Crypto Users Fear Government Control
Users express concern over increasing government regulation and potential control over cryptocurrencies. They fear restrictions on usage, mandatory reporting, and the erosion of Bitcoin's original purpose of resisting centralized power. This impacts the ability to freely transact and maintain financial autonomy.
SOURCES (60)
“talking about "digital currency" is always so frustrating because you never know what the other person means. Almost all money is already digital.”
“Putting money in MSTR instead of BTC undermines the investment thesis he is advancing. It centralizes supply in a counterparty. And increases confiscation risk 1000x. The government could seize billions worth of Bitcoin by simply forfeiting Strategy's entire stack. So it follows that when the time comes, Saylor must do what the government tells him to do.”
“If the ATMs were not so extortionately expensive, they might be more likely to be used for legitimate purposes. Sometimes it is not convenient to find other places to deposit cash nearby, or, requirements would be difficult (e.g. time required to open a bank account or being denied an account for various reasons). The fact that the cost is so high probably means that operators are expecting to profit off of deposits involving fraud or money laundering, not just off of ignorant or desperate custo”
“So if bitcoin can now be private as zcash, why would people use zcash over bitcoin?”
“Ah indeed, I was not aware these had already been implemented by the big players. Unfortunately I don't think it will be the case for 90% of the small players.”
“Meanwhile european central banks: "Please remove the 60% backing requirement from the mica rules just for us please pretty please"”
“The government in Lithuania has been identifying citizens with potential investments in crypto and sending them messages reminding them crypto is taxable and urging them to abide by law before the body responsible for collecting taxes manually checks whether you've properly paid what you owe. I've heard they use similar methods as described in the post. Avoiding or concealing taxes may get you fined for amounts an average person would find quite substantial. So I wouldn't say that &q”
“They didnt hijack Bitcoin.... they sanctioned a crypto exchange and that exchange froze USDT assets. No country can control anyone's ability to transfer bitcoin from point a to point b. Keep your coins off exchange.”
“I keep seeing people say how easy things will be to reverse once the parties change… I don’t think this administration is planning on another party ever gaining control of our government again, not while they are in the seat of power and able to do the things they have been doing since day one… did everyone forget what happened last time?!?! It will be 1000 times worse this go around.”
“They didn’t ban Bitcoin. That wo uld have been too loud. Instead, they did something much worse: they quietly hijacked the exits. For 15 years, we’ve been told that crypto is the ultimate "permissionless" money. Un-censorable. Un-freezable. But while everyone was distracted by ETF approvals and bull market charts, Washington built a silent, permanent kill switch for the entire industry. $475M frozen by a private stablecoin company without a single court order. An entire nation's di”
“They didn’t ban Bitcoin. They did something much worse. While everyone was watching the charts, Washington quietly built a kill switch for the exits. No court orders. No congressional votes. No proof required. They just used Iran as the beta test—but the trap was built for you. If you still think your crypto is "permissionless," you need to read this. 👇 submitted by /u/sylsau [link] [comments]”
“Eth can’t even do this right and is not SEC compliant for KYC. It takes RVN or one of its offshoots in order to actually make this happen.”
“You are grouping them together. There are two groups of Democrats when it comes to crypto. Elizabeth Warren is part of the group that doesn't like crypto whatsoever. She's not going to change her mind any time soon. On the other side of things, Senator Gillibrand had been part of the group that was working on things since early on. She and Lummis helped craft the stablecoin legislation. Her plus several others voted for Clarity Act to advance out of the Banking Committee months ago. If t”
“> The problem with replacing the world reserve currency with something else is that nobody can agree on what that something else should be.It isn’t a decision made by some sort of vote, or done overnight. It’s an emergent phenomenon. Sterling had already lost the role de facto by the time Bretton Woods blessed the role of the dollar de jure.Whatever replaces the dollar will be messy because it won’t have the set of systems the dollar had at its peak (large, highly liquid markets; complete conve”
“It's kind of a prelude to a Thucydides Trap.The problem with replacing the world reserve currency with something else is that nobody can agree on what that something else should be. Expect to see a lot of jockeying for power as people realize the U.S. isn't the world hegemon anymore. Jockeying, on a state level, usually means war.”
“We already knew this was gonna happen after the Clarity act didn't pass. People were already talking about the CFTC having to pull this off. But maybe whales took advantage of that news to go liquidate the shorts they were probably gonna liquidate anyway. The drop to $74K was gonna bounce either way.”
Executive branch has been ignoring the courts, so why not congress too? /s
“Anything they do without Congress will be rolled back out of spite whenever power changes parties, leading to more instability and confusion for crypto. This shit is shortsighted and self-serving.”
“You mean TDS will cure itself. However, the Democrat party will never be friendly to crypto. First because they are too old to understand any technology. Second, Bitcoin prevents socialism/communism from fully taking hold.”
“Elizabeth Warren and the Democrats will never consider any bill on crypto regardless of any changes made to it. But what they will continue to ignore is insider trading of stocks by Congressmen.”
