Why Cryptocurrency threatens governments

[HarmonyA]

Over the years cryptocurrency  has evolved into a global currency but governments are trying to sweep it's relevancy under the carpet. We all know that the eyes of the community are now opened to the importance and blockchain technology.

What baffles me is why are the government making lives difficult by banning or limiting it's use? Is it because it threatens the political power or are they scared it will improve the global economy or force the traditional banks to reduce their ridiculous interests rate which we have been robbed of for decades now.

What is your take on this and what do you think will make governmental bodies to finally accept crypto?

Cryptocurrency is seen as a threat to government because it is decentralized, permissionless.

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[Karmakid]

As of now, it seems that the cryptocurrency threatens the government but in fact, the government threatens the cryptocurrencies around. Even there are tons of projects and ideas related to cryptocurrencies, as long as the government doesn't give permission to them then it will be a waste of time for the team of cryptocurrencies. Cryptocurrencies still fall under the government.

[drlukacs]

Over the years cryptocurrency  has evolved into a global currency but governments are trying to sweep it's relevancy under the carpet. We all know that the eyes of the community are now opened to the importance and blockchain technology.

What baffles me is why are the government making lives difficult by banning or limiting it's use? Is it because it threatens the political power or are they scared it will improve the global economy or force the traditional banks to reduce their ridiculous interests rate which we have been robbed of for decades now.

What is your take on this and what do you think will make governmental bodies to finally accept crypto?

Yes, it will certainly threaten a country's economy and will even affect the world if a major country collapses like China or the United States. let me explain this, you have a chain of stores selling items and paying with cryptocurrency. All revenue must return to your wallet after 1 month or 1 year of operation. but if the employee there is dishonest and starts taking money from the store to use and you can not control the chain of retail stores. If it happens often, do you think your business will last forever? This is like the government is facing crypto. they cannot control this kind of technology and they are afraid that people will evade taxes and money laundering in many ways. Those are the indirect steps that make the country collapse.

[mamahdedeh]

As of now, it seems that the cryptocurrency threatens the government but in fact, the government threatens the cryptocurrencies around. Even there are tons of projects and ideas related to cryptocurrencies, as long as the government doesn't give permission to them then it will be a waste of time for the team of cryptocurrencies. Cryptocurrencies still fall under the government.

many governments are not ready to use cryptocurrency because every country has different problems. so that many governments are not ready to face cryptocurrency, on the other hand the government is not compatible with the decentralized system

[bettercrypto]

As of now, it seems that the cryptocurrency threatens the government but in fact, the government threatens the cryptocurrencies around. Even there are tons of projects and ideas related to cryptocurrencies, as long as the government doesn't give permission to them then it will be a waste of time for the team of cryptocurrencies. Cryptocurrencies still fall under the government.

many governments are not ready to use cryptocurrency because every country has different problems. so that many governments are not ready to face cryptocurrency, on the other hand the government is not compatible with the decentralized system

It is not about the readiness of the government. Rather it is a awareness of the government that it may inflict harm in every citizen of their country as well as the changes that their economy might suffer if ever there is a failure in cryptocurrency industry. That is what countries that banned bitcoin saying. But the truth is, they don't want decentralisation and transparency for the citizen to live with full of regulation and manipulation.

[criza]

Over the years cryptocurrency  has evolved into a global currency but governments are trying to sweep it's relevancy under the carpet. We all know that the eyes of the community are now opened to the importance and blockchain technology.

What baffles me is why are the government making lives difficult by banning or limiting it's use? Is it because it threatens the political power or are they scared it will improve the global economy or force the traditional banks to reduce their ridiculous interests rate which we have been robbed of for decades now.

What is your take on this and what do you think will make governmental bodies to finally accept crypto?

More competition on the management and uses of crypto currency means more choices for the people and freedom to choose what they want to use. The capability of crypto currency users would be mostly limitless ans will lead to the decrease in the customers of banks and other financial organization.

