Can Governments Really Stop Crypto? The Reality Behind a Full Ban

[nemesis_incarnate]

The point is that if the government wants to ban Bitcoin, they can still ban it. But the fact is that even they know the benefits of Bitcoin, and that is why all countries cannot come together and ban it. If a government makes Bitcoin illegal in a country, that means anyone who makes use of it and is seen will face punishment. So what will be the reason why someone would be doing illegal things? That will really make a lot of people lose interest in Bitcoin.

Just for example, if the USA bans Bitcoin, do you think that those who will hold Bitcoin will go up by 50% in the USA?and from there it losing power gradually  So, governments have the power to ban Bitcoin, but they will never do that because they also know its benefits. But why are they going against it? It is all because of the control that they will not have over it.

Yep. their goal is to expose the peeps through their own services - that way, they would still have strings attached to your coins and you (as a regular citizen) would probably not think about it that much.. Only if a disaster strikes.

[The Sceptical Chymist]

Governments can make crypto inconvenient but not eliminate it.

And since they write the laws, they can make whatever they like illegal--and that would be a far more dire situation than an inconvenience.  If a country's government made the possession and use of bitcoin illegal and punishable by a crippling fine and/or jail time, that would wind up being equivalent to eliminating it (in that country of course, not globally).                                                   

I'm just hoping this is all a debate about things that won't ever happen.  Got all my digits crossed.

[john_egbert]

Governments can make crypto inconvenient but not eliminate it.

And since they write the laws, they can make whatever they like illegal--and that would be a far more dire situation than an inconvenience.  If a country's government made the possession and use of bitcoin illegal and punishable by a crippling fine and/or jail time, that would wind up being equivalent to eliminating it (in that country of course, not globally).                                                   

I'm just hoping this is all a debate about things that won't ever happen.  Got all my digits crossed.

Those that would do such a thing would give a lead for those having clearer minds and the desire to tax more instead of banning and outlawing things.. I too hope for such a thing to stay only in a speculation board.

[Issa56]

Let’s be honest, the fear of a crypto ban pops up every time the market gets shaky or a big headline hits the news. And if you’re holding coins or even just thinking about getting in, it’s normal to wonder, “Can they really ban this completely?”

I don’t think there is nothing to fear about, if the government can completely ban bitcoin completely, then they would have don that. Different countries have tried to ban bitcoin, but they not just successful, they do end up failing. Even if a country declares ban on bitcoin, their citizens are still always looking for ways to accumulate bitcoin, because we all know that the countries trying to ban bitcoin are just doing that just fit their own selfish interests.

[henry_of_skalitz]

Let’s be honest, the fear of a crypto ban pops up every time the market gets shaky or a big headline hits the news. And if you’re holding coins or even just thinking about getting in, it’s normal to wonder, “Can they really ban this completely?”

I don’t think there is nothing to fear about, if the government can completely ban bitcoin completely, then they would have don that. Different countries have tried to ban bitcoin, but they not just successful, they do end up failing. Even if a country declares ban on bitcoin, their citizens are still always looking for ways to accumulate bitcoin, because we all know that the countries trying to ban bitcoin are just doing that just fit their own selfish interests.

Loopholes will be found time and time again.

Until they will realize that BTC cannot be truly banned or stopped.

[ancafe]

I don’t think there is nothing to fear about, if the government can completely ban bitcoin completely, then they would have don that. Different countries have tried to ban bitcoin, but they not just successful, they do end up failing. Even if a country declares ban on bitcoin, their citizens are still always looking for ways to accumulate bitcoin, because we all know that the countries trying to ban bitcoin are just doing that just fit their own selfish interests.

Bitcoin's initial introduction was much more challenging because many governments opposed it for various reasons. However, Bitcoin overcame a long process to reach its current level and more countries are now opening up to this asset. In 2021 China publicly banned Bitcoin entirely and even restricted its citizens from investing and other activities. Despite the final ban miners have grown rapidly there from the initial policy that was made so that this can be a real example.

I'm not particularly concerned about government policies restricting Bitcoin, although we must admit they could have a significant impact on people's involvement. Essentially governments never want to completely restrict Bitcoin they simply create specific policies to achieve the interests you outlined and sometimes even more absurd because the government itself grants operational permits to exchanges to operate in their jurisdiction.

[Patikno]

So even if one country bans trading, the blockchain itself doesn’t stop. People can still hold their coins in a wallet, send them, or access crypto through other channels. It becomes less convenient, sure, but it doesn’t vanish.

Maybe, you are forgetting one thing: the government profits from crypto transactions. We can see that many countries utilize crypto as a source of state revenue through taxes. Rather than trying to stop crypto, they clearly prefer to engage with it for its various benefits. For example, my country is one of those that taxes crypto, and the tax rate is relatively low for me, but every transaction is taxed. Imagine how many transactions there are per day. So, I don't think there is any reason for the government to stop crypto; in fact, they benefit greatly from its presence. Furthermore, mining and centralized exchanges are also taxed, making it even more profitable for a country.

