Government vs Bitcoin

[Aanuoluwatofunmi]

Bitcoin has come to stay and this is a fact that the government should realize, it's not a digital currency that has come waiting for their approval or recommendation before it can be accepted, the pace already have been set and the people have already realized the finished work in what Satoshi Nakamoto himself had made in providing for us bitcoin to use while serving as an alternative means of making payments, i believe many other people have started this but couldn't achieve any concluding results not until we have Satoshi come up with bitcoin, in case the government had forgotten, bitcoin is a decentralized digital currency, they can't regulate it.

[Pandu Geddon]

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

eventually, those who hold more Bitcoin will have enough control over price movements. In fact, this will not result in economic growth in the community, but as you said, this can quickly destroy the community's economy. especially with the little knowledge about Bitcoin that the general public has.
we know the concern from the government for the issue of adopting Bitcoin as a substitute for fiat. As long as the volatility of Bitcoin's price is high enough, more governments will not use it as a currency for payment.
the government still relies on fiat which is trusted by the public. and it gives the government the advantage that they are in control of their own finances. but with Bitcoin, they will probably only benefit from the high taxes that are levied on exchange transactions.

[Ryu_Ar1]

Governments frequently misunderstand bitcoin innovation.
This impression arises from the disproportionate bans and regulations they enact.
Although occasionally the bitcoin regulations appear unreasonable, I posit that bitcoin is not as detrimental as suggested. Please correct me if I am wrong.

The innovation that bitcoin provides is not wrong but it will disrupt the existence of the government so that some of them will definitely be afraid that if things like bitcoin continue to develop it will increasingly disturb them because it is difficult to regulate which makes them try to regulate so that they are safe and want more authority even though bitcoin cannot be fully regulated.
This is an anticipatory step that is actually quite reasonable, the government has the authority and power to regulate something but with the presence of bitcoin that they cannot regulate, they are confused to find other alternatives to make regulations so that bitcoin can be controlled.
But for people like us who want their own freedom bitcoin will be a good bridge in financial management and I still feel at this time as long as the government does not ban bitcoin (in my country) even though there are some rules that must be followed I will remain in bitcoin.

[awik p]

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

eventually, those who hold more Bitcoin will have enough control over price movements. In fact, this will not result in economic growth in the community, but as you said, this can quickly destroy the community's economy. especially with the little knowledge about Bitcoin that the general public has.
we know the concern from the government for the issue of adopting Bitcoin as a substitute for fiat. As long as the volatility of Bitcoin's price is high enough, more governments will not use it as a currency for payment.
the government still relies on fiat which is trusted by the public. and it gives the government the advantage that they are in control of their own finances. but with Bitcoin, they will probably only benefit from the high taxes that are levied on exchange transactions.

Indeed, knowledge about Bitcoin is a priority, especially in a large country like mine, where if the government legalizes Bitcoin at this time it will be risky for the elderly, where it will be difficult for them to keep up with technological developments regarding Bitcoin, and if they know about it, it could happen that they will suffer losses due to volatility. Therefore, I think for now it is still as comfortable as it is now, where those of us who have knowledge can make money from Bitcoin, and of course it can improve our personal economy, and of course this will spread to those closest to us, our families, and spread widely in my country, and with that knowledge of bitcoin that doesn't lead to wrong understanding

[bayu7adi]

Is the government worried that high volatility will harm people? I don't think that's a good reason. I don't believe they would care about their people to such a level of devotion, it's just one of many reasons people stay away from government bitcoin. I completely agree with what Patrol69 said, if bitcoin is accepted, fiat and banks will surely lose their appeal and their power will be easily shaken. That's the first thing they care about when it comes to bitcoin.

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

Where do you truly stand? In the first paragraph, you disregard volatility as a threat, yet in the second paragraph, you express concern about volatility as a threat.

I prefer to learn from my experiences, and in my current country, Indonesia, Bitcoin's role is strictly limited to being an asset and cannot replace FIAT currency for transactions. It is prohibited by the government. Perhaps this is why its adoption remains at less than 20% of the total population.

Let's take Japan, for instance, a country that has legalized cryptocurrency. Is its adoption high? Not as you might imagine.

Currently, only 4% of Japanese individuals have adopted cryptocurrency. Of course, the adoption of Bitcoin is even lower since some have adopted altcoins. Yet, it's perfectly legal there.

source : https://triple-a.io/crypto-ownership-japan-2023/

[Dr.Bitcoin_Strange]

The reasons governments ban or restrict cryptocurrencies like Bitcoin are complex. As you noted, each government has a reason. However, lets analyze. Comparing Bitcoin crimes to crimes with other assets is like comparing digital and real footprints - the medium changes, but the intent doesnt.