[shoreno]

As of now, it seems that the cryptocurrency threatens the government but in fact, the government threatens the cryptocurrencies around. Even there are tons of projects and ideas related to cryptocurrencies, as long as the government doesn't give permission to them then it will be a waste of time for the team of cryptocurrencies. Cryptocurrencies still fall under the government.

many governments are not ready to use cryptocurrency because every country has different problems. so that many governments are not ready to face cryptocurrency, on the other hand the government is not compatible with the decentralized system

It is not about the readiness of the government. Rather it is a awareness of the government that it may inflict harm in every citizen of their country as well as the changes that their economy might suffer if ever there is a failure in cryptocurrency industry. That is what countries that banned bitcoin saying. But the truth is, they don't want decentralisation and transparency for the citizen to live with full of regulation and manipulation.

readiness is important more that awareness because its useless if they are aware but if they arent ready to accept cryptos yet  because like what other comentors said , what if the government of these countries still have a problem and that problem is hard  ? if you are on thier position would you like to prioritize cryptos first  ? no right  . but its better if you sort harder problems yet so that you can have a peace of mind and of foccus on other non important stuffs . 

[keeee]

Crypto is another terrorist that has terrorize all governments. If crypto adoption becomes a reality then the government will be only spectator in the financial affairs of the country since they don't have any control. Still wanna know why government don’t like it?

Well Thats one of the main reason why government doesnt want to adopt cryptocurrency.  They know that they cant control it which can affect the economy of one country once the price of it change. 

[Negotiation]

I think we can make a lot of money easily from cryptocurrency, and cryptocurrency threatens the government because there are no taxes or taxes. We can work here very freely and the government has no interference Again there are many who use crypto illegally as a threat to the government.

[KrisAlex18]

I think the government doesn't like anything that can't be controlled. No one can regulate cryptocurrencies and free movement has no restrictions. While the government is always authoritarian, it always controls the central bank's circulation of currency. And most governments oppose cryptocurrency because crypto is anonymous and can also be used as a money laundering method for illegal transactions. We also believe that national money may be threatened by cryptocurrencies.

The fact that cryptocurrencies oppose the government in centralized system already says that it will become an enemy to them. Just think if you are the government by yourself, would you let anything to circulate under your hands without having control to it? of course you would not. As crypto is using blockchain that offers unalterable data storing is not a thing for corrupt government.

[Arkann]

I think the government doesn't like anything that can't be controlled. No one can regulate cryptocurrencies and free movement has no restrictions. While the government is always authoritarian, it always controls the central bank's circulation of currency. And most governments oppose cryptocurrency because crypto is anonymous and can also be used as a money laundering method for illegal transactions. We also believe that national money may be threatened by cryptocurrencies.

The fact that cryptocurrencies oppose the government in centralized system already says that it will become an enemy to them. Just think if you are the government by yourself, would you let anything to circulate under your hands without having control to it? of course you would not. As crypto is using blockchain that offers unalterable data storing is not a thing for corrupt government.

In any case, no government will avoid the legalization of cryptocurrency, because this brand will develop quite actively.  Of course, every government is accustomed to control everything and get the corresponding benefit from this, but with respect to cryptocurrency, they will be able to tax cryptocurrency exchanges according to certain laws, but users who only store cryptocurrency assets will remain anonymous anyway and governments will have to put up with this.  they will have to be satisfied only with the control of the cryptocurrency turnover and nothing more.

[FLoving]

Crypto is another terrorist that has terrorize all governments. If crypto adoption becomes a reality then the government will be only spectator in the financial affairs of the country since they don't have any control. Still wanna know why government don’t like it?

Crypto is not a terrorist for the governments but it is a great tool for the success of any state if the governments will study about crypto then they will realize that the adoption of crypto will give more strength to their economy and will boost their development. Some people think that crypto will be harm for the governments because the governments do not know the reality of crypto and they admit that it is harmful for them but in actual the condition is opposite to it. I will give them the example of Japan who have legalized bitcoin for their state and till now they are using it on state level and they faced not any harm from bitcoin but they are much faster on the road of development from other countries.

