Why Cryptocurrency threatens governments

[BennyK]

The governments seeks power in order to take absolute control and certain decisions for the people especially on financial matters. Cryptocurrency especially Bitcoin, offers financial freedom to the people due to its decentralized nature. The people become masters of their own financial transactions without any authoritative third party interferences. The power is given back to the people through crypto decentralization.

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[patarfweefwee]

It threatens them because for one thing crypro currency is decentralized, meaning no one entity can manipulate it meaning they can't mask their weakness on beefing uo their currency and backing it up with weak portfolio to encourage investors. They are threatened by crypro currency because it is transparent and wouldn't hide their illegal dealings.

[bebekangsoo]

if bitcoin becomes adaptive and popular then fiat will experience a decline in interest and the majority of users switch to using bitcoin. various things that happen to conventional banks will end very quickly and the government will experience difficulties in determining taxes in the applicable law.

there are many things that the government is worried about, but it seems they still cannot make the right rules, while the use of crypto continues to grow every day.

[bce]

Fiat currency its a currency that a government has a control while crypto can not be manipulate and can not be created out of thin air.  If people adopt a crypto currency then the fiat currency price will plummet. Its one of the reason why government impose a stricter rules in cryptocurrency.

maybe what is needed in the future is not to overthrow and harm one of the parties to work together to get a positive benefit from each other to monitor each other rather than giving each other a threat that is my mind

[yunzau]

Yes, it can be threatening because crypto does not have a centralized server and universal public spread. So there is no control from a third party or government.

[kokobaba880]

Governments of several countries are against of crypto because they want to not allow crypto in their territory and many of the crypto coins are growing day by day so people of those countries are using it for payments and other transaction it is decentralized so it is free from governments,

[BagzMM]

In my opinion, maybe it is because they cannot control cryptocurrency. It has a decentralized transactions it is not subject for taxation.

[princeyeboah]

Crypto threatens the governments because crypto is decentralized which eliminates the power of any third party including the governments in its transactions. The power is giving back to the people and this scares the governments.

[mornabo]

Cryptocurrency takes a small percentage of the world economy so I do not think that it threatens the government of the world at least in the near future !

For now the effect will not be too large because the total of users is still small, but the spread of bitcoin continues to occur if the user covers almost all people on earth then the percentage of influence on the economy would be very large, thats why the government tries to stop it

[ChristinaPi]

Actually, we have to say that cryptocurrency threaten to banks but banks was supported by the government, as a result, cryptocurrency threaten to the govenrment. Nowadays, people tend to use cryptocurrency transaction rather than banks transaction because of crypto transaction is much cheaper and more convenient

[bangkit tri]

Crypto threatens the governments because crypto is decentralized which eliminates the power of any third party including the governments in its transactions. The power is giving back to the people and this scares the governments.

of course this makes the government lose its role, because of decentralization. therefore government must find right policy so as not to disturb existing system, so that it is not economically harmful

[maydna]

I only think that the government is not ready to accept the existing of cryptocurrency. But I don't think that the government banning or forbid or limiting it's used because I see that many governments give a statement that bitcoin is legal in their country. Perhaps, they need more time to realize and fully accept cryptocurrency after they make a research about cryptocurrency. I think they will want to know more details about the cryptocurrency because they will realize that cryptocurrency gives a new solution for their citizen and of course, their problem economic.

[thuat86]

I don't think that cryptocurrency are harmful to any government. Let see internet. It connects people worldwide, helps them communicate and exchange information without any border. Governments are safe and still keep their roles in decades of information technology. Now cryptocurrency enables border-less exchanging value on the internet, but for for every thing. Many kinds of assets, commodities have local characteristics those are almostly impossible to exchange worldwide, for example, land, real estate, food, etc. Once again, goverments cannot collapse by crypto-attack but they must change to govern and manage the new kind of value-record by blockchain technology.

[STT]

It could be argued everything is a possible threat to government because not everyone votes or supports what a government of a country stands for.     The base line is the government power only comes from support of the people.   If a standard or utility is derived from this technology that benefits the people then its fair to assume that support and benefit will be passed on for support of the government which allows and encourages that technology.

I really have to disagree then for most advanced progressive countries they look towards technology as something which creates wealth for their citizens and enables a work saving economy beneficial to all.   The majority of governments do not see crypto as a threat even in USA where I expected opposition as they required the financing of dollars to service debt, most in politics seem to realise crypto is very popular with the people and not a threat overall.     The bad press mostly comes from just general apprehension of change I believe

[Iwillgotothemoon]

The cryptocurrency is an anarchic coin, and the government loses control over money and cannot stop the government from enriching the government by exploiting people.

[Firefox07]

Every government has different approach when it comes to cryptocurrency. Some ban it and some want to legalize it. But i think some governments what to control cryptos. So they can do what ever they wanna do in cryptocurrency.

[The_Tick]

Cryptocurrency scares governments because it implies that citizens do not need to rely on governments to function in society, and it's easier to find loopholes in the taxing system.

But, if you can't beat 'em, join 'em. They'll likely be issuing their own cryptocurrencies.

[yusupjatigumilar]

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?

I think the government's readiness factor is the reason why the government cannot take policy and tends to make bitcoin or crypto currency illegal by the public, but I think that if the government is ready to make regulations about crypto currencies it will be very beneficial for the country because it can bring income from crypto currency business operators

[gamalzour]

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?

The government no longer threatens cryptocurrency like they did back then when it was released newly. They really kicked against cryptocurrency when it was new, but after sometime some countries started to embrace it and more people started to support the use of cryptocurrency. Lots of projects and companies that are based on cryptocurrency are being released like everyday.

[twa]

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?

maybe the government has its own reasons. I am sure that in the future the government and crypto currencies will cooperate well and give mutual benefits and positive developments in the future. I think all of them must have a good goal.