[bournekin]

Let’s be honest, the fear of a crypto ban pops up every time the market gets shaky or a big headline hits the news. And if you’re holding coins or even just thinking about getting in, it’s normal to wonder, “Can they really ban this completely?”

A government can definitely make crypto difficult to use. They can block exchanges, stop banks from working with crypto platforms, and even make rules that scare businesses away. In some places, that already happens. But banning crypto fully is a different story, because crypto isn’t just one website or one company you can shut down. It’s a network. Bitcoin, for example, runs across the world on thousands of computers that don’t belong to one single owner.

So even if one country bans trading, the blockchain itself doesn’t stop. People can still hold their coins in a wallet, send them, or access crypto through other channels. It becomes less convenient, sure, but it doesn’t vanish.

That’s why most countries focus on regulation instead of trying to erase crypto. Regulation gives them a way to control how exchanges work, how taxes apply, and how scams can be reduced, which is something the crypto space honestly needs.

If you want a clearer idea of how crypto rules work in real life, check this simple guide on where we break it down without the confusing legal talk.

Want more straight answers like this? Visit Coinography and explore our latest crypto guides today.

This depends on the government and the county they rule over. can they actually stop it no i don't think so, we are living in a world now where there is always away around everything especially with the strength the internet has in our generation and certain plate forms. yes they can make it more difficult for individual to access and use which leads to frustrating people which can lead to a person giving up on using it. the government can do their best to try control the crypto market but to shut the blockchain down completely is not something they have within their powers to do or put into effect. 

[moneystery]

The government can only make regulations that prohibit the use of Bitcoin in their country, while they cannot directly intervene in the Bitcoin network, because the Bitcoin network is decentralized which means it is almost impossible for the government to stop its operations.
There are several countries globally that completely prohibit Bitcoin in their country, but even so they are unable to completely prohibit Bitcoin activities in their country. So even though it is legally restricted or even prohibited, in practice there are still people who use and invest in it behind the scenes.

[Ronsbit]

Banning crypto in a country can be very easy on paperwork, but it can never be realistic in the practical field. In my country, when t5he governmet placce restrictions on crypto transactions and also forbade banks from transacting and dealing in crypto, crypto enthusiasts still didi their transactions via banks and they had ni idea what was going on, p2p trade was ongoing in the streets and nobody knows about it so tell me how does that sounds to you that the goverment can succeed in exterminating crypto transactions in the country and I can boldly say that it is not feasible and possible to ban crypto just like that.  The truth remains the fact that the government can not stop crypto transactions.

[ThemePen]

Banning crypto in a country can be very easy on paperwork, but it can never be realistic in the practical field. In my country, when t5he governmet placce restrictions on crypto transactions and also forbade banks from transacting and dealing in crypto, crypto enthusiasts still didi their transactions via banks and they had ni idea what was going on, p2p trade was ongoing in the streets and nobody knows about it so tell me how does that sounds to you that the goverment can succeed in exterminating crypto transactions in the country and I can boldly say that it is not feasible and possible to ban crypto just like that.  The truth remains the fact that the government can not stop crypto transactions.

On one hand, when it comes to stopping cryptocurrency through simple law, the governments can do so easily, yet on other hand, it is almost impossible to stop cryptocurrency in real world. Whenever banks are forbidden to deal with crypto, users just move to Person-to-Person trading like you said, where they use hidden terms such as gift or dinner to move trade so that banks would not see trade. Since open networks such as Bitcoin were built on millions of computers worldwide, it would take government closing total internet to actually stop it, and as it has been seen in some countries such as China, people will always find ways of going around blocks through VPNs. Much of countries are finding that ban of crypto is the fight they are not going to win, which leads to loss of tax money and loss of smart coders, and are instead moving to rules like my country Pakistan is also thinking to regulate crypto. So government can make crypto hard or dangerous to buy and sell but they cannot truly kill it or stop people trading it secretly.

[MainIbem]

As long as Trump supports it, the rest of the world will follow, and i think we will be fine.

Even when Trump didn't support it and the US government was strict than now, Bitcoin wasn't stopped.  I don't think it's about Trunp or one, what controls Bitcoin is demand and supply and so far the supply is not much whereas the demand is high then it would keep getting valuable as time goes and cause more individuals, industries, governments to embrace it, therefore making it tough to be banned fully.

