Topic: Cryptocurrencies are now playing a major role in regulating the economy (Read 184 times)

I believe for Bitcoin or cryptocurrencies to make an economy regulated, they don't really need the government to make investments in them publicly or make them legal tender, as long as a country is okay with them being used by their citizens and are simply just putting some regulations on them only for the safety of their investors. Bitcoin is already pretty popular all around the world but most countries don't yet have any rules or regulations for it.

It will definitely be a big challenge for governments and traditional financial systems to accept this change and allow people to have direct access to their finances and financial activities since that will basically take away the control that they previously had over their citizens or people.

They need survey to tell them this, the main source of crypto market money sit in the united state which is about $82B and not only used by the US alone, it is now part of the Defi and Cefi in crypto space and regulating it will only work for the Cefi which we all regard as the centralized finance of the cryptocurrency. Regulation might work though but will be restricted to the US citizens, the man who live outside the united state don't give a damn about their stance about crypto.

If your stats are correct, I have a feeling that they are going to pass a bill that will favour people because you just said about 53% of the Americans see crypto as the future, if they don't do it, another person will use it to campaign in the future to win in order to pass the bill. There were rumours surrounding a wallet that contains about $500k in Eth that may belong to Donald trump and we all seen how he has been going underground to create some waves against next year election.

The contribution of cryptocurrency to world sit beyond what politicians think, it's the will of the people and one day, whether they like it or not, they will allow the free of people to work even if the government don't encourage it, so far there is nothing illegal about it, the adoption must agend with the people, either today or tomorrow, or with and without Americans.

Definitely.

On this times, anything that emerges and if there's money in it. You bet ya that the government will see the impact of it if there's a potential and growth on it.

And as for the crypto market, there's been a significant contribution that it is making in any country where people are involved in it. Not just that, they have to recognize that it has actually a global impact.

Coming from the huge exchanges up to the small individuals like us.

I disagree with the notion that it has that much to play with it just yet. I am not saying that it doesn't matter, but the word "major" is the problem. If the sentence said "some" role in it then I would have agreed. Major role is a huge thing and I do not think that we are at that major level just yet. We are at a level where some of the people use it for some of their income and that's about it, there is nothing major going on. This doesn't mean that its not going to happen in the future neither, we may have it in the future but at the same time its going to be a bit different for a while longer. Just realize whats going to happen and we should be considering that as an option.

Among big institutional investors.

Yep, cryptocurrencies called CBDC, not bitcoin.

And now in the center of argentina's elections. Cryptocurrency is a convenient way to promote the election campaign. Now only lazy people don't use it.

I'd like to see those studies. By the way, in the economy of what? Which country? World economy?

And when will this future of theirs come, in which the economy will be dominated by crypto?

A poll of americans doesn't yet mean that the results of this poll will be implemented in the future.

Who is promoting this idea of regulation? Is this really what the americans want? Another pushing through of laws under the guise of the fact that the people themselves want and demand it?

With regulation, dependence on banks and financial intermediaries will be replaced by direct dependence on the central bank and government. Why is it better?

You use the term cryptocurrency, but it is completely incomprehensible from your text what kind of cryptocurrency it will be? Bitcoin, really? I can't believe it!

I'm not sure that in the economy of each country, but it will definitely affect the future world economy.

Op, I realize you're new here, but when you share data from a survey, you really should include the link to the survey in the post. I assume the op is talking about this survey (based on 53% believing that crypto has a future). The survey was done by a company that specializes in cryptography, not by a sociological polling company, so it's hard to assess how representative it truly is. If it's just a survey they did online, it can be representative of people who are already pro-crypto or curious about cryptos, for example, but not the general population. Also, crypto as the future of finance is a very vague statement, as people could mean a lot of different things by it.

If this statement is indeed a fact, but when it has something to do with certain parties, then we already know its purpose. In the run up to the US election, everyone is trying to be friendly and it is not uncommon for any country, government or any party group to come to the surface to compete with each other to seek the people's votes in order to achieve their interests. But after that the policy is still a policy that runs without control so it will not be easily approved. Believe that politics plays a role in capitalizing on the positive trends of the crypto sector to become the most ideal choice to gain the support of young people.

That's playing a major role because the topic is solely focused on cryptocurrency so I don't think that's really what crypto is right now, someone could easily change that to some other aspect of an economy or country like agriculture and real estate and we would assume the same thing, the best measure is to list the stuff that's regulating the economy and vote on it to see who's on top and I'm telling you it's not cryptocurrency.
Not enough optimism, we need people to be more aware and rid the crypto space of negative stereotypes, this is a case of overhyped and fanaticism of cryptocurrency, we should be realistic and see that it's not really the case because if crypto really has a big role in a country's economy, we would feel it given that crypto market is volatile.

