It’s not a misunderstanding. The government is restricting it because they understand it. While I like to think that they ban and restrict it so they can be in control, I also see that there are worries about cases where people use Bitcoin wrongly (to even pay for illegal things) and due to anonymity, you cannot trace it. Also, the government likes tax, they know that Bitcoin not being able to be traced wouldn’t let them take their cut of one’s money. Over time, more government will come to terms with Bitcoin, you can tell if you compare the present to the past.
The government has always wanted to control everything which I think it won't be as easy as they want and now the same government placing bans and restricting are still the same thing. and the government understands it wants it to be able to regulate. if not the government is selfish you did not create it but you want to be in charge of it that is just the government for you. some countries are strictly against using Bitcoin and if you are caught you will or might be punished but that does not stop people from using Bitcoin and we all know that in some cases bitcoin is used wrongly but where there are good eggs there are also bad eggs.
And the anonymity makes it more interesting because if you look at it now nobody gives a damn about who you are in a transaction with and that is what makes it more interesting but we all should not forget that anything good also has its bad side. another major truth is government also wants to make money out of everything and that is why they want to be involved just because of the tax they will make from it. and over time most governments will have a choice than to accept it.
