Topic: What if governments make Bitcoin centralized? - page 8. (Read 1084 times)

It wouldn't so far fetch if all governments ban mining for they only make it for them, they are the only ones allowed to mine. So they would have to ban it first and then pass a law that only the government can have a mining farm. This is close to being centralized.

Today, they start the news with an energy crisis in which they would have to monitor the energy usage of all house hold. But it could be in reality they'd be monitoring if anyone is mining. Just a conspiracy theory. 

if bitcoin becomes the world's currency then that's pretty crazy, which is a good idea, but we have to realize to be like that and what we hope to be requires a very hard and rigorous process. For that we can hope and declare something crazy for the future, but we should not forget the process..! I think there's some hope for bitcoin to be centralized, but it's impossible in my country, because they still think bitcoin is the enemy of state banks, so it's very difficult.

To begin with, the Chinese nation has an exceptionally subtle mentality, it is a kind of closed community that has developed for several thousand years in parallel with the rest of the world. Yes, they also have corrupt politicians and mercantile people, but the Chinese first of all take care of each other.

Therefore, you can forget about the long-term prospects, because what their government has done will ultimately benefit only the Chinese. I deviated a little from the topic, but it was just about strategic interests ... If China really saw an enemy in Bitcoin, we would see a lot more attacks no matter how many years ago there cyber department learned about the existence of Bitcoin. 

This, governments do not play following the rules of someone else, they are the ones that get to make the rules so I doubt they will try to subvert bitcoin in that way, they will just create their own currencies that look like bitcoin but which run on the opposite ideals and promote them heavily on the media, people then will just adopt them thinking those currencies are a better form of fiat and will think they are better than bitcoin as they have the backing of the governments, only a few will realize the trick and will get the real thing, which is exactly what is happening right now.

Can be possible if they will buy the entire market and put everything in their hands. We sometimes think that prices are already manipulated by whales, by influential people, and yes, we could admit such a thing. But it just stops there, that is the only thing they could do, and still, they can't control the entire market knowing that they don't hold this. And I know that no country has the courage to take it all in order to have this control and risk money with this volatile market. It never makes sense anymore and they could not benefit from this then rather have their own currency instead.

Each country does have particular takings about Bitcoin and most of them do falls on the negative side which they are trying to centralized or regulate things around which do involves bitcoin which it isnt surprising that they would come up into that idea because talking on centralizing it directly or technically couldnt really be possible and for sure they had able to try it out since from the beginning
when bitcoin is starting out to make out some popularity and making such bigger adoption as years passed which it wont really be that surprising that they would really be
testing out different ways on just to follow on whats up into their mind.

However, it must be decentralized, as long as you use an exchange or use some centralized medium, your funds are completely decentralized in the Bitcoin blockchain. No one has the power or ability to seize or freeze your wallet's funds unless you disclose your private key. "Decentralized" and "Anonymity" are different things, Yes nowadays it is less anonymous but still fully decentralized.

Once there is a country who can prove its beneficial in their government, one or two government will sure to start to follow but since making Bitcoin centralized is against on its purposed that’s why some country did not tend to focus on it as they see more ways that it will not be helpful in their government or will not make money for them like China is  focusing on implementing their own crypto and banning cryptos that will make their people out of paying taxes to them.

They're very late if they decide to make it centralized.. And for sure for them its a waste of time since the value of bitcoin price itself is very high, so for short its useless.  But you know if they're really interested on it wherein if they have plans to implement such decisions perhaps at the first place they already execute that thing.. But the fact that most of them were very against in crypto, reason they ignored it and want to ban it instead. Lol so don't expect a good decision from them when it comes crypto because they don't like such thing ever since before., and for that reason it's impossible to happen as well in the future..

bitcoin is already centralized

1 - many rich people hold many bitcoins

2 - exchanges ask for KYC and real data when people create accounts

3 - for people to buy bitcoin they use bank accounts

4 - most people (I'm one of them) withdraw bitcoin to bank account

5 - Most people are always happy with things like Bitcoin ETF precisely because they want big investors and regulatory markets to come in and start using or trading bitcoin

about mining? Oh electricity is from the government so where is the decentralization?

I don't think bitcoin can become centralized. Even if the government manage to do what you just said, you can always use some other crypto. They cannot go after all of them. There will always be some independent/decentralized projects out there. My second choice would be monero probably. I think it would be a great replacement for bitcoin and it has an awesome feature which bitcoin lacks, anonymity.

Pure fantasy, it's not that easy to go and check bitcoin, maybe one way (MAYBE) if all the world agrees, I think such a thing is impossible. You cannot manage these flows, El Salvador has made good use of bitcoin, I have read that the president plans to create 20 schools to study cryptocurrencies.
Surely as some say they could create a new cryptocurrency or use existing ones and adopt them ... the world has changed and will continue to change, bitcoin for life

I also agree with you here. With most world Governments still not giving that green light for cryptocurrencies to be traded freely in their countries, I don't think that they are likely possibility that something like this can happen, and with people like Hillary Clinton warning nation-states to pay attention to Cryptocurrency Crypto Has Potential for “Undermining the Role of the Dollar as the Reserve Currency” why would a country like the US even think of that as you said. I know people will continue to think if there is a likely possibility of some moves that some Government can do to control or bring down Bitcoin and other cryptos but I think this can be one of them.  