This might be a cliche but the answer will depend on so many things, the first is the education level of the people in the country, doesn't matter whatever tech that brought to a country if the people is not educated then it won't be any use. Before any country adopting crypto or bitcoin they should improve the education level of their people, and for some country I believe it's not an east task. And then there is other factor like the political condition, the internet infrasturcture .etc.

Countries are waiting not to jump into adoption of bitcoin yet. They are at the sideline watching how El Salvador is struggling with her own adoption of it and I believe after the halving and the bull of bitcoin by next year when the value will increase, you will begin to see more countries wanting to adoption it .


Yes especially in the area of youth empowerment and financial freedom. Bitcoin creation is the innovation that the youth are the most beneficiaries of and so with the lack of employment and underemployment, the youth have found bitcoin as the option for investment and financial freedom potential. That will help in increasing youth development in blockchain education, cryptocurrency project financing, management and investment etc , this will inturn lead to healthy financial economy because there are going to increase investment opportunities in youths and growth in the GDP of the country.

Cryptocurrencies' developmental process is able to drive fast-paced innovation due to their openness and open-source nature. Furthermore, the communities around it are widespread the idea to the general masses. So if we talk about the potential of cryptocurrency to be able to adapt to the ever-changing technological and societal landscape, I do believe cryptocurrency is able to contribute to it.

But in regard to it significantly contributing or act as a major role, there will only be a specific project that truly garners the adoption. Considering there are 99.9% scams out there, there will be a few projects that truly get well-deserved adoption.

There is no denying that if cryptocurrency is widely accepted and allowed to be used, it will have a dramatic impact on the monetary system as well as the economy today. But do you think the government will let that happen? I mean, will the government let cryptocurrencies replace the role of banks? While we all know that banks are the trump card of the government, so they control the economy as well as control us. If they accept bitcoin as a currency, as a means of payment, won't banks be eliminated altogether? So I don't think that's going to happen anytime soon.

The world that democrats and republicans are living in are entirely different when it comes to crypto regulations. Most democratic politicians on the federal level believe in stringent regulations and higher taxes on cryptocurrency. Joe Biden explicitly laid out framework for crypto regulation under the guise of consumer protection: https://www.whitehouse.gov/briefing-room/statements-releases/2022/09/16/fact-sheet-white-house-releases-first-ever-comprehensive-framework-for-responsible-development-of-digital-assets/

It's essentially a bunch of jumbled up jargon, hitting on all the buzzwords related to fraud prevention and consumer protection. When translated, it means higher regulation and bureaucratic red tape related to crypto. Republicans aren't particularly pro-crypto either, but relatively speaking, they are compared to democrats.

Then there exists some portion of politicians that couldn't even define cryptocurrency.

The possibility of this dominance has been some of the bases for its outright rejection by most. That’s because, they see in so many ways how they wouldn’t be generating the needed income from taxes not being able to properly regulate cryptocurrency nor taxe it. This makes it a daring thing to do because, once they accept it and open the eyes of the public to what could be, there wouldn’t be any going back from there.

Regulation as well isn’t something that the crypto space is about as, it’s some of its many qualities that makes the space more adorned and taking that away from it would mean, taking a part of its qualities. Little wonder why people run from doing KYC. They want a space with no ties and that’s what regulation speaks of, ties and more.

I agree that Bitcoin's already a major economical force. But it varies widely, region by region, and country by country.

In North America and some European countries like Spain it seems Bitcoin is already popular as a speculative investment. But it has no major incidence in these countries' economies. If crypto went away, the macroeconomy wouldn't be affected much, it would be like some people had invested in the wrong stocks.

But in countries with weak currencies it's different and it really "regulates" the economy somewhat. In Argentina for example it's really playing a major role. It regulates the economy in two ways: First, it provides an additional means to save money, which even in crypto bear markets is still better than the national currency. This means that banks have to adjust interest rates of their "saving" products to match crypto's performance. While foreign currencies fulfill a similar role too, their market is restricted, so crypto has a relatively high market share (in this case it's not only Bitcoin but also ETH and stablecoins).

The second way it "regulates" is providing a connection to foreign markets and currencies. It's not unpopular in Argentina to buy Bitcoin to travel abroad for example, even if then many sell them on the USD market to hedge against the BTC volatility risk. This "loophole" in my opinion has more positive than negative consequences for these weak currencies. It reduces the shortage of "real" foreign currencies that are available in these countries (both on bank accounts and as cash), and thus can give the central banks a bit of air to breathe when they try to stabilize their currency, as it reduces the demand for their dollars/foreign currencies in general.

