Topic: Why Cryptocurrency is not Legalized Despite the Many Benefits - page 7. (Read 1081 times)

This cryptocurrency has been given legitimacy in different countries. However, there are some countries where cryptocurrency has not been legalized. And in those countries where no legitimacy has been given, there are many problemsSo there is no legitimacy in all those countries.

Actually, whether Bitcoin is legal or not, it depends on the government in your country. Maybe some countries do not allow transactions using Bitcoin or Bitcoin is called illegal because it is volatile and cannot be controlled. Even difficult to predict the price. Moreover, the numbers are small and exist in digital form which will be difficult to reach for some people who are technologically stuttering. Bitcoin is legal or not in your country, even though you can't use it as a means of payment at least you can use it as an investment tool because this will be very profitable.

It's been more than 12 years, and I'm still waiting for it to be legal for worldwide payments, but every country has laws and regulations, we can wait for other countries like El-Savador to accept Bitcoin for payments.
So far I'm happy with each country's regulations, because some countries legalize crypto investment and that's a good thing

Cryptocurrency provides many benefits to people. However, from the point of view of states and their bodies, it is almost useless and carries a lot of risks, including the possibility of its use for criminal purposes. Therefore, states are in no hurry to legalize decentralized cryptocurrency. On the contrary, in opposition to it, they create their own digitalized currencies of the central banks. The legalization of cryptocurrency is happening more due to the pressure of people on governments and enthusiasts among officials. Therefore, the process of legalizing cryptocurrency will not be as easy as it seems to many.

I think cryptocurrencies appear to make us easier to transactions but cryptocurrencies also appear as a threat to country's currency. This becomes a serious problem when the general public uses cryptocurrencies while the state not ready for it. then there are various countries that have not legalized cryptocurrency. but I'm sure cryptocurrencies will continue to grow over time and the times.

Cryptocurrency have a lot of advantages and offers a lot of opportunities but it hasn't been legalized in a lot of countries because it also has a lot of disadvantages and can be used for criminal purposes. the decentralized revolution is bigger than the legalization of cryptocurrencies by any particular country and the crypto market will keep getting bigger

Cryptocurrency is not legalized despite the of many benefits simply because government doesn't like it. But you know, I think a lot of government officials and workers also invest in crypto because I believe they already know how much it is worth to invest in crypto especially in bitcoin.

No, there were a lot of ideas before Bitcoin was invented and we have seen Web based payments namely Paypal, but Bitcoin is the first cryptocurrency in the world, which has a blockchain and is still being developed.
There were a lot of ideas before Bitcoin was invented, but we have seen how Bitcoin has survived to this day and it's great
https://www.investopedia.com/tech/were-there-cryptocurrencies-bitcoin/

Actually, Crypto legalization depends on the policies of each country. there are some countries that can accept crypto but there are also countries that prohibit crypto for their own reasons. what is certain is that if a country has legalized crypto, it will be easier for crypto lovers in that country to take the advantage of it than people in countries that prohibit crypto. Crypto is an option where both profit and risk can be obtained and it is up to the individual to manage the assets themselves. so while our country can accept and legalize crypto then use it well.

Whatever banning made by the government, it won't create a huge impact on bitcoin anymore because its users will continue to access it in every possible way. This is the great advantage of being decentralized as it does not allow any entity or group to control it, while fiat is centralized in nature so the government has all the support on it. With bitcoin, the government believes its illegal so there's no way that it can be legalized.

However, every government differs in its leadership. And bitcoin creates more positive impact to those who believe in its potentials like young generations do. So we might expect that if a leader of a certain country is more open to new innovations, then bitcoin will always be legalized just like what El Salvador has did.

The reason why it can't be illegal is the fact that... who is doing the illegal thing here? There is nobody at the top and there is no central organization that controls it. That is the good part about being decentralized, governments can't put the blame on any single person. Look at what happened to XRP, look at USDT, those all have central organizations that are running the currency, but bitcoin is not like that, it is purely decentralized.

