Why Are Governments Hostile Towards People Friendly Innovations Like Cryptocurrencies?
Let us begin this article with a straightforward question-
Do you think humanity does not have enough resources to end global poverty, hunger, and destitution?
Do you think that humanity does not have enough resources to give free medicines to everyone all over the world?
Do you think humanity does not have enough energy resources to give free electricity and cooking gas to everyone in the world?
If you are like me and the other 99% of the world, the answer to all the above questions is going to be a resounding YES!
However, in spite of our belief, national governments, international organizations, and financial institutions seem to believe otherwise. Why do they do so? Why do they bring the hammer down on anyone who is trying to innovate and helping in creating a better world?
Why Government Authorities do not like Innovation and Betterment
Harry Browne, the seminal libertarian had once commented, that if societies are self-sufficient, what use would be there of a government?
Have you ever tried to wonder what makes a group of people think that they are taking the right decision on behalf of millions or even billions of people? It is the sheer drive to power and control. Nobody who is part of the government has come to do something, which is going to change the living conditions of people.
This is why governments come down heavily on innovations and policies, which are aimed at bettering the lives of the people. If they have not thought about it, they are going to stifle it by passing laws, rules, regulations, and taxes. If they do not succeed in destroying the message or the lure of the greatness of an innovation or a policy, they are going to ban it.
In the case of Bitcoin and cryptocurrencies, national governments across the world colluded together to keep Bitcoin and other cryptos from going mainstream.
The Idea of Bitcoin and Why the Government Is Antithetical to It?
Do you remember the financial crash of 2007-08? Millions of people lost their life savings, banks went bust and unemployment hit an all-time high. Who was running the show at the time? Was it crypto exchanges or people who were possessing Bitcoins?
No! The national and international authorities sat on an ever-increasing alarm until it blew itself. I am stating this argument because this is the number one argument espoused by official authorities who state that Bitcoin and cryptocurrencies are going to con people and make them lose their earnings.
Bitcoin aims to establish a decentralized system, which cannot be controlled by any central government or financial institution. If we were to establish such a system, can you imagine the probable losses to the government?
Many of us do not have an idea about how much government earns through direct and indirect means by acting as intermediaries between transaction parties and points. Every time a foreign currency comes into your country, the government earns a commission, simply because they are converting it into your local currency.
A peer-to-peer anonymous payment network will never be able to tell authorities about how much someone is holding or spending. This means that taxation brackets go out of the window. In other words, a lucrative source of revenue is evaporated.
In recent years, the BTC revolution has become quite a force to reckon with. The more governments try to stop crypto from becoming mainstream, the more is it growing. The Coronavirus pandemic has exposed the weakness and instability of manipulative fiat currencies in the world. As more and more people become aware of the stifling efforts of the government, the more will they start to engage with Bitcoins and other cryptocurrencies.
Featured image: bitcoinist.com