Bitcoin's volatility is real, but so are traditional stock markets. Remember 2008? Banning a volatile asset is like blocking the sun with a sieve.

The decentralization of Bitcoin is game-changing. The central banks' inability to regulate it worries them. Yes, some criminals use Bitcoin, but to call the entire ecosystem "bad" because of a few bad apples? What a reach. If we dig deep, the main difficulties seem to be lack of comprehension and fear of losing financial control. Thus, bans.

Based on the explanation I got from this forum users concerning volatility, volatility is even good for some businesses in the sense that if you invest some money in Bitcoin and the price suddenly spikes, you can make an instant profit. Just like I am accepting Bitcoin payments in my business and the current Bitcoin price is still low, let's say I have accepted up to 0.09 BTC with this current rate of Bitcoin price, and luckily the Bitcoin price has risen to $35k, which means I will even have an additional profit for my business. The problem is just that some people didn't really understand Bitcoin very well before they decided to use it.

Well, I know that with time, some of those countries where Bitcoin is restricted will lift their bans and restrictions.

[TheSpiral]

For sure the government will definitely attack bitcoin when they have no power to control it, this is how the government has always been. They know if people get to know Bitcoin very well and accept it for long-term savings it is going to affect the banking system which people might decide not to put their money in bank any more, I think this is the treat the government are facing from bitcoin that is why it very difficult for the government to fully accept bitcoin.

Government also will not allow bitcoin investment that it not only effect the banking system but most of the people will also not involved in job because everyone wants to be a part of job which will be full of ease. Individuals are tired of such jobs in which hardwork is more but salaries are not enough to continue their life expenses.

I don't think that government through out the world will accept bitcoin as it will have greater effect on the economic situations of a country and wherever they accept bitcoin then first they will turn this technology as centralized one and will set the rules to pay charges in a form of taxes.

In present form government will never accept bitcoin but if changes occur then there is a possibility for government to accept it as most of the individuals move towards bitcoin investment.

[Fivestar4everMVP]

Governments frequently misunderstand bitcoin innovation.
This impression arises from the disproportionate bans and regulations they enact.
Although occasionally the bitcoin regulations appear unreasonable, I posit that bitcoin is not as detrimental as suggested. Please correct me if I am wrong.

Well, to say that government misunderstand or misunderstood Bitcoin innovation is actually a wrong narrative, the right narrative is actually the other way round, government understand bitcoin innovation better than any of us, and that is more reason why they are coming at Bitcoin by all means to see if they can destroy it or take people's mind off it by discouraging people from investing in it ..

Since Bitcoin is completely decentralized and can't be controlled by any man or government, the government are actually seeing it as threat to the power and control they have the people through banking and finance .

[Woodie]

Governments frequently misunderstand bitcoin innovation.
This impression arises from the disproportionate bans and regulations they enact.

Bans and regulations are usually done in the best interest of the citizens (we the people), as the fiat system allows them to collect taxes with its already integrated system which has been working for many years now, though efficiency is questionable!

On the other hand , having to allow crypto without a regulatory frame work opens doors for taxes not to be paid, washing of money can be made much easier etc So at the end of it all its not Government misunderstanding this technology,  besides when you talk about the government its the representation of what the citizens want..if they want crypto legalized it's possible to make this happen through our representatives .

[bitzizzix]

I believe the government thinks Bitcoin is good, and they are smarter than us and they have done their research and studied it. And the reason they don't like it is because they can't control it and countries use their currency as a tool of economic power that allows them to control their people.
With Bitcoin, governments lose this ability, as they no longer have control and citizens can transact to receive or send money globally without the control of governments and third party financial institutions such as banks.
And although the government continues to oppose Bitcoin, it is like a revolution, slowly but surely. I mean, Bitcoin will still exist and continue to grow even though there are many FUD, enemies and so on because Bitcoin is the people's currency.

[BVeyron]

Governments frequently misunderstand bitcoin innovation.
This impression arises from the disproportionate bans and regulations they enact.
Although occasionally the bitcoin regulations appear unreasonable, I posit that bitcoin is not as detrimental as suggested. Please correct me if I am wrong.

The main issue with crypto for government officials is legal status of btc in terms of court cases. It's quite challenging problem, since many people use BTC for legal thins, while many people use it (or might use it in case of legalisation of all the actions with BTC) for illegal and unpredictable things, including unfair rivalry, tax evasion etc. So, if legalised, BTC becomes a good financial tool for many unfair people. And if BTC is not legalised, money exchange and legal issues become a trouble for fair people working in cryptoindustry...

