcoin also based on $ )

Bitcoin has only been around for 8 years. Do you want to say that there was no corruption in your country before the appearance of bitcoin? Lol. The most convenient form for bribes is Fiat. But bribe takers also know how to use non-cash money. What prevents them from using bitcoin? Corrupt officials should be caught by special law enforcement agencies. It is their job to prevent the transfer of money in any form.

[richardsNY]

We all know how good cryptocurrency is, and for sure even government know this thing but they are just afraid because its hard for them to collect taxes from this kind of technology.

It's not difficult at all for the government to make people pay their due taxes. The only thing they need to do is force exchanges to hand them over user information, which has already been happening. Coinbase functions as example of what we will be going through in the coming years -- if people don't declare their taxes themselves, the government will make them pay it. Funny thing is that Coinbase wanted to make everyone believe that they booked a victory by 'just' sending the data of 13,000 users to the IRS. It's firstly not a victory at all, but a severe loss, but secondly, the 13,000 users they snitched on, were the largest account holders.

[Hamphser]

We all know how good cryptocurrency is, and for sure even government know this thing but they are just afraid because its hard for them to collect taxes from this kind of technology.

It's not difficult at all for the government to make people pay their due taxes. The only thing they need to do is force exchanges to hand them over user information, which has already been happening. Coinbase functions as example of what we will be going through in the coming years -- if people don't declare their taxes themselves, the government will make them pay it. Funny thing is that Coinbase wanted to make everyone believe that they booked a victory by 'just' sending the data of 13,000 users to the IRS. It's firstly not a victory at all, but a severe loss, but secondly, the 13,000 users they snitched on, were the largest account holders.

Normal thing that they would focused or pinpointing out those largest account holders since they do able to get some nasty tax on it.I have the same perceptions that we are really heading on that way.Regulation would really require such thing when tax is being implemented then exchanges and other similar services or institutions would really need to comply on whats being asked.

[darkangel11]

Most of you seem to be thinking that the government wants to save, protect, work for the benefit of the community. These might be the principles of some single politicians, but government as a whole is the oppressor. It only cares about 2 things: power and money, and it will do whatever it is in its power and spend all the money to remain in its place.
They care about your well being only to some extent, because they have to. You're their milk cows. But they won't be afraid to slay a cow or two if it keeps the rest in line.

[Baoo]

Honestly, the main reason for the non-recognition of Bitcoin is the fear of cryptocurrencies in general, because they cannot control the transaction of money and  bitcoin is digital currency , and unfortunately, the governments believe that Bitcoin is used especially in prohibited things, such as, drugs, arms trade...So they are afraid of the spread of these harmful uses on the society.

In addition to that, If the governments will find a solution to these problems and particularly if they will control the transactions of money and then there will be a collective recognition of many countries in bitcoin and other currencies, and I think this will be achieved in the near future.

[ntbajala]

Most of the countries have their own explanation why they tagged bitcoin as illegal.Simply they want to save their country from economical crisis,if the bitcoin got popular then the fiat use will reduce so it means taxes for the governments are also reduce.

[bhadz]

That might be the reasons why countries are banning bitcoin and making it illegal. But you must not forget that the major reason why bitcoin is categorized by some countries as an illegal currency because it is/can be used for illegal activities, funding terrorist not only scamming but you can also categorized it with "scamming" and as well as money laundering. Overall your list is the summary of the reasons why still there are some that doesn't fully trust bitcoin, they are only looking at one-side.

[Rajamuda]

And anyhow from the characteristics of bitcoin itself, it still raises concerns for the country, as well as its existence which only exist in cyberspace. This can make the country lack/difficult to protect a various activities that are done related to bitcoin/crypto. Well.. in this world certainly not only good people who live, there are still evil people who abuse these advantages for a more negative purposes.