Topic: Government+cryptocurrencies - page 7. (Read 975 times)

There are many differences between government and cryptocurrency. Crypto is decentralized and it can never be legally administered you should be able to trade Bitcoin, Litecoin or Etherium without any problems. Cryptocurrencies are characterized by high volatility and therefore have ample opportunity to make some gains.  Naturally, this has some effect but what is more important for the price of cryptos is the need of the population. So the price is controlled by the demand in the market.

It's just your positive thinking about this issue, but you have not yet analyzed the negative factors that crypto will cause on their economy in the future. Many countries that prohibit Crypto from circulating in their country have their reasons. You see that making money in the crypto market is easy but you have not seen people suffering heavy losses. The majority of traders are losers, only whales that manipulate the market always win.

for me the government can support cryptocurrency as a legal currency. but it doesn't fully support it as an economic path. a thing for example cryptocurrency is supported by the government from my thinking .....?
-Crypto currency is indeed successful as a small part as a means of payment, which requires it to have value. and superior to fiat money in terms of security, speed, low transaction costs, easy storage and closely related to today's digital developments....
that's from the point of part of my thinking

Governments around the world — including the U.S., China, Japan, Canada, Venezuela, Estonia, Sweden, and Uruguay are either actively working on some form of digital currency.

But governments have very different priorities, and decentralization a main feature of most cryptocurrenices including bitcoin doesn't tend to be one of them. In fact, government digital currencies could herald a new era of centralization, posing serious questions about privacy and the viability of true cryptocurrencies like bitcoin.

There's important differences between true cryptocurrencies and what are generally called "centralized digital currencies" (CDCs). One of the main qualities if not the central feature  of cryptocurrencies is that they're decentralized. This means no single person, government, company, or group can control them. CDCs, on the other hand, are on the opposite end of the spectrum. They are as centralized as can be.

How can this happen if the government itself does not want to accept bitcoin or cryptocurrency?Yes,it could help the economic status of the country if the government have control on it but how it will happen in  decentralize cryptocurrency. Well,if not the government ,cryptocurrency can help to the people who lost their job because of pandemic if their are someone who will educate them.For example if you have a friend or neighbor that lost their job then you are going to offer crypto to them,teach them and education and for sure they will take the rest if they know already the process on joining in crypto space.

We will see futher adoption of digital fiat in the future but gov will never allow money that they coudnt fully control

This is all very fine - all these wet dreams of a world between cryptocurrency and the state. But they break down just about the confrontation between cryptocurrency users and the state machine. Put simply, it is
- crypto users want complete anonymity, security, safety, do not want to pay taxes, do not want KYC, do not want tax supervision
- the state wants to keep under control, to be able to investigate crimes, issue suspicious data, register all wallets, taxes on trading

Until these issues are not resolved, you can forget about the ubiquity of cryptocurrencies and the ability to legally (completely legally) pay for a purchase on every shop

Not really from the government's point of view because almost every economy is working from the tax money collected by their citizen but if we have peer to peer transactions everywhere then no one will really pay the right tax amount they should pay based on their earnings.And also the government want their people under control of them all the time so we can't expect them to give us full financial freedom.

A little civics lesson :
The government we are talking about is Democratic parties , I do think you should have understood that by now.

China and North Korea I consider lost cases, they have been torturing their citizens , the news of government oppression is everywhere , it's not a government it's a joke.

I do not think even for a second that any governmental except *Democracy* is considered government.
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Plus , how it can be a solution :

We can directly scrap out the middle man both in terms of selling goods and both in terms of receiving payment , which would mean that the benefits are going directly to the farmers or common man who is working day and night .
I went to the factories near my house and they paid not even 1 Rs to the workers to make a mask of 40 RS , therefore what it means is that all this profit or 39 Rs is going in the pockets of rich who have 1000 factories like this .
If they start accepting payment in Bitcoins for example , no one would question them , they won't have any problems with the government and bank too if the selling volume runs high. At the same time it will make the market better for them , considering they encash after timely intervals.
People can also sell things internationally since with Bitcoins we don't have to pay this fee , that fee , currency conversion fee. One can literally take their business internationally if they want to. It was just an example but there are many more ... You can use Bitcoins and other cryptocurrencies in the way you want to use them.
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Plus talking about the unfair war , what's unfair is banning cryptocurrencies overnight and giving people a small time period to sell their Bitcoins , people are encashing and having their money in their banks , then they are going to send that information to the government , from where you are going to get a tax notice which is not even reasonable. Government believes that cryptocurrencies is free money.

What unfair is forcefully taking the Mining farms in Venezuela.

Government oppression is far more worse in the developing and underdeveloped countries, some of you might be belonging to the ones where the government is good with Crypto but with most of the countries it's a very serious issue.

For government the direct definition of cryptocurrencies is : Scam.

Even right now the government of India is thinking of banning cryptocurrencies forever and going to implement a time in prison for 10 years . :3 If they do that I do think we should all at once trade our coins so that their prison cells will be filled to the brim and then they can waste their time making new ones .

It's unfair , not speaking from Google or anything am speaking from my personal experience.

Unfair war? Possible from our point of view. Because we often dont see both sides of the "coin" and tend to traffic one sided opinions in delusional manner.

Governments have a lot of work at hand. Similarly when you have work at hand which are having more priority and someone is hammering you to do something else of less priority, what would be your situation? Same with the governments here.

Of course to the person who needs something, this seems "Unfair" that their reason is being given less priority but it is what is true.

Many countries have allowed the use of crypto like North American countries, so I am very optimistic about the future in the Indian subcontinent too. We will get more governments accepting bitcoin usage as per their people needs but it will take time.

