Why Cryptocurrency threatens governments

[clickerz]

I think cryptocurrency will not threaten the government. Of the many cryptocurrency on the market, the only potential that is used as a means of payment is bitcoin but because of the small total supply, it is difficult to use bitcoin as a transaction tool. So I think our transaction will still use fiat money even though it will be digital

Not threaten but what the governments wants is control. A currency which the government control and dominates. The cant do this with bitcoin because no one owns it. In fiat, they can produce as many as the government want,but not in crypto which they do not own.Taxation is another issue here which gives government an income, but they slowly can regulate this through licenses.

[1715143995]

1715143995

[1715143995]

1715143995

[1715143995]

1715143995

[1715143995]

1715143995

[agentx44]

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?

It has been an issue for so long already, I think crypto threatens the government because of the fact that they wouldn't be able to regulate the rotation of the money anymore since crypto is decentralize. Another thing could be the fact that it gives anonymity to all the users making it easier to conduct illegal transactions. There are a lot of possibility on why but let us just show them we're using crypto properly.

[Pearls Before Swine]

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

Like you said, it threatens political power.  If people were allowed to create their own currency, the gov't would have no control.  Especially now that the world is moving away from physical money.

However I do not think gov'ts perceive bitcoin as threatening aside from maybe tax evasion.  Even all the illegal goods that are bought with it could just as easily have been bought with cash, and if any politician makes that argument they're delusional.  Or posturing for re-election.

The government threatens by cryptocurrency its because they cant collect a tax to the people who own this crypto currency its because there is no track of who is the owner of this money.

That is exactly right but based on the real lack of regulation of bitcoin, I really dont think they see it as much of a threat.  Most tax evasion is done via skimming by business owners.  At least that's what I've read.  Also most people don't even use bitcoin and the gov'ts around the world know this.  That may be why there haven't been many countries that have banned its use.  What countries have banned bitcoin?  Russia?  I dont even know anymore, but there aren't many.

Whatever we think of Facebook and Libra, we should all be afraid of this because they'll use their conclusions to go after cryptocurrency in general.

You could be right about that.  I'm keeping my eye on those developments and I'm hoping the U.S. gov't doesn't try to regulate it out of launching.  I really dont care about Libra, but I do think if it launches people will think of it when they think of crypto.  The gov't will too.

[ReiMomo]

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?

It has been an issue for so long already, I think crypto threatens the government because of the fact that they wouldn't be able to regulate the rotation of the money anymore since crypto is decentralize. Another thing could be the fact that it gives anonymity to all the users making it easier to conduct illegal transactions. There are a lot of possibility on why but let us just show them we're using crypto properly.

Well, Cryptocurrency threatens governments due to the reason that there are more and more people are now investing in it because they find it more profitable rather than investing in the bank. Also, there are criminals that are transacting through bitcoin and the government can't track it. In short, the government afraid that in the future bitcoin will become their big competitor when it comes to a financial status which is usually happening. But as of now, only illegal transactions were putting shit into the image of bitcoin government think that this is not good for their community.

[liuqi]

Government never got any threatened by the Bitcoin some sort of people who using Bitcoin as well as US dollar making problem for them. I am not sure why why they are blaming Bitcoin for every single incidence.
Actually if Bitcoin has been empowered as the the blockchain government obviously it is good for the government only.

[BartS]

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?

This happens because banks and governments have grown powerful thanks to their privileged position and they do not want to let it go, I understand them since if you were that powerful you will want that to continue forever so they are trying to use their position to slow cryptocurrencies, but as we know that tactic is not going to work forever since the reasons why cryptocurrencies were created on the first place are still there and they do not want to change them.

[lab rat hoax]

There are many reasons for this, but the most important reason is that the crypto currency cannot be tracked.
States don't like money they can't watch and they see it as a criminal potential. Another reason is that crypto coins are threatening banks. There is no need for banks due the cryptocurrency because the person can be his or her own bank. In addition, recently some crypto exchanges are seriously threatening banks due to some features. For example, lending and borrowing transactions beginning in binance

[cutesgirl]

Not have ideas how to get support crypto by government, what have to do make bitcoin or altcoin become legal transaction which all country want to regulation of bitcoin and altcoin, many of them want to fight with crypto and never give space for bitcoin and altcoin become legal peyment and banned crypto.

