Cryptocurrency is a Threat and BTC leads

[RioBlemz]

The EU and some government believe that cryptocurrency have no Intrinsic value and that you should be prepared to lose all your money if you buy cryptos. The head of the bank of England have taken this stance some months ago. In-fact, Bit Coin is highly restricted if not ban in Russia, China, Algeria, Bolivia, Nigeria, Bangladesh and many countries that are left wing. Whether directly or indirectly these countries have stood as Anti-Crypto.

My question is are they trying to protect their citizens or what?

Personally, I believe competition is good for the consumer but when government officials make this comment, I try to see things from their perspective and analyze them. So, what are government officials saying that they are not actually telling the people in reality.

Cryptocurrency are the largest treat to national security: The most powerful weapons that countries has is the ability to change interest rate and what they do is to buy and sell bonds to increase money supply or decrease money supply which changes interest rate. Hypothetically speaking, if every citizen in a country no longer use fiat or paper currency and they only use cryptocurrency then government can’t raise money by issue bonds and changing interest rate. What will happen is that government will go bankrupt.

Note: No Government makes a lot of money collecting only taxes. They issue bonds etc.
If there is no demand for government currency then they will go bankrupt. Do well to contribute your knowledge on this subject.

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[Faisal2202]

My question is are they trying to protect their citizens or what?

Of course, they are trying to protect their citizens from many scams, like occurred in NFTs, Metaverse, ALTs, etc. But of course, the more benefit of avoiding the use of crypto will be for governments. They are the ones with more benefits, because, not every cryptocurrency is centralized, like BTC, etc. Which are not in the control of these governments. So, they are afraid of it because they cannot control it and some think it's just a bubble that will pop up anytime.

Cryptocurrency are the largest treat to national security: The most powerful weapons that countries has is the ability to change interest rate and what they do is to buy and sell bonds to increase money supply or decrease money supply which changes interest rate.

You pointed out a good point and there is no doubt about it, because taxes are not the only way of making money, they definitely use bonds but keep in mind that bonds are also not the only alternative option to taxes to make governments money. There are numerous ways, in which a government can make money, and that varies from state to state. Like in our country, they are selling the schools now (hehe) making money a huge amount of money. And the rumors are they are selling the government school for around 1,787,269 dollars. (in local currency, 50 crores).

Well, the point is, there are many other ways of making money, but yeah for this particular issue of bonds, they are bringing the CBDC system, which can solve this problem for the governments. Overall, I don't think that a country that has not yet accepted the BTC as its legal tender, can go bankrupt just because the value of there local currency is decreasing, I am not saying that it is not possible but all I am saying is, the probability is very less.

[The Cryptovator]

Most governments don't support Bitcoin since they don't want to lose the power to control the financial ecosystem. And the majority of the country's leaders don't actually understand Bitcoin. So they directly ban crypto. A government won't allow them to rule their financial system through Bitcoin since they can't control it due to decentralisation. They consider Bitcoin their fiat's enemy. But it won't prevent us from using Bitcoin. We don't need government help to accumulate and hold Bitcoin. It's called financial freedom, and it goes against government policy. The government never wants to give us financial freedom.

[Kasabus]

Most governments don't support Bitcoin since they don't want to lose the power to control the financial ecosystem. And the majority of the country's leaders don't actually understand Bitcoin. So they directly ban crypto. A government won't allow them to rule their financial system through Bitcoin since they can't control it due to decentralisation. They consider Bitcoin their fiat's enemy. But it won't prevent us from using Bitcoin. We don't need government help to accumulate and hold Bitcoin. It's called financial freedom, and it goes against government policy. The government never wants to give us financial freedom.

Bitcoin is invented so that we can gain financial freedom from the government, and now that it's already becoming a threat to the government issued fiat, then for obvious reason, the government is also doing its job to protect their fiat currency and the best action for it is to ban crypto in their own country, if putting restrictions to crypto users won't work.

It's clear that they are doing that not because they don't understand bitcoin, but because they have seen the high potentials of bitcoin that once if left uncontrolled, it will definitely ruin the reputation of fiat and worst is it will replace fiat from its position. But we all know the government has always the highest power over everything, that is the reason they will do everything in their power to restrict users from using bitcoin, and if it won't work, complete banning will be applied.

[bhadz]

My question is are they trying to protect their citizens or what?

Personally, I believe competition is good for the consumer but when government officials make this comment, I try to see things from their perspective and analyze them. So, what are government officials saying that they are not actually telling the people in reality.