How can cryptocurrency be a solution for a collapsing economy? Based on what indicators do you have such a hypothesis? The economy is very complex, while cryptocurrency is only a tool for driving the economy. The use of an algorithm can indeed minimize manipulation but for a centralized system, the system maker can still intervene.


Venezuela does not choose to use bitcoin, but rather because (TINA) There is no alternative to Venezuela other than adopting bitcoin. The adoption of bitcoin did not become a solution for Venezuela because in the end, Maduro admitted that Venezuela needed dollars to maintain economic and political stability. Venezuela relies on oil exports for income and relies on imports for its country's needs. What can cryptocurrency do when oil prices fall or to reduce import dependency.


The volume of bitcoin or cryptocurrency traded is indeed high in India, but the foundation of the non-real sector cannot be used as a reference in the real sector. What India needs now is development and growth in the real sector. Precisely if the value of crypto trade is large but economic conditions remain weak it can be said that cryptocurrency has no influence regardless of whether the government legalizes it or not. Is there a guarantee that if the government legalizes cryptocurrency, the real sector will grow as fast as the movement in the cryptocurrency trading market.


The main purpose of bitcoin is to eliminate the role of third parties. So in a decentralized economy, the functions of banks should change from profit-oriented to service-oriented. Bank practices that historically created bank interest, created fiat, and created investments in the non-real sector. Is the cause of the bubble economy, the exploitation of natural and human resources by a group of people, and also the world's welfare gap. The government actually considers banks to be very important and protected by the government. Banks are considered the mainstay of the country's economy.

That's because probably it will just cause a huge conflict in the market and in the country if government will interrupt those people who are using bitcoin peacefully.


Governments will surely just benefit our cryptocurrency from their taxes so it is much better for them to let us mind our own businesses.

Little did they know that bitcoin can help a poor people grow in life, not only financially, but as a human being with prior knowledge about the market and economy. They are already benefiting our crypto from the form of taxes that they are getting in an exchange and that's enough for them.

As much as we love to hear this kind of idea, I don't think that this will be the short term solution for now. Crypto is somewhat divided as form of investment and or store of value, neither can really solved the problem the we are facing.

On the bright side, it could help on a certain help, but to consider this as like a magic bean to really turn one countries economy if they full support it? I doubt it, government right now really needs to find a way to get back their economy in this pandemic.

Exactly, government in any way or form are going to oppose crypto, whether we like it or not. We have seen the attacks or at least try to curb and control ever since 2017.

It's debatable, some countries are very friendly, some are hostile, and there is the middle ground, they do support but with hard line stance regulations. As far as bitcoiners, you're lucky if you live in a country when your government has full support. But for those who aren't as lucky, I think you can still be a bitcoiners, but you have to be very careful.

The solution right now is to implement more industrial activities somehow to improve the employment rate, as well as supporting domestic production for those that largely rely on foreign relationships. Plus, with how things are right now, you're pretty much saying that the solution for the economic crisis is trading of cryptocurrencies. Still, an investment, when it's supposed to be used as a currency. Additionally, even if countries support crypto as an investment, they'd basically be taking money from each other, one way or another, someone would be losing in this parade.

The economic situation would only improve if the government is able to successfully stimulate the economy, using their Fiat. Crypto itself afaik has no particular effect on stimulating the economy of a country. The stimulus package failed to improve the current situation because it failed to elicit the response that the government wanted.

The reason some government decide to create their own digital currency was because of the IMF boss previous statement about crypto to be liberty but they choose to create a fiat backed digital currency just to hype people with insufficient knowledge cause they only planned hype people.

Thats correct and i think the government understand this but they dont like the role of crypto being free from third party which the reason most government officials said negative things about bitcoin and later say positive things about it after the left the office.

Governments can't support cryptocurrencies because it is against the morale of a state where everything must have rules defined by it, controlled by it and a currency created by it.
Cryptocurrencies being stateless it doesn't go well with a state.


But do we need government support? I think not, as long we have a need for BTC, in our daily life, we participate in creating an economy, we don't need approval or support.

Government support to cryptocurrency will not revive the economy, we've seen governments printing more money (fiat) this period and giving them out as stimulus to citizens to aid them due to the covid-19 pandemic, that is the currency they can print, it's the currency their actions can cause inflation on. They can stimulate the economy by also opening businesses and generating more cash inflow, this are just a few things and there are plethora of other things they can do with their fiat to speed up economic recovery, because they have the control.

But bitcoin the govt cannot control and we've literally discussed it many times before they can only ban it, and control it in their country but not the price, volume, market cap, etc. The government cannot use bitcoin to make the economy strong again because they cannot act as a third party in it. I'd only vote for govt support for the sake of enthusiasts in countries where it's banned, they the citizens should have freedom to use it like we do.

Governments are slowly acknowledging the fact that cryptocurrencies will continue to exist and there are already a lot of users that are using it. Due to that, they are becoming more and more lenient to cryptocurrencies, and I think that leniency will develop over time as the number of users for cryptocurrencies reach a huge number. They aren't blind on our situation here and they sure are watching the development of cryptocurrencies (though not very closely), and for sure they are already building strategies as to how would they tackle regulations systematically.


North Korea, China and Russia would love to have a word with you.

You do realize that even today, there are communist countries that are dominated by the government by showing a little hint of fascism on their way of governing?

Honestly I do not see that type of war against crypto by the governments. They are making it more legal nowadays and truth be told huge corporations get into it as well, if not crypto at least blockchain and that means that these are the people who bribe politicians that will go into that type of situation.

This is why I think it is quite important that we realize there is an opportunity here for the small investors as well, if you take that into consideration and you manage to make it something like a way to make some income from it like those big ones are making, that means you would be capable of doing what the big ones that bribe politicians for without spending any money of your own to get governments leave you alone. That is at least what I think is going on, maybe I am wrong who knows.