[shoreno]

The governments hate cryptocurrencies because they want to control every financial transaction of their citizens, and as cryptocurrencies are anonymous and decentralized, it is almost impossible for governments to track these transactions and to charge taxes for them.
That's why they are all the time supporting the fiat and local currencies instead of cryptocurrencies.

in short government are the ones that threaten cryptos and not crypto threatens the governments  . crypto cant do anything to threaten or to destroy something but it can only improve one life or ones economy once it will be accepted and will be used in a good way  .

  the one you said above is true but there are other reasons on why govt's ban crypto , we know crypto is anonymous so criminals or criminal at mind will use these as an advantage to take advantage to someone  .  govt are sometimes concern to us .

[blckhawk]

The government doesn't want anything that is out of their control. It's decentralized nature is what the government doesn't want. They want us to use their monetary system which they said that their currency is worth something.

If you think about it at first, you'll think that what they're doing isn't good. But imagine a country with only bitcoin as currency, no banks, no taxes, no institution for regulation of price, inflation, etc. There would be no funds to keep the country going. Who would pay those government officials, law enforcers to do their jobs?

What I think the right way to say it is that government doesn't want decentralized system of currency took over their own currency. Most of us complain about taxes when in fact, we still rely on the government on maintaining peace and order in our society. No taxes -> no government -> pure chaos.

[ufaiz50]

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 some countries like Japan accept bitcoin? from what I know about financial freedom in the sense of technology, it takes a lot of courage for the government to accept it, there are still many weaknesses in digital currency, especially in anonymity and fluctuation, the government must consider whether there are many benefits to be gained. As far as I know bitcoin is still foreign to some circles, especially in terms of payment, digital currency has not penetrated in many circles.

[joinfree]

There is this saying that goes like anything the Government is not able to control they ban. The decentralized nature of cryptocurrencies which gives does not allow governments to have control over it is what is preventing governments from legalizing or approving it. Also, cryptocurrencies would reduce a whole lot of corruption cases hence government officials can not abscond with the funds of nation without being noticed as the blockchain ledger is transparent and distributed as well.

[jaocoincrypto18]

For some governments that they have declared Crypto currency is illegal as they see it a threat to the country and to their citizens because Crypto currency can be used in illegal activities specially in money laundering. I just wonder of why did not trust the regulation in which it was proven that it can protect the use of Crypto.

[doomloop]

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 some countries like Japan accept bitcoin? from what I know about financial freedom in the sense of technology, it takes a lot of courage for the government to accept it, there are still many weaknesses in digital currency, especially in anonymity and fluctuation, the government must consider whether there are many benefits to be gained. As far as I know bitcoin is still foreign to some circles, especially in terms of payment, digital currency has not penetrated in many circles.

What I think, the reason behind crypto currencies not being accepted by governments or facing good resistance is not that digital currencies are not being used in daily financial routines but the fear to lose power and control over public money. When we say bitcoin and altcoins are freedom then it literally is. No one can take it away from you, not even a single person can discover the total amount of your asset.

[doomistake]

I think cryptocurrency will not threaten the government. Of the many cryptocurrency on the market, the only potential that is used as a means of payment is bitcoin but because of the small total supply, it is difficult to use bitcoin as a transaction tool. So I think our transaction will still use fiat money even though it will be digital

Not threaten but what the governments wants is control. A currency which the government control and dominates. The cant do this with bitcoin because no one owns it. In fiat, they can produce as many as the government want,but not in crypto which they do not own.

Yes they are, now they are starting to see bitcoin as an advantage for the economy to move forward, but there are still some countries who have bitterness against bitcoin. They wanted to control the blockchain because they feel so small for not having a control with it, you know, Government always wants power, but not with bitcoin.

