Though it’s easy to see why governments would want to regulate the movement of digital currencies, the reality of doing so is much harder. A lot of wallets have no identification to them and rest on a server in a third party country. In the case of offline wallets in devices such as the Ledger Nano, they’re not connected to any network.so is it possible to regulate ?
To simply put it, in my humble opinion they cannot be regulated whatsoever. Also ,I don't think government bodies actually properly understand what this technology is, let alone they could regulate.So you know what they come up with?? All sorts of ban. That's in unfortunate situation
Topic: how governments can regulate digital currencies? - page 10. (Read 2207 times)
The answer on this question lays in this question. If the governments will know that this wallet is belong to you, only then they can take taxes from you. KYC/AML is very useful for them in this case.
What government can regulate are the transactions that are registered or being done through local exchanges or international trading platforms. They can't fully regulate if we are going to talk about those offline wallets because they really can't, they know what's the strength of crypto's and that is having a wallet which can be your very own bank account without any information to be given away to the wallet provider.
The government cannot regulate digital currency Cryptocurrency, because digital currencies are anonymous and decentralized. but the government can regulate the coin exchange market, the government can apply the Cryptocurrency tax from it. For example we draw 100 bitcoins. For example, the withdrawal fee is 0.3% and the government tax is 0.2%. So that each withdrawal of our coins is cut by 0.5%.
I feel one of the so many reasons government will not be able to really regulate digital currencies is because of its stand alone construct of existence. It doesn't have a central body or a regulating body, so the idea of having so many coins with a lot of third party base is a factor that won't be easy to take control of. Unless they can pick an already existing market, or coin, take for instance bitcoin. Since bitcoin is the most recognized and most traded coin, which has made more impact more than any other coin, then it should be picked and worked on, if done so, it could help develop a watching policy that will guide it's mining and exchange.
Though it’s easy to see why governments would want to regulate the movement of digital currencies, the reality of doing so is much harder. A lot of wallets have no identification to them and rest on a server in a third party country. In the case of offline wallets in devices such as the Ledger Nano, they’re not connected to any network.so is it possible to regulate ?
Although it is hard for them to regulate the wallet individually, they can still regulate any trading platform. We all know that all centralized platform is somehow regulated by the government. 
how do you regulate currencies.. the same way you regulate liquids and plants
you cant destroy the cannibis growth or the beer growth or its consumption.
the war on drugs and alcohol prohibition era proved that.
all that is done is outlawing or controlling the people and businesses. but thats IF agencies find whos selling or buying it.
but yea
blackmarkets, street dealers still happen
moonshiners, 'speakeasies' still happened
you cant destroy the cannibis growth or the beer growth or its consumption.
the war on drugs and alcohol prohibition era proved that.
all that is done is outlawing or controlling the people and businesses. but thats IF agencies find whos selling or buying it.
but yea
blackmarkets, street dealers still happen
moonshiners, 'speakeasies' still happened
Lets\'s be objective guys, it is better to stick on the above topic as posted, On the issue of regulation by Government agency on the entry of Crypto Market on Digital transaction, we have both positive and negative implication as to Regulation. Positive, we can transact openly in the market, Crypto coins can be openly used either for our basic utilities, food etc.etc. Negative are, the Taxes for every transaction on the market, it may imposed higher taxes, surcharges, etc.etc.
Government should legalize the crypto and allow banks that start a section of crypto and there should be KYC necessary before doing any transaction.It will encourage the people to use crypto through banks to avoid scam or fraud and also government will monitor the financial activities either illegal or legal.
Though it’s easy to see why governments would want to regulate the movement of digital currencies, the reality of doing so is much harder. A lot of wallets have no identification to them and rest on a server in a third party country. In the case of offline wallets in devices such as the Ledger Nano, they’re not connected to any network.so is it possible to regulate ?
Yes, cryptocurrency could be regulated and even could be taxed by the government on that particular country. Like here in the Philippines, the cryptocurrency is being regulated through local exchange. Thus, we could not convert our fiat money using another exchange for it will be risky also in transferring money online for a payment in cryptocurrency and it is also a burden to do it for it need some credit cards for one to buy crypto outside the country. So by this local exchange one could be traced through one time KYC. This is how they regulate every member in converting fiat money to cryptocurrency. 
Though it’s easy to see why governments would want to regulate the movement of digital currencies, the reality of doing so is much harder. A lot of wallets have no identification to them and rest on a server in a third party country. In the case of offline wallets in devices such as the Ledger Nano, they’re not connected to any network.so is it possible to regulate ?
They can regulate but only if peoples want to use selling their digital currency to fiat currency.
as long peoples using digital currency without using fiat currency, i think government cannot regulate them.
Most of the digital currencies are decentralized, so you might think that there's no way for the gov to regulate it right? wrong. Since cryptocurrency has a value, a person must cash it out somehow. The government will impose laws and rules on exchanges so they can control the crypto in and out of the country. This is only one way, there are many ways for the gov to do it.
Only by working with crypto users in person, I don't think that there are other options how can they perform this, actually I'd say that it nearly cannot be put in reality.
Regulate of course can and should be.But for this, you first have to support the cryptocurrency at the state level.Create a special registration system with support for registered users.Just like business.There are companies registered with white papers that pay taxes and receive government support for employees and users.And there are illegal companies that are persecuted by the state as illegal.It's time to step out of the shadows to the next level.
Direct regulation will be possible only if some government launches its own coin on the market, and regulation will only concern it. Indirect regulation will be possible through operations to transfer cryptocurrency to fiat. It is also possible that some operations can be tracked through KYC.
I think that to regulate cryptocurrency movements will be difficult for the government to do, because cryptocurrency don't involve third parties in the exchange.
The government can dramatically affect the cryptocurrency market and bitcoin. The fact that now they do not work with the government and illegal, in their direction can apply measures that can greatly affect the course and capitalization of the market.
In my own opinion Bitcoin doesnt need to be regulated by the government it just needs to be accepted by the government and they will be forced by the community in the future and theres nothing government can do when the public already speaks.
of course it needs to be arranged and accepting it is not as easy as you think. the government must be able to regulate it and control it to reduce the risk of fraud or crime.
They should be self-regulated. People are capable of bottom up organisation. We don’t need no Leviathan to tell us what to do. Plus, the idea is that we entrust algorithms, rather than governments.
In my opinion the only thing to regulate at the moment are not the currencies themselves, as they are automatically regulated, but the exchanges, also the ICOs that raise money and then run away with it.
In my opinion the only thing to regulate at the moment are not the currencies themselves, as they are automatically regulated, but the exchanges, also the ICOs that raise money and then run away with it.
Any decentralised currency cannot be regulated by itself, but mechanism’s can be put in place to try to make it transparent, For example currencies like Ethereum and Bitcoin are completely Decentralised any Developers can just push another version on top of it, Replacing it’s Merkel Root and Genisis Hash will result in new currency. So By it’s very nature it cannot be modified once blockchain has been started. By their very nature these currencies by their very nature doesn't need to be regulated but the business involved in this technology need to be regulated and shall be accountable to the nation they belong to this will result in protecting fate of end consumer and thereby people will have more ease and trust on cryptocurrencies.
In my own opinion Bitcoin doesnt need to be regulated by the government it just needs to be accepted by the government and they will be forced by the community in the future and theres nothing government can do when the public already speaks.
of course it needs to be arranged and accepting it is not as easy as you think. the government must be able to regulate it and control it to reduce the risk of fraud or crime. Jump to: