Will Bitcoin collapse by a global government crackdown?

[Abiky]

An entire collapse due to a government crackdown? No! Just as there are some governments against Bitcoin, there also some governments in supports of Bitcoin. One of the advantages of decentralization is that no single body owns absolute control over the market, hence governments can only cause damage to Bitcoin to some extent but not entirely destroying it.

That's certainly true, mate. The outcome is likely impossible to happen, because many governments cannot reach an agreement. Thanks to Bitcoin's decentralized nature, it's hard to take the Blockchain system all by itself. It would've been much easier for Bitcoin and other cryptocurrencies to become disrupted by governments worldwide if they were centralized. In this sense, Ripple (XRP) has a huge risk of facing a global government crackdown because of its centralized nature. If Bitcoin becomes threated by governments, then people would simply use or support it via alternative networks such as Tor, or i2p.

Nonetheless, time will tell us what will truly happen with the regulatory stance of Bitcoin and other cryptocurrencies. If most governments remain friendly towards crypto, then there should be nothing to worry about. Just my thoughts

[Ozero]

A lot of large world states have already adopted cryptocurrency, therefore it is hardly possible to ban it by all states. However, if this happens, the cryptocurrency will be very bad. Due to the fact that on the Internet you can ban everything that will be connected with it,
it will be used only by a small group of enthusiasts who will no longer be able to raise it to the proper level. However, the prerequisites for such a global ban does not exist.

[santiPOGI]

How can a government stop BITCOIN with digital or internet based.
Which anyone can use the coin without having its identity while drugs are being circulate all around the world but can't stop?
Peace is also an issue for every country which they can't get and then they will have unity in getting BTC banned?

[Cryptoshops]

If there is no way to exchange Bitcoin into Fiat money then it would pretty much die. Most people buy bitcoins using fiat money in the first place only to resell to make a profit and turn back into fiat money.  Bitcoin will unfortunatly always be tied up with Fiat money and that is the downfall of Bitcoin..

[samuraijin]

With all the buzz lately of governments cracking down on cryptocurrencies, there has been fear among people with regards to Bitcoin and altcoins. This is one of the many reasons why 2018 experienced a sharp decline in the value of the whole crypto market, leaving many wonder the outcome of a complete government crackdown towards Bitcoin and other cryptos in the future.

As such, what do you think will happen with Bitcoin if all the governments of the world ban it? Will it collapse after the massive crackdown on every single cryptocurrency? Or will it survive? AFAIK, Bitcoin is largely dependent on nodes distributed geographically. The Internet is controlled by ISPs which are subject to government demands. If a global government crackdown happens, then the growth of Bitcoin and other cryptos might stale for sure.

Nonetheless, what are your thoughts about this?

All that is just nonsense and of course this is a game of global elites and the central government, which I know is that a lot of news wants to drop bitcoin, even though behind that there is interference from global governments, so they can supply so much bitcoin, because they know more about bitcoin and they have designed a plan to reduce prices in all markets in 2018 yesterday, so the point is they make a lot of people panic, so that everyone throws away the bitcoin and they wait for the moment they have designed as well as possible ...

[deisik]

If there is no way to exchange Bitcoin into Fiat money then it would pretty much die. Most people buy bitcoins using fiat money in the first place only to resell to make a profit and turn back into fiat money.  Bitcoin will unfortunatly always be tied up with Fiat money and that is the downfall of Bitcoin

I don't think it is going to die

As long as you can exchange Bitcoin directly for some good or service, it will have value. Ultimately, this is what the whole shebang is about, i.e. turning Bitcoin into a full-fledged currency in and of itself. If it becomes that, it won't need fiat. I could even go as far as to say that without fiat sticking around it would fare even better in that case (as a means of payment). Money is not bestowed on us by our financial gods (though you may still believe in Mammon) as it is created by us in pretty mundane ways with utilitarian purposes in mind

[perla]

As such, what do you think will happen with Bitcoin if all the governments of the world ban it?

There is no possibility for ever government from around the world to place a ban on bitcoin or cryptocurrency. I'd you have been listening to the news you would find out that most countries are accepting bitcoin

Maybe the question is only if that thing happen, because when there is bad news about bitcoin, it does not rule out the possibility that the government has previously supported,  make bitcoin illegal in their  country. That is why it is actually depends on all of us as holders to support it and not use it into bad thing.

[hen cet]

If indeed all countries will carry out rejection regulations, then clearly the value of bitcoin will be very cheap and will not even be worth it anymore because every country has banned activities with bitcoin.