“In 2022, rate hikes cracked crypto fast and hard. This week, Bitcoin absorbed a quarter-point hike with almost no reaction. That gap deserves attention. The legislative piece is the part people are underweighting. US lawmakers advancing a bill to 𝐥𝐨𝐜𝐤 𝐭𝐡𝐞 𝐁𝐢𝐭𝐜𝐨𝐢𝐧 𝐬𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜 𝐫𝐞𝐬𝐞𝐫𝐯𝐞 𝐢𝐧𝐭𝐨 𝐥𝐚𝐰 means this stops being an executive order that the next administration can quietly reverse. That's a different risk profile than anything crypto has had before. Ethereu”
“Did they hook themselves up nicely? Any specific or unusual rules specifically for any sitting president and nobody else in our government? Surly one party is getting what they wanted AND advancing a bill. Odd that it didn’t happen yesterday.”
“Reddit in general loves to make principled stands and this subreddit specifically loves to do it when it comes to how they invest their money, even at the expense of losing money. When you ask r/cryptocurrency "do you want to be right or make money?", they choose the former everytime.”
“Crypto is easy to regulate in that if the government decides its illegal then they just arrest you. And they arrest any store owners that accept crypto. Because whilst modern cryptography can make something that current governments cannot crack you an individual still live in a society. Look up the $5 wrench (and why crypto bros keep getting kidnapped and dismembered for that matter). A government can regulate and enforce anything it wants if it is motivated enough.”
“The Senate failed to advance the CLARITY Act this week, so I'm curious what people think happens next. Does this just mean more regulatory uncertainty, or can the SEC/CFTC still provide enough clarity through existing authority? And for builders and users outside the US, does this even matter as much as people make it seem? Curious what everyone thinks... submitted by /u/scarlettava2627 [link] [comments]”
“US Senators who voted against advancing the Crypto Clarity Act: Independents: • Angus King • Bernie Sanders Republicans: • Thom Tillis • Jerry Moran • Josh Hawley • Susan Collins Democrats: • Andy Kim • Tim Kaine • Jack Reed • Mark Kelly • Ed Markey • Tina Smith • Jon Ossoff • Alex Padilla • Ron Wyden • Dick Durbin • Gary Peters • Peter Welch • Jeff Merkley • Cory Booker • Jacky Rosen • Adam Schiff • Brian Schatz • Patty Murray • Mark Warner • Elissa Slotkin • Mazie Hirono • Chris Murphy • Ben R”
“The SEC and CFTC can make all the rules they want and the next head of those organizations can fully reverse them. We need laws to set the regulations, not short-term rules.”
“No ones going to want to stake at an institution. This will push people to defi. Why in the world would anyone pay staked on funds they can’t even get access to due to being by locked up. submitted by /u/Financial_Clue_2534 [link] [comments]”
“Crypto regulation bill faces Senate vote. What's the prediction ill happen, and what is the impact? submitted by /u/ExcellentWinner7542 [link] [comments]”
The clarity act will decide a few things we will see what happens
“>The provision, which would bar public officials from issuing or sponsoring digital assets, could be enforced by both state attorneys general and the Department of Justice (DOJ) under updated language released by Senate Republicans late Sunday. State attorneys could prove to be a key point as presidential pardons would not apply to state prosecutions”
“If it passes before the midterms, I’d be surprised. The Dems shouldn’t be helping the GOP pass anything or get any kind of “win” before the election. If it does pass, for me it would just mean the oligarchs are beginning to care less about people believing they actually have two parties in politics when it’s only an illusion in truth. GOP take money from the rich to push the needle far right. Dems take money from the rich to act as if they just can’t do anything about it, this time, as much as t”
“They’re using crypto money to keep stock market from tanking…. When they want to tank either they can and will…. You people aren’t actively playing the game as much as you think you are….”
“It doesn't offer yield because it's not legal. If it was technically impossible it wouldn't have been the main point of contention in the clarity act for the past 6 months.”
“You wrote all that without even knowing how things work lol. Bitcoin is already being used asncollateral for home loans, through coinbase no less.”
“I fail to see what your purchase history has to do with future regulations over crypto. But nice try on the flex.”
“More dollars stay in banks because they offer 3-5% interest on cash, which now holding Bitcoin and stablecoins are banned from doing. Are you ok dawg lol”
Who cares. All it means is that more dollars leave the system.
“The provision, which bars public officials from issuing or sponsoring digital assets, could be enforced by both state attorneys general and the Department of Justice (DOJ) under updated language released by Senate Republicans late Sunday”
“Money would get hoarded and the supply of available money would shrink. Bitcoiners think, "ah well that's great because prices would go down". But they forget that wages would also go down because there's not enough money available to keep paying the same wages. In fact we have seen this before during the gilded age when the robber barons ruled, corruption was widespread and people suffered.”
“There's no big secret. They want stablecoins to be adopted so they're pegged to treasuries, thus getting the globe to finance the US govt. If you think that's a win for us it isn't. That's less capital held/staked in legitimate crypto. I actually want the banks to win the stablecoin fight and the ethics provisions to block all politically affiliated families from issuing new coins”
“I would bet every cent I own that traditional cash will be gone in the next 50 years.”
“The smaller reason is that even opt-in anonymity is just systemically sketchy. A Dictator or a criminal can just hide their money. Yes you have as a democratic citizen privacy but you also want as a democratic citizen to not have a Dictator steal all your money and send it to a tax haven and that's when you as a citizen will ban it yourself. Now the BIGGEST reason is that you can't even do it partially like we do it with cash. Cash is simply extremely heavy to transfer billions or trilli”