China takes the alternative route by placing restrictions, and laws to prevent its use. That however, usually has a detrimental effect in the long term, once the people start getting tired of being censored. However, I think the point still stands, China wouldn't benefit attacking Bitcoin by taking the majority of network hash rate, since there's cheaper ways to try, and prevent people from using it.

It's one thing achieving the majority, but maintaining it for any period of time where it would contribute considerably to their goal would be rather unrealistic, and unsustainable. Hence why we haven't seen it, Bitcoin has many enemies, yet there hasn't been that many significant attacks. Bitcoin is getting stronger as time goes on due to increased adoption, the optimal time to attack was the first opportunity that they learned about it. Though, I guess back then it didn't have as much faith in it as it does today, though that's the counter balance really, it isn't going to be sustainable for anyone for a long period of time.

Very interesting, but as said before the government will care fully for the remaining percentage of mining which is currently almost 10%? obviously the government is just going to do its lot of alternatives to try to match Bitcoin even though it will never be the same.
There is always the possibility that the largest country will go on a massive expansion to adopt Bitcoin totally for 100% legal payments like El Salvador. Don't even use other alternative payments.

Let's see, that there is an opposition that is ready to launch an attack, El Salvador has it too and that will not be extinguished by the defense that the opposition does not like Bitcoin. This balance will make Bitcoin not fully centralized but will remain decentralized.

Nope, not really.
A 51% attack is what the name says, an attack and it's not a total control of the blockchain, one miner can choose to mine his chain in secret and when it's convenient for him to release his longer chain. But when this is over, it's over, the chain goes on and he must again mine in secret and release his longer chain back to the public over and over. But even if theoretically an attacker could do this continuously, he will not be able to control your coins, he will not be able to spend them.

Why would somebody do a thing like this which would obviously make the coin lose all value? There is no financial incentive for this, and the result would not be control, it would be destruction.

But I disagree with people saying that the movements will not waste money mining bitcoin..because...
Wait a f minute, just a month ago everyone was congratulating Bukele for starting his vulcanode and now mining is a waste of money? We have companies throwing millions in mining gear orders, the best revenue per TH is ages and suddenly mining is a waster of money? Common!!!

Well, I have seen couple of reassuring messages on this forum that miners won't have that kind of power to affect the Bitcoin Network. That used to bother in the past hence my suggestion that decentralized mining should encouraged.

In regards to Centralized "Bitcoin", it can't be considered Bitcoin or true cryptocurrency any longer once it become centralized as it is meant to be decentralized by decentralized Global participants. It's as bad as being called a fiat currency once centralized by government. And there have been line drawn concerning the centralization of Bitcoin that no one can dare cross.

I do not believe a true Cryptocurrency can be used by government as One World Currency. It's going to be Fiat Currency because of the need to control it by Tyrannical World ruler

Bitcoin on the whole is not just a currency but more than that. There lies economics, programming, mining, exchanges more and more so only if they are able to control all these, Bitcoin will become centralized. Nowadays, most of the famous centralized exchanges are demanding customers for KYC in order to trade to prevent any kind of mis-happenings like funding for drug trafficking, terrorism etc and in one form or the other these exchanges are indirectly controlled by various governments in the world.

Secondly, the Bitcoin source code is open source and controlling or centralizing the source code is near to impossible, so I'd rule out that one. Mining and Economics are already being controlled by various wealthy individuals and these wealthy individuals are already in control of the government as well (like Elon Musk is more powerful than a developing country itself). Through this we can infer that, just like Internet which is being controlled by wealthy popular companies like Google, Amazon, Facebook and Apple - The price action and Economics of Bitcoin will also be controlled by wealthy individuals but other than that the source code and the whole network will remain decentralized which is the fact to be considered.

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El Salvador isn't a bigger country to say and they adopting a volatile currency for the transfer of goods wouldn't be more of a headline news to other countries. If a first world country is able to adopt (which will never likely happen as they will be coming up with their own centralized stablecoin instead), then centralization might be achieved at some point of time in future. Bitcoin becoming the Internet of Money is happening but it being the World currency will never happen anytime as 95% of the governments will end up in bringing their own stablecoin rather than adopting a volatile currency. Bitcoin will never rule out government currencies but will co-exist along with them in the Internet.

They won't and they can't do such a thing to make bitcoin centralized, there will be much more and energy and power for it and that's what they don't have, the only thing they can do is to keep trying to ket control over their worthless fiat currencies and keep these currencies centralized otherwise they can just trying running away from bitcoin by banning bitcoin just like What they do in China because they are sure that they cannot make it centralized or take control over it which is still pointless.

I think its price will drop several times or maybe it will not be of interest to anyone at all, because the very concept of bitcoin and its history has always been based on its decentralization, I would say this is a formula for success, which should always be together with bitcoin.