Obviously bitcoin will die if all countries declare that bitcoin is illegal, because prices drop dramatically and nobody buys it. So the owner of bitcoin is the same as having something very cheap.
This condition can occur if bitcoin is contrary to the state policy that has been set. Therefore, to avoid such things, bitcoin must adapt to state policies globally.

[Abiky]

All that is just nonsense and of course this is a game of global elites and the central government, which I know is that a lot of news wants to drop bitcoin, even though behind that there is interference from global governments, so they can supply so much bitcoin, because they know more about bitcoin and they have designed a plan to reduce prices in all markets in 2018 yesterday, so the point is they make a lot of people panic, so that everyone throws away the bitcoin and they wait for the moment they have designed as well as possible ...

Well, there's no doubt that governments control what happens in the mainstream world. While Bitcoin and most other cryptocurrencies are decentralized, many exchanges are most certainly not. Because of this, governments have some sort of power over the trading or exchange of cryptocurrencies around the world. If decentralized exchanges would've dominated the market, I'm sure that it'll become much more difficult for any government to try to stop Bitcoin. Of course, there's always the option of P2P or in-person trades. However, it'll never be the same as trading Bitcoin via exchanges.

Given how Blockchain technology as advanced, it's becoming more difficult for governments to gain control of any cryptocurrency we know and love today. Bitcoin being the most prominent cryptocurrency, is the largest Blockchain in terms of hashrate and user support. For Bitcoin to truly collapse by a global government crackdown, the whole Internet needs to collapse too (which is something nearly impossible).

Nonetheless, a good thing that has Bitcoin is that it's resilient, allowing it to survive many events in the real world. Just my opinion

[rollingstorm45]

bitcoin has not experienced a collapse, bitcoin has only experienced market saturation which has resulted in prices falling, but what is happening now is that bitcoin has begun to crawl up, but this has shown evidence that bitcoin is not collapsing and in the future there will continue to be an increase.

[Blockchainer06]

The government cannot destroy itself because of the dispersion of Bitcoin. However, they can control and restrict the use of bitcoins within their jurisdiction.

For example, they can close the bank accounts of encrypted money companies, and they can prohibit the creation of any related business. If only a few countries ban encrypted currencies, the impact will be limited, because businesses will only move to more friendly jurisdictions.

This is exactly what happened after China banned its domestic order Exchange last year. Although it's almost certain that one or more governments will pursue Bitcoin in the same way, I think it's almost impossible to achieve a global ban. It's a different matter to assume that the United Nations will reach such a consensus.

In addition, Bitcoin is already legal in Japan. It would be very harmful if the United States, the European Union, the United Kingdom and China jointly banned encrypted currencies.

More likely, however, they regulate encrypted money markets to protect the interests of individual investors while collecting taxes.

[deisik]

The government cannot destroy itself because of the dispersion of Bitcoin. However, they can control and restrict the use of bitcoins within their jurisdiction.

For example, they can close the bank accounts of encrypted money companies, and they can prohibit the creation of any related business. If only a few countries ban encrypted currencies, the impact will be limited, because businesses will only move to more friendly jurisdictions.

This is exactly what happened after China banned its domestic order Exchange last year. Although it's almost certain that one or more governments will pursue Bitcoin in the same way, I think it's almost impossible to achieve a global ban. It's a different matter to assume that the United Nations will reach such a consensus.

In addition, Bitcoin is already legal in Japan. It would be very harmful if the United States, the European Union, the United Kingdom and China jointly banned encrypted currencies

Bitcoin is also legal in the United States

And in a couple of them it can even be rightfully and legitimately considered legal tender, though at a local level only (and as a commodity at a federal level). But that's not my point. Simply put, you can't ban what you can't prevent. Bitcoin is like gravity in this respect. Technically, you can pass a law or proclaim a court ruling that would ban gravity for good but will such an order have any effect on it?

[michellee]

I don't know the crackdown that the government will do for bitcoin. But bitcoin can hold back from anything, and even bitcoin will become stronger because bitcoin is not bounded by anything. Maybe the government can ban bitcoin, but people will look the other way to use bitcoin because bitcoin represents freedom for every people to have their own assets without any border. But the government can do whatever they can to crackdown bitcoin because they have unlimited resources and they can hold the grow of bitcoin with their power. But bitcoin will still grow from time to time, and we will see there will be adopted in many places.