[stomachgrowls]

Governments frequently misunderstand bitcoin innovation.
This impression arises from the disproportionate bans and regulations they enact.
Although occasionally the bitcoin regulations appear unreasonable, I posit that bitcoin is not as detrimental as suggested. Please correct me if I am wrong.

You would really be able to expect on what the government would really be looking on something which cant be controlled and something that couldn't really be traced up in speaking about transactions. We know that

government doesnt really like on something like this, they do really like on having tracking on everything and be wary on whats happening and with Bitcoins or crypto existence then it did really make out some other story.
Some do sees it to be that just fine but most of government do really see this to be something that do really conflicts out on their interest and this is why its not really that shocking on having that kind of banning and
prohibited kind of decision towards it. Somewhat despite of the government that had been making out those issues but still there's still that huge interest and adoption from the community.

It isnt really created on the purpose on getting against with the government but rather it do really focuses out on how to make out transactions without 3rd party involved.
It did really just turns out that government doesnt really like on things which cant be traced nor be controlled. This is why they would really be normally be having this kind of impression towards it.
They would really be throwing those shit issues just to make this market go down but they had failed out.

[serveria.com]

People keep claiming that governments try to ban bitcoin, but when I look at the big governments and my own, I do not see any ban. Is it banned in the USA? No, is it banned in UK? No, which EU nation bans it? None I know, all big ones accept it. Turkey accepts it as well, we see billboards of exchanges everywhere, there is a huge one with millions of members. So we can say that there aren't that many nations that bans it. Yes its known that China dislikes mining and a bit of bitcoin, but not crypto in general and that's why I could easily say that its not going to be that much of a trouble. I think its safe to say that governments are ok with crypto in general.

They "accept" it because they have no other choice. They would happily get rid of Bitcoin if they had a possibility to do so. Bitcoin is a threat for them. However, banning Bitcoin and crypto won't prevent people from using it. Bitcoin is unstoppable. 

[koang]

The main issue with crypto for government officials is legal status of btc in terms of court cases. It's quite challenging problem, since many people use BTC for legal thins, while many people use it (or might use it in case of legalisation of all the actions with BTC) for illegal and unpredictable things, including unfair rivalry, tax evasion etc. So, if legalised, BTC becomes a good financial tool for many unfair people. And if BTC is not legalised, money exchange and legal issues become a trouble for fair people working in cryptoindustry...

The Main issue is Decentralized. Always has been.
Hard to let go of the fiat mindset ingrained for years in the face of the immaculate conception of Bitcoin.

Bitcoin: don't trust, verify.
Government: Trust us, you don't have a choice anyway

[serjent05]

Is the government worried that high volatility will harm people? I don't think that's a good reason. I don't believe they would care about their people to such a level of devotion, it's just one of many reasons people stay away from government bitcoin. I completely agree with what Patrol69 said, if bitcoin is accepted, fiat and banks will surely lose their appeal and their power will be easily shaken. That's the first thing they care about when it comes to bitcoin.

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

It is not about the high volatility of the market the government is most concerned about.  The government even allows gambling which is way worse than the high volatility of a market in terms of how people lose their money in the process.   It is about control and censorship since the government being authoritative wanted to have control of everything and yet they are unable to have a grasp of the Bitcoin network.  This is one of the major reasons why the government is hesitant to accept or adopt Bitcoin in their country.

[DanWalker]

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

eventually, those who hold more Bitcoin will have enough control over price movements. In fact, this will not result in economic growth in the community, but as you said, this can quickly destroy the community's economy. especially with the little knowledge about Bitcoin that the general public has.
we know the concern from the government for the issue of adopting Bitcoin as a substitute for fiat. As long as the volatility of Bitcoin's price is high enough, more governments will not use it as a currency for payment.
the government still relies on fiat which is trusted by the public. and it gives the government the advantage that they are in control of their own finances. but with Bitcoin, they will probably only benefit from the high taxes that are levied on exchange transactions.

Indeed, knowledge about Bitcoin is a priority, especially in a large country like mine, where if the government legalizes Bitcoin at this time it will be risky for the elderly, where it will be difficult for them to keep up with technological developments regarding Bitcoin, and if they know about it, it could happen that they will suffer losses due to volatility. Therefore, I think for now it is still as comfortable as it is now, where those of us who have knowledge can make money from Bitcoin, and of course it can improve our personal economy, and of course this will spread to those closest to us, our families, and spread widely in my country, and with that knowledge of bitcoin that doesn't lead to wrong understanding

Improving an individual's economy is what bitcoin can do, but to improve a country's economy, that's really an exaggeration for bitcoin. To improve a country's economy, we need to create more jobs, bring high income to people and improve people's lives...Can Bitcoin create jobs? People have misconceptions about bitcoin and this is really dangerous for themselves.