I agree with you. Cryptocurrencies are just a tool for trading and a good testing ground for CBDC implementation. For ordinary people it is indifferent whether to use CBDC or cryptocurrencies. The state will conduct the necessary advertising policy and offer bonuses..... Therefore, legalization of bitcoin will do little.

The United States is the strongest economy and it’s enough for the manipulation of word economy.Now the American government with huge number of youth representative,So their are more possibility to accept the bitcoin and cryptocurrency as their investment assets.When the cryptocurrency was legalised in the United States,it will impact the crypto market huge.The price of bitcoin will 10x of the current price,the American economy followers will follow the schemes of American blindly.

I doubt whatever you are saying. Right now obviously there is no way you can say that cryptocurrency is actually affecting the overall economy. A fraction of even the whole of the global market cap combined is nothing in front of the fiat and stock's economy that is going on. But yes talking about the future, right now until legalization kicks in anything can't be said, but even after legalizing it, chances are it will just become an investment tool, even in that case it won't become a major part of the economy, it'll even be far behind the commodities economy. Surely it's an issue the world has eyes on but surely not a thing that can impact global economy so quickly.

of course i agree with this, the presence of cryptocurrency really makes the world economy change drastically because the role of banks will be replaced and all transactions become transparent, just imagine we can send large amounts of money across countries in an instant without the need for complicated questions from third parties such as banks.  but laws and regulations on cryptocurrencies in various countries are still different, this is what causes the adoption of cryptocurrencies to be a little hampered, because there are many interests that are protected and also damaged by the presence of cryptocurrencies.

Let's go in parts, several things in his idea, which by themselves each generate debate, sometimes a simple question, like the one in its title, is useful, although it is more of an assertion, a matter of grammar, anyway.

You have many points or there are several data there that must be supported, since you are opening the topic, OP, so if you say that every 5 out of 4 Americans accept crypto, ok, it is 80% of a country that has more than 300 million inhabitants, for What are impressive numbers for the "famous" issue of adoption, you must support that with a source that is reliable, since a link from your blog or from an influencer is useless.

If we analyze the phrase "... Better role..." it is very generic, that is, it is better than 10 years ago, of course, it is obvious, so it is very generic.

In any case, being more involved in the discussion to legislate or generate comments from the rulers does not necessarily mean more influence on economic regulations for traditional conventional situations, which is the change that is required.

Therefore, I do not believe that there is a great advance in this sense, being anonymous in my transactions is frowned upon, using a means of payment such as bitcoin is not openly allowed, among others.

Although the issue is in the fore, basically it is sought to have control over a technology that empowers the people, but that does not mean that it has a direct influence on the traditional economic processes of each country, it is still a long way from achieving it.

Be careful, I am not with my thoughts wanting to be in that linear idea, but it is reality.

I want to go to the bank and ask for a loan, for example, and support it with my Satoshi, that is not possible today.  At least in my country I have to sell them and support them in Fiat currency to have reliable support for traditional credit, yes, perhaps this is another topic, but the question is, what economic regulations are we talking about in your topic, ah!  Yes, those who want to control bitcoin.

I thought we have passed that types of discussions after seeing huge adoption and fight for BTC among different governments and platforms. Everyone is trying to get there hands on BTC. Why? Because they all know BTC is going toward next ATH. And in that journey we will see how it will help those countries who have adopted it as legal tender i.e. El-Salvador. How there economy will boost once the BTC make another ATH.

The thing is, most of the countries still do not want to make money out of BTC or any other crypto related technology. And my country is one of them but I hope one day there will come some educated people who might know how to get benefit from the golden opportunities with time.

A significant surge in cryptocurrency investment has swept across the globe. Every country worldwide is now actively considering their stance on cryptocurrency. Cryptocurrency was even at the center of the US election. Various studies have shown that cryptocurrencies could dominate the economy in the next few years. Despite the political divide in America, Republicans and Democrats agree that cryptocurrencies will dominate the economy of the future. A survey found that more than half (53 percent) of Americans see crypto as the future, including 59 percent of Democrats and 51 percent of Republicans.

Currently, Americans want the regulations for crypto to be more transparent so that they can adopt it better. Republicans and Democrats also agree on the need for regulation to ensure that it becomes a safe investment option for American investors. 4 out of 5 Americans have a positive view of crypto. The acceptance of crypto among the American youth is so high that the American government is also paying special attention to it. A majority of older voters among American citizens also believe that crypto will create a more equitable economy with less reliance on banks and financial intermediaries. Crypto is currently the top investment choice for people aged 18 to 40 in this country. In almost every country in the world, the positive attitude towards crypto is increasing day by day, as a result of which cryptocurrency is going to play an important role in the economy in the future.

Will you agree with the thought that cryptocurrency is going to make a significant contribution to the economy of every country in the world ?