Is Bitcoin losing its purpose?

[Beparanf]

I don't know how you've thought of that OP, bitcoin is still doing just fine when it comes to it's purpose, bitcoin's still doing what it was at first, a lot of people still use bitcoin to do transaction for products and services so I don't see how bitcoin's lose it's purpose.

The OP subject was the regulators on US which force users to do KYC on all possible exchange that they can trade Bitcoin. By that means Bitcoin is not a used as decentralized cryptocurrency anymore because regulators requires user to submit all there transaction to them for tax purposes. It is not a direct approach against decentralization but the result is still the same. The privacy on each transaction is still compromised at the end of the day. Maye this is still not happening on other country but sooner or later they will follow US once they see that there's a lot of free money flowing without a tax due to its decentralized feature.

[Snappycoco]

Yeah it has now transitioned into an speculative asset backed by trust. BTC is evolving into a store of value asset and somehow its utility is not fully utilized. Its now becoming an investment rather a peer to peer digital currency and that's where governments are trying to regulate. I think in the future we could still be operated anonymously without intermediary using BTC but using DeFi sector and not the centralised one.

[Sithara007]

Yeah it has now transitioned into an speculative asset backed by trust. BTC is evolving into a store of value asset and somehow its utility is not fully utilized. Its now becoming an investment rather a peer to peer digital currency and that's where governments are trying to regulate. I think in the future we could still be operated anonymously without intermediary using BTC but using DeFi sector and not the centralised one.

So what makes you think that the purpose of Bitcoin was not to act as a speculative investment asset? Nothing in Satoshi's original whitepaper says that Bitcoin should be exclusively used as a currency, and it should not be used as an investment asset. Satoshi's main intention was to change the current centralized banking system, and for that it doesn't really matter whether Bitcoin is used for payments or not. And that said, Bitcoin is still being used as a currency and with every passing year more and more stores are accepting it.

[Sir Legend]

Yeah it has now transitioned into an speculative asset backed by trust. BTC is evolving into a store of value asset and somehow its utility is not fully utilized. Its now becoming an investment rather a peer to peer digital currency and that's where governments are trying to regulate. I think in the future we could still be operated anonymously without intermediary using BTC but using DeFi sector and not the centralised one.

The function of bitcoin since 2013 has completely changed, all users only save and speculate to continue buying because of the hope that prices will rise, this is something to watch out for because if it has become an investment then many government roles and rules will be applied.

[Lubang Bawah]

in my own opinion the usa is actually a free country in terms of individuals and they don't care about any individual rights of each person. but if the US government requires everyone to participate in KYC before participating in the cryptocurrency market, then they are actually implementing a greedy scheme to make profits for their government.

Binance has implemented KYC and this is the first step that crypto is no longer anonymous, I believe this will soon be followed by other exchanges, many countries see opportunities from crypto to monitor transactions and owners so I believe implementing KYC is pressure from the state.

[iv4n]

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Binance has implemented KYC and this is the first step that crypto is no longer anonymous, I believe this will soon be followed by other exchanges, many countries see opportunities from crypto to monitor transactions and owners so I believe implementing KYC is pressure from the state.

Binance is just a service... I got the mail from them about this matter, and I moved all my balance to another exchange, I don't plan to do KYC, I plan to avoid doing that as long as it's possible.

Bitcoin didn't lose its purpose, mandatory KYC for all wallets will not pass, people will rise against that. I am sure that we who support decentralization will find a way to stay free and anonymous.

[arwin100]

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Binance has implemented KYC and this is the first step that crypto is no longer anonymous, I believe this will soon be followed by other exchanges, many countries see opportunities from crypto to monitor transactions and owners so I believe implementing KYC is pressure from the state.

Binance is just a service... I got the mail from them about this matter, and I moved all my balance to another exchange, I don't plan to do KYC, I plan to avoid doing that as long as it's possible.

Bitcoin didn't lose its purpose, mandatory KYC for all wallets will not pass, people will rise against that. I am sure that we who support decentralization will find a way to stay free and anonymous.

If I'm not wrong they didn't push anyone to do so since they only put some low limits to the people who didn't do the KYC required by them. So if you think you didn't surpass to the limit required by them monthly better don't do what they ask since its not good to risk our identity. But if you go above beyond your limit then better provide this information ask so that you can enjoy the huge limits benefits.
 from them.