Not only does accepting bitcoin as currency pose a risk to those without knowledge of bitcoin, but the government is also unable to control the national economy because of bitcoin's high volatility. Personally, I still feel that as long as volatility persists, bitcoin is more suitable as an asset than a currency.

[Kelvinid]

Is the government worried that high volatility will harm people? I don't think that's a good reason. I don't believe they would care about their people to such a level of devotion, it's just one of many reasons people stay away from government bitcoin. I completely agree with what Patrol69 said, if bitcoin is accepted, fiat and banks will surely lose their appeal and their power will be easily shaken. That's the first thing they care about when it comes to bitcoin.

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

It is not about the high volatility of the market the government is most concerned about.  The government even allows gambling which is way worse than the high volatility of a market in terms of how people lose their money in the process.   It is about control and censorship since the government being authoritative wanted to have control of everything and yet they are unable to have a grasp of the Bitcoin network.  This is one of the major reasons why the government is hesitant to accept or adopt Bitcoin in their country.

I agree as the government implemented strict regulations in order to control Bitcoin but unfortunately, they failed, so they banned it.
Although we ask the government for their support but somewhat they are unfair. They are foolish not to see and think about how it helps the people around them because what they only think is how to make money from it while disregarding the benefits it gives to the investors, traders, and users. Until they don't get their wants, the government will make war against crypto.

[legendbtc]

Is the government worried that high volatility will harm people? I don't think that's a good reason. I don't believe they would care about their people to such a level of devotion, it's just one of many reasons people stay away from government bitcoin. I completely agree with what Patrol69 said, if bitcoin is accepted, fiat and banks will surely lose their appeal and their power will be easily shaken. That's the first thing they care about when it comes to bitcoin.

Many people say that accepting bitcoin as a currency will improve the economy but I don't think so, due to the volatility of bitcoin it will destroy the economy even faster, this I am on the political side of government. As long as bitcoin remains highly volatile, it will be difficult to become a currency.

It is not about the high volatility of the market the government is most concerned about.  The government even allows gambling which is way worse than the high volatility of a market in terms of how people lose their money in the process.   It is about control and censorship since the government being authoritative wanted to have control of everything and yet they are unable to have a grasp of the Bitcoin network.  This is one of the major reasons why the government is hesitant to accept or adopt Bitcoin in their country.

I agree as the government implemented strict regulations in order to control Bitcoin but unfortunately, they failed, so they banned it.
Although we ask the government for their support but somewhat they are unfair. They are foolish not to see and think about how it helps the people around them because what they only think is how to make money from it while disregarding the benefits it gives to the investors, traders, and users. Until they don't get their wants, the government will make war against crypto.

Governments are not stupid, my friends. They know all the benefits of bitcoin for everyone, but for them, it is not beneficial for them. What they are building is a centralized system to control us all, whereas bitcoin is decentralized and gives us freedom. If you are a government, do you see any benefit here when your centralized system is threatened by a decentralized system? What they're doing to us makes us feel uncomfortable and wrong, but to them, they're protecting themselves.

[Out of mind]

Governments often condone such mistakes and do not legalize Bitcoin. When Bitcoin transactions are introduced in a country, that country becomes much more economically developed.  But there are some countries that criminalize Bitcoin transactions, so they are afraid to legalize Bitcoin. Many countries in the world where Bitcoin has been legalized by the government and invested in their countries have become quite economically self-sufficient, and the country has been able to prosper. Again there are some countries that don't want to legalize bitcoin they always think negative never they think positive. Governments of all those countries think that if bitcoin is legalized, illegal activities in their country will come to light and youth of the country will launder money through bitcoin. And due to such negative aspects the government has made bitcoins illegal in their country and I think this kind of move is not good at all by the government. If a country's government accepts Bitcoin and starts Bitcoin transactions in that country, they will surely prosper economically, and this step should be taken by all country's governments.

[purinZ14]

The government thinks bitcoin is harmful to them not to the users of bitcoin. It’s untraceable which makes the government pretty uneasy. Like any other forms of currency, bitcoin can be easily used for things that the government wouldn’t like/allow hence the regulations. The government is smarter than most people think.