We don't know the actual reason why they're stopping citizens into this. If they've got something that they know and we don't know, it's like a crowd control that they're trying to do. It is a matter of their personal choice so they are making policies that are in favor of them.
What we know about them is if they don't like something, they don't like it and they can make policies that will stop that from being liked by people. If we're going to think of them really concerned about people because they've seen victims of scams that used Bitcoin before. Maybe that's a genuine care to their people but even with that, it shouldn't be like what they think of and should have been focus tearing down the scams.

[Captain Corporate]

Have you ever seen any government anywhere in the world ever caring about their citizens ever? The reality is that its something decentralized and out of their power and they can't do anything about it so they hate it. Obviously its not going to be all that easy to get us off it, so the yare not going to try to go with "oh its illegal now" route because that would lose them votes, they can't really do that, so what can they do? They could issue warnings like these a lot so that the would instill fear into people and the could try to secretly manipulate the price for a drop so that people would see it and then make a huge deal out of it, bonus points if the stock market is up that day. Thats their oldest trick, and I do not believe it.

[taufik123]

-snip-
It's clear that they are doing that not because they don't understand bitcoin, but because they have seen the high potentials of bitcoin that once if left uncontrolled, it will definitely ruin the reputation of fiat and worst is it will replace fiat from its position. But we all know the government has always the highest power over everything, that is the reason they will do everything in their power to restrict users from using bitcoin, and if it won't work, complete banning will be applied.

They should still have control over any platform even if it is Bitcoin.
Although Bitcoin is a decentralized digital currency that no one can fully regulate, the government is trying to regulate the pace of its development with some regulations.

Every government has different regulations.
For governments that are still pro-Bitcoin or crypto like El Salvador have fully adopted it as a legal payment, but for governments that only provide regulations that still look gray, it can only be used as a commodity asset.

That's still pretty good rather than being banned completely by the government, as happened to China.
But there will be ways for users to buy bitcoin or access crypto and that cannot be restricted.

[hatshepsut93]

What will happen is that government will go bankrupt.

Government currency used to be backed by gold, and further back it used to be made of gold and other precious metals. And governments functioned just well in those times.

And let's be realistic, massive switch to Bitcoin will not happen. People don't want to do this, because they don't care about inflation, bad government, financial freedom and so on. And even if they tried to switch to Bitcoin, the government would intervene and ban all large entities that can easily be controlled from dealing with Bitcoin.

[Dr.Bitcoin_Strange]

My question is are they trying to protect their citizens or what?

I think one reason why the Algerian government is against crypto is because of the claim that crypto is not backed by any physical asset. In some other countries, they believe that the cryptocurrency is contributing to fraudulent activities and money laundering. For that reason, they feel they are trying to prevent the rate of money laundering and also to help citizens from being defrauded. Another thing that I read about is that the governments of some countries that are not crypto-friendly believe that because of the volatility of cryptocurrency. IMO, all of the reasons are not very valid because, if you give an opportunity to people, you should also give them the right knowledge to guide them through so as to prevent mistakes. So what I am saying in essence is that if the government chooses to allow Bitcoin, they can still educate their citizens not to invest wrongly, but instead they choose to ban it. Talking about money laundering, has it stopped even while cryptocurrency is banned? Nope.

[digaran]

So, @OP, in your opinion if for example people in my country start using only crypto, the government goes bankrupt? Then I can no longer buy coffee or people will continue their routines and trade as usual only by exchanging crypto?

You think a government will allow you to print money? A decentralized crypto like Bitcoin is the same as printing money, world "elites" are just too "stupid" to realize that.

All government officials worldwide, should go through a walk of shame and put behind bars for life. That's what they deserve.

[Vaculin]

What will happen is that government will go bankrupt.

Government currency used to be backed by gold, and further back it used to be made of gold and other precious metals. And governments functioned just well in those times.

And let's be realistic, massive switch to Bitcoin will not happen. People don't want to do this, because they don't care about inflation, bad government, financial freedom and so on. And even if they tried to switch to Bitcoin, the government would intervene and ban all large entities that can easily be controlled from dealing with Bitcoin.

As long as the government is entitled to control everything even those users that are bitcoin enthusiasts, then let's accept the reality that bitcoin adoption will never happen easily because it's clear the government won't allow it to happen. So bitcoin will always remain as a threat to the government and its fiat currency, and for me this is not something bad because it only proves that bitcoin has really the capacity to break the government so that financial freedom will definitely be achieved in the long run.