[ChiBitCTy]

I agree in large part but this is something that was inevitable.  Most people in this world are too stupid to understand what needs to be done to make this place better for us all, it's just a simple true fact of life.  Sadly the majority of people whom own bitcoin only do so to make "profits", as you'll see stated around this forum quite a bit.  I think cryptocurrency has a ton of upside to do a lot of good in the finance industry and it's exactly why I started "getting in to" bitcoin as a financial advisor.  That being said things like DeFi have a LONG WAY to go before ever coming close to replacing finance at banks..reason being is these currently are unsustainable scams.

[SquallLeonhart]

Yeah it has now transitioned into an speculative asset backed by trust. BTC is evolving into a store of value asset and somehow its utility is not fully utilized. Its now becoming an investment rather a peer to peer digital currency and that's where governments are trying to regulate. I think in the future we could still be operated anonymously without intermediary using BTC but using DeFi sector and not the centralised one.

I wouldn't say backed by trust because there are so many miners and the amount of electricity used for crypto is getting to an insane level, but at the same time I would have to say that it is definitely correct that we are making a leeway towards becoming just a "come here and make a profit!!!" type of deal for many people. Don't get me wrong it is cool to make a profit from crypto, any crypto, but it is not just about that, we should not be investing into crypto JUST for profit, we should focus on that, it could even be the main thing if you want to, but it should also include other stuff as well.

For example, the amount of development made on the blockchain technology in the past 10 years is the reason why world should switch databases into blockchain based reward giving databases, after all there are so many companies with database needs that we could literally get paid by those companies to hold those information in our computers (split up to be secure so nobody snoops around) and they would have to pay less than what they are paying to databases, that is just ONE example.

[19Nov16]

Bitcoin is still on its way bitcoin is not losing its purpose bitcoin is being used as a digital currency and traders are gaining by investing in bitcoin than trading every day it is better to keep it for a long time. If you don't understand the market properly for trading, you will lose everything if you make a mistake although bitcoin has not yet been introduced as a payment method in the whole world everyone is assuming that it will be accepted by everyone very soon.

What bitcoin is currently achieving in my opinion is amazing performance, the larger number of users makes the price continue to rise and this is according to the laws of the market so no one can manipulate.

[TheGreatPython]

Bitcoin is still on its way bitcoin is not losing its purpose bitcoin is being used as a digital currency and traders are gaining by investing in bitcoin than trading every day it is better to keep it for a long time. If you don't understand the market properly for trading, you will lose everything if you make a mistake although bitcoin has not yet been introduced as a payment method in the whole world everyone is assuming that it will be accepted by everyone very soon.

Did you even read the OP actually? The problem isn't about losing money in crypto trading or how popular bitcoin is right now.

The part OP wants to discuss is the added focus towards KYC on most of the sites these days. Earlier, you could gamble on a crypto casino without any hassles but now you may be asked for KYC and that directly means you are liable to pay taxes.

Earlier no exchanges used to ask for KYC before trading above a certain limit but now every exchange needs all the details about the user unless you want to trade peanuts.

[monineklutak]

Bitcoin is still on its way bitcoin is not losing its purpose bitcoin is being used as a digital currency and traders are gaining by investing in bitcoin than trading every day it is better to keep it for a long time. If you don't understand the market properly for trading, you will lose everything if you make a mistake although bitcoin has not yet been introduced as a payment method in the whole world everyone is assuming that it will be accepted by everyone very soon.

What bitcoin is currently achieving in my opinion is amazing performance, the larger number of users makes the price continue to rise and this is according to the laws of the market so no one can manipulate.

It's true that we can see for ourselves since the beginning of the appearance of Bitcoin the price is still very cheap,
and now we can see the price is really going up and of course this achievement is not easy to get,
I'm sure Bitcoin will still go up, the most important thing for now is just to wait

[Abiky]

So what makes you think that the purpose of Bitcoin was not to act as a speculative investment asset? Nothing in Satoshi's original whitepaper says that Bitcoin should be exclusively used as a currency, and it should not be used as an investment asset. Satoshi's main intention was to change the current centralized banking system, and for that it doesn't really matter whether Bitcoin is used for payments or not. And that said, Bitcoin is still being used as a currency and with every passing year more and more stores are accepting it.

The problem lies within the people, not the way Bitcoin was designed. There's nothing we can do if most people use Bitcoin as a speculative asset instead of a currency. Human greed will always be there, so we should learn to live on with it. What matters is that Bitcoin stays true to its principles by being a decentralized and censorship-resistant cryptocurrency anyone can use worldwide. As long as people have an exit route from the current monetary system, nothing else matters.