[South Park]

With all the buzz lately of governments cracking down on cryptocurrencies, there has been fear among people with regards to Bitcoin and altcoins. This is one of the many reasons why 2018 experienced a sharp decline in the value of the whole crypto market, leaving many wonder the outcome of a complete government crackdown towards Bitcoin and other cryptos in the future.

As such, what do you think will happen with Bitcoin if all the governments of the world ban it? Will it collapse after the massive crackdown on every single cryptocurrency? Or will it survive? AFAIK, Bitcoin is largely dependent on nodes distributed geographically. The Internet is controlled by ISPs which are subject to government demands. If a global government crackdown happens, then the growth of Bitcoin and other cryptos might stale for sure.

Nonetheless, what are your thoughts about this?

A ban of bitcoin enforced by all governments of the world at the same time does not seem possible to me, there will always be some countries willing to adopt bitcoin or at least to not regulate it, however in case that what you are describing happened that will surely crash the price since everyone will want to get out of it while they can, but remember the price of bitcoin is not everything, that will only slow down adoption but it will keep the technology intact.

[thefoex]

I don't think so, before crypto developed as now the government has also been very strict on crypto especially bitcoin. I think this decline is entirely due to speculation. and many ico also affect the market. many ico are not as expected and there are also some that are scam, this is one reason why prices fall.

[idham29]

I never expected that would happen, because in my opinion. If all governments in the world ban Cryptocurrency, Cryptocurrency is certain to die. But that is impossible, we see that nowadays there are many countries that accept Bitcoin and Cryptocurrency. And my hope is, more and more countries will legalize Bitcoin, so that the price of Bitcoin can go up to the moon.

Bitcoin continues to grow because there is support from countries that expressly legalize bitcoin, so that growth is very good.
This is different from the country that bans bitcoin, the people involved in bitcoin trading find it difficult to indulge in fear of lawsuits.
So bitcoin will surely die if all countries say that bitcoin is illegal, because all illegal ones must violate the law. But I don't think that's possible, because many countries see the benefits of using bitcoin.

[Abiky]

Bitcoin is also legal in the United States

And in a couple of them it can even be rightfully and legitimately considered legal tender, though at a local level only (and as a commodity at a federal level). But that's not my point. Simply put, you can't ban what you can't prevent. Bitcoin is like gravity in this respect. Technically, you can pass a law or proclaim a court ruling that would ban gravity for good but will such an order have any effect on it?

Good point. The distributed nature of Bitcoin makes it difficult to enforce laws that would prevent the complete usage of Bitcoin within a specific region. Of course, anyone caught using Bitcoin in a country where it's illegal, will face serious consequences. But, "banning" the usage of Bitcoin, won't prevent it from being used secretly or from being maintained by other people worldwide. Considering how governments have their different views one from another, they cannot reach an agreement in many things.

I believe the same thing will happen with Bitcoin, where there will be some countries in favor of it, while there will be others against it. It's very unlikely that a global government crackdown would happen anytime soon, because of said reasons. However, if this happens, then it will be completely disastrous for Bitcoin and other cryptocurrencies.

Nonetheless, we shouldn't worry about this, since many governments nowadays are seeing Bitcoin and other crypto as a great tool for taxation. With this, Bitcoin and other cryptocurrencies will be legal tender for a very long time. Just my thoughts

[deisik]

I believe the same thing will happen with Bitcoin, where there will be some countries in favor of it, while there will be others against it. It's very unlikely that a global government crackdown would happen anytime soon, because of said reasons. However, if this happens, then it will be completely disastrous for Bitcoin and other cryptocurrencies

Bitcoin is also a weapon of economic mass destruction

In fact, there is a conspiracy theory that it was created by government agencies to bring down weak economies (e.g. Venezuelan). Take it for what it's worth, but big countries with strong economies (say, the US) should be interested in Bitcoin as it gives them a tool or even a weapon to disrupt the economies of their enemies. So there is no incentive for superpowers to ban Bitcoin when they can use it to their own advantage

[Dapper]

The more immediate question is what will happen to bitcoin if more and more banks sever all ties with exchanges.   

[semobo]

I don't think so, before crypto developed as now the government has also been very strict on crypto especially bitcoin. I think this decline is entirely due to speculation. and many ico also affect the market. many ico are not as expected and there are also some that are scam, this is one reason why prices fall.

The government is not strict on the technology or anything,they juat want taxes for using the cryptocurrencies and that is the reason it won't affect ICO since those coins don't have any value yet.