What we need to do at the moment is to continue accessing bitcoin despite of the regulations imposed by the government. Financial freedom with bitcoin will only be achieved if we consistently do it for purpose, and that is to prove to the government that even if they put restrictions or ban its usage, people will always find ways on how to access it ands use it based on its real purpose.

[famososMuertos]

Hi, RioBlemz

If crypto were not relevant, surely the topic would not be discussed as they do, understand that different economic elements continually arise that seek to supplant the way of making payments, Art is one of them, but being so elite, they become invisible, unlike crypto that is open to everyone.

On the other hand, there are countries where taxes are the first income for their economies. If such income did not exist, their economies would be affected. Not to mention that first world countries consider tax collection as essential, hence the issue of crypto or any currency is punishable even with prison if it does not comply with your tax return payments.

...//...
My question is are they trying to protect their citizens or what?
...//;;;

Governments have very varied interests, and of course one of them must by law be the well-being of their citizens.

[Zaguru12]

Ask this question again and the government or rather politicians will play the caring card and say they can’t be able to tame crime and so on, see the government just don’t like the citizens to have freedom and wants them under control every time. If you look at the government they print fiat money or inject more into the market whenever they feel they want to manipulate the market. This are things that keep the citizens at their mercy but with bitcoin the citizens wouldn’t worry about this.

OP, the cryptocurrency or rather bitcoin isn’t here to make people ditch fiat but as an alternative to it and if you look at countries that uses both is there any way it is standing in there way. The government to me have just found out that people have found a way to beat inflation that they intentionally created and they don’t like it.

[SatoPrincess]

I don’t believe the government has our best interest at heart. Their reason for fighting bitcoin is political, the government use  money as a tool to control the people. Right now, Bitcoin is the only opposition to the agenda, that’s why the government is anti bitcoin. I don’t know why you listed Nigeria as one of the countries where Bitcoin is banned. Despite what you may have read in the news, Bitcoin isn’t considered illegal in Nigeria. Business are even free to accept bitcoin as a means of payment.

[DaNNy001]

The EU and some government believe that cryptocurrency have no Intrinsic value and that you should be prepared to lose all your money if you buy cryptos. The head of the bank of England have taken this stance some months ago. In-fact, Bit Coin is highly restricted if not ban in Russia, China, Algeria, Bolivia, Nigeria, Bangladesh and many countries that are left wing. Whether directly or indirectly these countries have stood as Anti-Crypto.

My question is are they trying to protect their citizens or what?

Personally, I believe competition is good for the consumer but when government officials make this comment, I try to see things from their perspective and analyze them. So, what are government officials saying that they are not actually telling the people in reality.

Cryptocurrency are the largest treat to national security: The most powerful weapons that countries has is the ability to change interest rate and what they do is to buy and sell bonds to increase money supply or decrease money supply which changes interest rate. Hypothetically speaking, if every citizen in a country no longer use fiat or paper currency and they only use cryptocurrency then government can’t raise money by issue bonds and changing interest rate. What will happen is that government will go bankrupt.

Note: No Government makes a lot of money collecting only taxes. They issue bonds etc.
If there is no demand for government currency then they will go bankrupt. Do well to contribute your knowledge on this subject.

First most countries are now turning a positive view towards the use and acceptance of Bitcoin and most of these never actually put a ban on crypto in the first in their region and I like to think that NIGERIA is one of those countries because the ban on crypto as of then was actually a restraining order place on all commercial banks to stop any transaction that has to deal with crypto and any fiat bank account that was found transacting or relating with Bitcoin was actually ban.

The reason for all this that the government do, is basically because they can't track and control the transaction that has to deal with Bitcoin and if their is one the government really like, it's actually the thought on knowing that they can actually control everything including the financial life of their citizens and Bitcoin as a decentralized currency doesn't support this so they alternative to the best possible option which is actually to ban or restrict it .

[BitDane]

My question is are they trying to protect their citizens or what?

They are trying to protect the government interest.  If they are too concern about their citizen then they can just lower the taxes being implemented but that is not the case yes?  They even planned to increase the taxes because the government only see its citizen as a milking cow.

Cryptocurrency are the largest treat to national security:

The government can still tax centralized exchanges and can implement taxation directly using these exchanges. I do not think cryptocurrency is the largest treat to national security at this level of adoption.

It will be when cryptocurrency holders do not use centralized exchanges and do P2P instead.

[BlackBoss_]

Most governments don't support Bitcoin since they don't want to lose the power to control the financial ecosystem.