[ololajulo]

The latest threat of bitcoin rally to the community could be inflation. when it looks like money in circulation by high number of holders in a community at bullrun is high. The last bullrun led a lot of holders to purchase cars, electronics, travel and some other extravagant lifestyle. It could be threat to the politicians and economy. It is now important for some country citizens to manage the fund at rally and prepare for tax payment, as Government plans to take their cut.

[SummerBliss]

Cryptocurrency puts the whole monetary system in jeopardy which is being highly controlled by government and banks. But if you talk in numbers. The crypto market cap isn't that big that banks or government would care much at this stage. Decentralized currency could be a threat to these banks but not in its present form. It will have to go a long way to actually replace the present monetary ecosystem if possible. I guess these central authorities will take measures to curb the rise of cryptocurrency by then.

[Kevondo]

I think the government doesn't like anything that can't be controlled. No one can regulate cryptocurrencies and free movement has no restrictions. While the government is always authoritarian, it always controls the central bank's circulation of currency. And most governments oppose cryptocurrency because crypto is anonymous and can also be used as a money laundering method for illegal transactions. We also believe that national money may be threatened by cryptocurrencies.

The fact that cryptocurrencies oppose the government in centralized system already says that it will become an enemy to them. Just think if you are the government by yourself, would you let anything to circulate under your hands without having control to it? of course you would not. As crypto is using blockchain that offers unalterable data storing is not a thing for corrupt government.

Crypto is always a threat to the legal bodies that are supposed to control the economic plans of a country. Cryptocurrencies are not to be bound to any specific nation and hence they are not eligible to be used in the local market within the state boundaries. Moreover it is easy to utilize these forms of money in transactions that are free from getting tracked by the state authorities. These reasons are solely responsible for crypto being threat to legality of states.

[ice098]

As of now, it seems that the cryptocurrency threatens the government but in fact, the government threatens the cryptocurrencies around. Even there are tons of projects and ideas related to cryptocurrencies, as long as the government doesn't give permission to them then it will be a waste of time for the team of cryptocurrencies. Cryptocurrencies still fall under the government.

Very well said. Both cryptocurrency and the government threatens each other because what you have said, government threatens cryptocurrency because cryptocurrency is still under the government's hands, if they dont legalize and give crypto team any permission they cannot take any action while cryptocurrency threatens also the government because if they legalize these currencies in the future, most of the government employees cant  do easy their hidden agendas anymore like corrupting and importing their fellow citizen's money into their own bank accounts.

[trickshot22]

Just because cryptocurrency is a global currency in which anyone around the world can use it when all people start using cryptocurrency, the government will be afraid of it because they can't control crypto. Even the banks can't control it, so maybe the main reason the government is afraid of it. They're going to lose world bank power and so on. Problem about it is that in this space they're powerless.

[STT]

Crypto is no more a threat to government or any nation then the people themselves.    The greatest asset any nation has is their people and so it follows anything which enables those people to be as productive as possible is what enriches that nation.
  What can go wrong in that relationship is the nation perhaps with great commodity assets where an economy is lopsided or biased then people do not always get respected and allowed to be fully enterprising or it can happen anyway.    When the system is failing perhaps crypto could be seen as negative but otherwise its just a tool to enable business.    Countries with capital controls will not appreciate the free flow of capital that BTC might bring but no country should operate long term with restriction of free movement of capital.

[princesspoppy]

The opportunities cryptos offer to people to earn money, to have full access to their assets without relying to any third party that the government can control, and the taxation that should be paid by people to their government that is somehow lessen because people are earning from cryptos that the government can't have access with are some of the reasons why government are threathened by  cryptocurrencies.

[Forbiddenone]

it doesn't threaten them in my opinion as i am sure that many big authority have investment in crypto, the reason behind opposition is that the money control will be snatched from them and they will two major issue:
1)They can not manipulate the budget as transaction will become transparent.
2)As fraud/scam will increased and they will have minimum control over them.