The fact that Bitcoin is decentralized and open source, gives people the liberty to do what they want with it. Adoption is growing at a fast pace, so it should only be a matter of time before Bitcoin gets used more thoroughly as a currency for day-to-day payments. The Lightning Network will make Bitcoin extremely practical as a currency due to its ultra-low fees and near-instant speeds. With due time, Bitcoin will achieve its purpose by being a peer-to-peer electronic cash system. We just need to be patient in order to see great results in the future. Just my opinion

[Ngewex Yuk]

in my own opinion the usa is actually a free country in terms of individuals and they don't care about any individual rights of each person. but if the US government requires everyone to participate in KYC before participating in the cryptocurrency market, then they are actually implementing a greedy scheme to make profits for their government.

The implementation of KYC certainly makes it easier for the government to monitor crypto transactions, if they see suspicious transactions then they can easily block the account, this is a big pressure for crypto when many exchanges implement KYC.

[ILuckyGuyI]

Bitcoin's main purpose is to give an opportunity for people to use Bitcoin freely and anonymously. That's the part that has drawn people's attention the most so far. However, governments have started to hinder this anonymity with their regulations. They have started to demand people to share the information about who the wallet belongs to and they have started to track people's transactions. This caused Bitcoin to start to lose its main purpose.

[Rasa nanas]

in my own opinion the usa is actually a free country in terms of individuals and they don't care about any individual rights of each person. but if the US government requires everyone to participate in KYC before participating in the cryptocurrency market, then they are actually implementing a greedy scheme to make profits for their government.

I agree with you that the United States of America is the most free country in individual affairs, but if the problem can lead to crime of course any country will not stand still. if required for KYC in my opinion it is not a big problem especially personal data will be protected by the state. After all KYC is a common thing, just like you when you first opened an account at a bank.

[jaysabi]

but admit the fact that Bitcoin is not created in purpose of Asset or Holding

It is deemed an asset now because it's volatility/liquidity is still very high, The original intention for it as an alternative currency will come into play when its liquidity has reduced, and almost all the mineable bitcoin has been mined. The value will by then become stable and the original intention the creators have for it will materialize.

I don't see a reason for this to lead to price stability.  If the world is still denominated in fiat currencies, then chasing the limited supply of bitcoin (assuming the store of value premise is still relevant) will mean the price will still be based on speculation and thus likely suffer from high volatility.  This is what keeps it from being a useful currency.  Also, with the elimination of block rewards, fees are likely to go up to subsidize the cost of mining, further reducing any utility as a currency.

[LUCKMCFLY]

but admit the fact that Bitcoin is not created in purpose of Asset or Holding

It is deemed an asset now because it's volatility/liquidity is still very high, The original intention for it as an alternative currency will come into play when its liquidity has reduced, and almost all the mineable bitcoin has been mined. The value will by then become stable and the original intention the creators have for it will materialize.

I don't see a reason for this to lead to price stability.  If the world is still denominated in fiat currencies, then chasing the limited supply of bitcoin (assuming the store of value premise is still relevant) will mean the price will still be based on speculation and thus likely suffer from high volatility.  This is what keeps it from being a useful currency.  Also, with the elimination of block rewards, fees are likely to go up to subsidize the cost of mining, further reducing any utility as a currency.

As time goes by, not only will some see it as currency, it may not meet some standards, but JP Morgan banks are already accepting it despite JP Morgan going very against BTC, some economists, banks and Governments will never accept volatility, it is obvious, they will go to safe assets and stocks, such as Gold, among others.

Crypto currencies can never be of a nature like fiat money, their protocols are very different, this without mentioning that crypto is usually deflationary in nature while fiat money is inflationary in nature and its endorsements such as gold is simply a mirage. I think that the purpose of BTC still holds and with much more force as time goes on.If we take into account the examples of countries like "El Salvador" and possibly Paraguay, it changes every point of view of those who are enemies of BTC.

[Masplanc]

How can Bitcoin lose it purpose? Bitcoin is beautifully doing very well and it plays it's purposes daily by users  . Bitcoin growing and becoming more popular everyday. The purpose of bitcoin is been seen more expecially in Russia,  where they sell their oil with bitcoin.

[AmoreJaz]

Bitcoin's main purpose is to give an opportunity for people to use Bitcoin freely and anonymously. That's the part that has drawn people's attention the most so far. However, governments have started to hinder this anonymity with their regulations. They have started to demand people to share the information about who the wallet belongs to and they have started to track people's transactions. This caused Bitcoin to start to lose its main purpose.

but if we want more adoption, i believe, this regulation is already a part of it. understandably, we want to have anonymous transactions without worrying anyone to look at our crypto activities. however, as this market is growing, and so the government's intervention on this market. by now, this market is already the subject of their scrutiny. hence, implementing laws and regulations towards this market.