Taxation is another issue here which gives government an income, but they slowly can regulate this through licenses.

Taxation means no harm to us, without taxation, there would be no community for us. The taxation makes the economy more luxurious and gorgeous than ever. The more taxes we pay, the more funds of the Government could use on providing shelter and services to us, it is for our own benefits also, though there are corrupt politicians who are stealing money from their own people.

[BartS]

There are many reasons for this, but the most important reason is that the crypto currency cannot be tracked.
States don't like money they can't watch and they see it as a criminal potential. Another reason is that crypto coins are threatening banks. There is no need for banks due the cryptocurrency because the person can be his or her own bank. In addition, recently some crypto exchanges are seriously threatening banks due to some features. For example, lending and borrowing transactions beginning in binance

In most cryptocurrencies most transactions can be followed and tracked, so that is not really the reason governments do not like cryptocurrencies, what happens is that banks have control of the governments and they understand very well that they are threatened by bitcoin since you can be your own bank, they know that cryptocurrencies are not really that powerful at the moment but if things begin to go badly for the economy bitcoin could grow very rapidly and they want to prevent that.

[ice098]

There are many reasons for this, but the most important reason is that the crypto currency cannot be tracked.
States don't like money they can't watch and they see it as a criminal potential. Another reason is that crypto coins are threatening banks. There is no need for banks due the cryptocurrency because the person can be his or her own bank. In addition, recently some crypto exchanges are seriously threatening banks due to some features. For example, lending and borrowing transactions beginning in binance

In most cryptocurrencies most transactions can be followed and tracked, so that is not really the reason governments do not like cryptocurrencies, what happens is that banks have control of the governments and they understand very well that they are threatened by bitcoin since you can be your own bank, they know that cryptocurrencies are not really that powerful at the moment but if things begin to go badly for the economy bitcoin could grow very rapidly and they want to prevent that.

You mean currency, in normal currency they can easily tracked down every single transaction that each user can be made. In cryptocurrency it will give them hard time knowing amd tracking each transaction that can be made. And most of illegal activities uses bitcoin or other cryptocurrency as their mode of payment due to that reason that it cant be or it will give government a hard time tracking its destination or source.

[Sithara007]

The governments are afraid of cryptocurrency because the principle upon which cryptocurrency works opposes that of the governments. Cryptocurrency is decentralized whereas the governments are centralized. The decentralized nature of cryptocurrency takes the power of financial control from the governments and gives it back to the people.

Well.. it is complicated... and it depends on whether the government considers Bitcoin as an asset, or as a currency. If they consider it as a currency, then Bitcoin can pose a threat for them. Because in countries such as China (where the national currency gets devalued every now and then), the people will be temped to use Bitcoin instead of the Chinese Yuan or the other fiat currencies. This can take the power away from the government, as the fiat currency can become worthless.

However, if Bitcoin is used more as an asset, then I don't think that the governments need to lose their sleep over it. In such a scenario, Bitcoin doesn't pose a direct threat to the government authority. However, that doesn't mean that in such cases the governments don't need to care about Bitcoin. The popularity of Bitcoin can have a negative impact on the stock markets and real estate, which in turn can reduce the government tax revenue.

[ropyu1978]

i'm just talking opinion, if the government approves cryptocurrency there will certainly be a binding regulation
maybe they feel threatened it will become backfire, because there may be demands to be transparent and afraid if it's known that people have saved a lot of money

[ardentvolcanoes]

Of course, potentially cryptocurrencies are competitors to the banking system and some governments are really afraid of the further development of cryptocurrencies and their global recognition. I believe that if it is reasonable and gradual to introduce technologies related to cryptocurrencies in the banking system, then we will all benefit from this.

If the banking system will adopt this chain it will bring a good help, the only issue is they are not in the position of seeing the potentials, they are afraid of this system as it can ruined the business. From that point the government fear that financial sabotage can be done by the help of cryptocurrency. Without control and jurisdictions money can flow around and it will be the safe haven for money launderers.