They support what they control and can benefit their governance and their political career. Bitcoin is uncontrollable because only people who have private keys can control those bitcoins.

And the majority of the country's leaders don't actually understand Bitcoin.

It's hard to convince some people who don't want to learn, to start learning about Bitcoin. It's not hard to learn basic but it's just there are their own barriers prevent them to start.

So they directly ban crypto.

They ban Bitcoin and cryptocurrency in some nations not because they don't understand about Bitcoin or cryptocurrency. It is only because they want to create regulatory shill to protect their fiat currencies and CBDCs.

A government won't allow them to rule their financial system through Bitcoin since they can't control it due to decentralisation. They consider Bitcoin their fiat's enemy.

I agree.

But it won't prevent us from using Bitcoin. We don't need government help to accumulate and hold Bitcoin. It's called financial freedom, and it goes against government policy. The government never wants to give us financial freedom.

We can create a wallet offline, store our bitcoin offline, air gapped and we don't need governments to approve our Bitcoin transactions so they can not control us.

[pooya87]

The EU and some government believe that cryptocurrency have no Intrinsic value and that you should be prepared to lose all your money if you buy cryptos.

First of all there is a huge difference between bitcoin and cryptocurrencies. In fact as one of the biggest bitcoin believers I have made similar statements before. 99% of cryptocurrencies are pure garbage so they have no value whatsoever which means you should be prepared to lose all your money when you buy them!
This is not some super secret that nobody knows!

Not to mention that every single country (their government or baking system) has already issued a similar warning specially after 2017 when the shitcoin market grew a lot.

My question is are they trying to protect their citizens or what?

It's hard to say. On paper issues like this (as I explained above) are rational. But you should try to find their motivation for issuing these statements.
We know governments seek full control and surveillance. Something as decentralized as bitcoin takes both of that away. So they seek to regain some of that control. This is why they insist on talking about bitcoin and altcoins at the same time and regulate them together whereas they should be completely separate.

For example ICOs (and all the alternatives all the way to NFTs) are banned in a lot of countries but bitcoin is accepted as a legal currency.

Cryptocurrency are the largest treat to national security: The most powerful weapons that countries has is the ability to change interest rate and what they do is to buy and sell bonds to increase money supply or decrease money supply which changes interest rate. Hypothetically speaking, if every citizen in a country no longer use fiat or paper currency and they only use cryptocurrency then government can’t raise money by issue bonds and changing interest rate. What will happen is that government will go bankrupt.

Well different facts are being mixed here. Bitcoin was never supposed to replace fiat. It is the alternative option and we already know altcoins are jokes.
This means this concern has no grounds.

Besides, the financial system has to change. It is not a good thing that governments keep playing with fiat supply (print money out of thin air) increase interest rates (screw up the economy by causing recession) etc. just because they are incompetent to keep the economy stable.

[Yaunfitda]

The EU and some government believe that cryptocurrency have no Intrinsic value and that you should be prepared to lose all your money if you buy cryptos. The head of the bank of England have taken this stance some months ago. In-fact, Bit Coin is highly restricted if not ban in Russia, China, Algeria, Bolivia, Nigeria, Bangladesh and many countries that are left wing. Whether directly or indirectly these countries have stood as Anti-Crypto.

My question is are they trying to protect their citizens or what?

Scams and hacks, we have heard a lot of people losing their hard earned money from scammers and cyber criminals. And then there are those who hide behind crypto, from drug dealers to even terrorists. Although this has been debunk by some data already that they are not using crypto or at least it was just a small percentage as it is cumbersome for them. They still prefer the old method of having cash and fiat.

And with that, there are governments though, afraid to give freedom to get people. This is some of the most authoritative government around the world, because they are afraid that it's very difficult to control them once they earn profits from crypto. And then also capital plight, they want to have their money to flow in their economy inside their country.

[Blitzboy]

Centralised governments often gain power from monetary control. Decentralised power is what cryptocurrency, especially Bitcoin, is about. You're right that countries' most powerful tool is interest rate control, which is almost useless in a crypto economy. The crucial, sometimes ignored issue is sovereignty. State sovereignty is guaranteed by currency and interest rate regulation.

Why do some nations strongly oppose crypto? Your claim that they may be protecting their fellow citizens is reasonable but incomplete. A deeper fear exists. Governments may lose financial power by fully embracing cryptocurrency. If crypto becomes the main form of payment, countries cant use monetary policy to encourage or slow economic growth. This has major implications. Imagine the state losing power because they cant control currency. Interesting yet terrifying for power, no?