So if you want to make something illegal, you make it illegal for everyone who holds any bitcoin or trades it, some nations tried to do that, but you are banning it from everyone and not just doing it for one company. This is why it is so hard to ban crypto as a whole, even if it is illegal in a nation, people just go with the p2p route and trade their coins that way hiding it from the government and still continue the operations, which is why it is hopeless case for governments.

It can be added that once it is legal and cannot be regulated, the disadvantage will become more for investors, even the investigation of the police and government forces will have to split more every year because besides the creators of the project, along with them are super scammers and also produce projects, once the legalization process is clear, the projects will be like mushrooms and sprout everywhere. Government penetration does not retain the original treaties and benefits, they only aggravate the negatives of crypto.

It's hard to say Bitcoin is an illegal asset because Bitcoin was never sold through an ICO or any form when it was first launched. What the government can do is to tax every profit people make transactions with Bitcoin because it is considered a commodity.

If many have bad reasons against cryptocurrencies, it means that cryptocurrency activities will be banned at some point. But so far the growing reason why cryptocurrencies are not legalized is because they are afraid of being misused and crypto activities cannot be controlled so that it can hamper the economy of a country. Does that make sense?

Based on the articles I've read before, actually, there is a cryptocurrency built before bitcoin called Hashcash. For further information, probably you can do your own research.

I would love to focus more on your question. So, why the cryptocurrency is not legalized?. I think some of the countries already legalize it. They embrace it with some rules. Meanwhile, some other countries ban it because according to their government, cryptocurrency is damaging, threatening their fiat, threatening the environment, against their countries' laws, and other negativities. Besides, it's decentralized. Probably those countries' thoughts cryptocurrency will be wild cause there's no institution's supervision behind it, such as money laundry, crimes payment, etc.

For me, it's best even some countries can't legalize it, at least they don't ban it and live along with it. Make some rules about it if needed.

Actually Bitcoin can be called the first cryptocurrency, even though there have been many trials by other developers, but it seems none was successful because if they were, then they would have been popular, so therefore in this crypto space, Bitcoin is the first cryptocurrency we know and has grown over the years to be outstanding, highly valuable and reliable.
Secondly, you are also right about altcoins, after Bitcoin, any other coins or tokens are all classified or called altcoins that is alternative coins. Therefore yes, your post is correct to the best of my knowledge.
However, talking about the legalization of Bitcoin and other cryptocurrencies, this particular case will be a tough one because this is about the government and the people; in the crypto space so far we can see the level of freedom people have been able to enjoy, as well as the benefits which includes transparency in transactions etc, that is to say, you can't manipulate or alter a transaction and so on. Thus with all these benefits it can be seen that it might be hard for a country to legalize it, that will mean they can't control it, and since they can't, they will hardly legalize it.
Although some countries are taking steps but we are still waiting and watching to see how far it will go.

Cryptocurrencies operate in a decentralized way so it's hard to regulate it. Also, all the coins don't have similar characteristics so it's very complicated to implements tax into them. People are getting benefits but evil people still do the fraudulent activity. So govt needs some regulation to implements law and order in this sector too. I think these are the main reason behind many countries don't want to legalize crypto.

Just to correct the OP, Bitcoin is not literally the first cryptocurrency.
eCash was the first so-called "cryptocurrency" back in 1983, it was like still called "cryptographic system" back in those years but not cryptocurrency. It was then followed by DigiCash. The term "cryptocurrency" was just later used in 1998.

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My source: https://daviescoin.io/blog/a-short-history-of-cryptocurrencies

The reason I often hear why Bitcoin is difficult to accept and legalize by the government is because the decentralized system and Bitcoin cannot be controlled, but seeing the development of Bitcoin and Cryptocurrency that continues to increase makes us optimistic that one day Bitcoin will be legalized by many countries.

The first question is very true, it is impossible for us to give advice that is contrary to what actually happened to bitcoin, it is feared that the information will mislead people who see it, if we argue that the first cryptocurrency is not bitcoin.

While the price of bitcoin that we want to associate with the number of bitcoins, in my opinion this is still half true, although if we use the economic formula both are very precise in your analysis, but in this case a lot of analysis appears on the price and number of bitcoins, for example market conditions, influence greedy big investors or conditions that are deliberately created to weaken and increase the price of bitcoin.