[Ronsbit]

Banning crypto in a country can be very easy on paperwork, but it can never be realistic in the practical field. In my country, when t5he governmet placce restrictions on crypto transactions and also forbade banks from transacting and dealing in crypto, crypto enthusiasts still didi their transactions via banks and they had ni idea what was going on, p2p trade was ongoing in the streets and nobody knows about it so tell me how does that sounds to you that the goverment can succeed in exterminating crypto transactions in the country and I can boldly say that it is not feasible and possible to ban crypto just like that.  The truth remains the fact that the government can not stop crypto transactions.

On one hand, when it comes to stopping cryptocurrency through simple law, the governments can do so easily, yet on other hand, it is almost impossible to stop cryptocurrency in real world. Whenever banks are forbidden to deal with crypto, users just move to Person-to-Person trading like you said, where they use hidden terms such as gift or dinner to move trade so that banks would not see trade. Since open networks such as Bitcoin were built on millions of computers worldwide, it would take government closing total internet to actually stop it, and as it has been seen in some countries such as China, people will always find ways of going around blocks through VPNs. Much of countries are finding that ban of crypto is the fight they are not going to win, which leads to loss of tax money and loss of smart coders, and are instead moving to rules like my country Pakistan is also thinking to regulate crypto. So government can make crypto hard or dangerous to buy and sell but they cannot truly kill it or stop people trading it secretly.

The government, though have a way of doing things, can never be able to resist crypto transactions, as enthusiasts always have their ways around the market through their own convenient means. The talk of shutting down the internet would never be possible for them to try because they too would stand the same fate as enthusiasts if they dare such as the economy and other activities related to government functions would standstill if they make such a move. Even though they make such move in their country, other countries too are doing their mining, and the fact that country A shuts down their miners as a result of policy, it does not affect country B, as they too might likely not be against mining of crypto so automatically, country A is losing much more than they can imagine.

[hd49728]

The government, though have a way of doing things, can never be able to resist crypto transactions, as enthusiasts always have their ways around the market through their own convenient means. The talk of shutting down the internet would never be possible for them to try because they too would stand the same fate as enthusiasts if they dare such as the economy and other activities related to government functions would standstill if they make such a move.

They can resist against altcoin transactions and you know by using crypto term, you widen your post stance too much. Crypto includes Bitcoin and altcoins and your point is only true with altcoins that have centralized blockchains and can be ordered to do something by governments.

With smart contracts, governments can order altcoin companies to freeze fund in an address even it is in your non custodial wallets. They can seize your coins even in your self custodial wallets.

If they want technical changes in an altcoin blockchain, they can arrest the founder and create pressure on him in order to force the founder doing something.

Your post is very not accurate if it is about Bitcoin.

[Fivestar4everMVP]

As long as Trump supports it, the rest of the world will follow, and i think we will be fine.

Even when Trump didn't support it and the US government was strict than now, Bitcoin wasn't stopped.  I don't think it's about Trunp or one, what controls Bitcoin is demand and supply and so far the supply is not much whereas the demand is high then it would keep getting valuable as time goes and cause more individuals, industries, governments to embrace it, therefore making it tough to be banned fully.

Many countries have had a form of ban on crypto including the top countries like US and China, I would say that if it was possibly completely ban and erase bitcoin and cryptocurrencies from the present and turn it into history, they governments before before this present governments would have done that before now.

But today, I would say that most of the governments that supports bitcoins and crypto today and developing framework for regulation are simply doing so because they have no choice, there is absolutely no way for them to completely and effectively ban crypto, so the best they can do is accept and regulate it, and also tax crypto earners as a way for them to make money from the market.

[purple_sparkles]

As long as Trump supports it, the rest of the world will follow, and i think we will be fine.

Even when Trump didn't support it and the US government was strict than now, Bitcoin wasn't stopped.  I don't think it's about Trunp or one, what controls Bitcoin is demand and supply and so far the supply is not much whereas the demand is high then it would keep getting valuable as time goes and cause more individuals, industries, governments to embrace it, therefore making it tough to be banned fully.

Many countries have had a form of ban on crypto including the top countries like US and China, I would say that if it was possibly completely ban and erase bitcoin and cryptocurrencies from the present and turn it into history, they governments before before this present governments would have done that before now.

But today, I would say that most of the governments that supports bitcoins and crypto today and developing framework for regulation are simply doing so because they have no choice, there is absolutely no way for them to completely and effectively ban crypto, so the best they can do is accept and regulate it, and also tax crypto earners as a way for them to make money from the market.

Recently, there have been claims circulating that bitcoin is a development of intelligence agencies. As I understand it, this is an attempt to crash its price and so-called popularity. However, I still think that statements of this kind are unlikely to seriously damage bitcoin’s reputation. I also believe that governments are not interested, at least for now, in bitcoin completely disappearing or becoming fully controllable and traceable, since a large number of politicians are involved in various types of corruption schemes, and hiding money in cryptocurrency remains one of the most accessible options.