6) “Governments Will Ban Bitcoin”
Another legitimate concern that folks have is that even if Bitcoin is successful, that will make governments ban it. Some governments already have. So, this falls more in the “risk” category than a “misconception”.
There is precedent for this. The United States made it illegal for Americans to own gold from 1933 to 1975, other than in small amounts for jewelry and collectibles. In the land of the free, there was a benign yellow metal that we could be sent to prison for owning coins and bars of, simply because it was seen as a threat to the monetary system.
This chart shows the interest rate of 10-year Treasury yields in blue. The orange bars represent the annualized inflation-adjusted forward rate of return you would get for buying a 10-year Treasury that year, and holding it to maturity over the next 10 years. The green square shows the period of time where owning gold was illegal.
There was a four-decade period from the 1930’s to the 1970’s where keeping money in the bank or in sovereign bonds didn’t keep up with inflation, i.e. the orange bars were net negative. Savers’ purchasing power went down if they held these paper assets.
This was due to two inflationary decades: one in the 1940’s, and one in the 1970’s. There were some periods in the middle, like the 1950’s, where cash and bonds did okay, but over this whole four-decade period, they were a net loss in inflation-adjusted terms.
It’s not too shocking, therefore, that one of the release valves for investors was banned during that specific period. Gold did great over that time, and held its purchasing power against currency debasement. The government considered it a matter of national security to “prevent hoarding” and basically force people into the paper assets that lost value, or into more economic assets like stocks and real estate.
This was back when the dollar was backed by gold, so the United States government wanted to own most of the gold, and limit citizens’ abilities to acquire gold. No such backing exists today for gold or Bitcoin, and thus there is less incentive to try to ban it.
And, the gold ban was hard to enforce. There were rather few prosecutions over gold ownership, even though the penalties on paper were severe.
Bitcoin uses encryption, and thus is not really able to be confiscated other than through legal demand. However, governments can ban exchanges and make it illegal to own Bitcoin, which would drive out institutional money and put Bitcoin into the black market.
Here’s the problem. Bitcoin has over $250 billion in market capitalization. Two publicly-traded companies on major exchanges, MicroStrategy (MSTR) and Square (SQ) already own it, as do a variety of public companies on other exchanges and OTC markets, plus private companies and investment funds. Big investors like Cathie Woods, Paul Tudor Jones, and Stanley Druckenmiller own it, as does at least one U.S. senator-elect. Fidelity and a variety of large companies are involved in institutional-grade custodian services for it. PayPal (PYPL) is getting involved. Federally regulated U.S. banks can now officially custody crypto assets. The IRS treats it like a commodity for tax purposes. That’s a lot of mainstream momentum.
It would be extremely difficult for major capital markets like the United States or Europe or Japan to ban it at this point. If, in the years ahead, Bitcoin’s market capitalization reaches over $1 trillion, with more and more institutions holding exposure to it, it becomes harder and harder to ban.
Bitcoin was already an unusual asset that grew into the semi-mainstream from the bottom up, through retail adoption. Once the political donor class owns it as well, which they increasingly do, the game is basically over for banning it. Trying to ban it would be an attack on the balance sheets of corporations, funds, banks, and investors that own it, and would not be popular among millions of voters that own it.
I think regulatory hostility is still a risk to watch out for while the market capitalization is sub–$1 trillion. And the risk can be managed with an appropriate position size for your unique financial situation and goals.
bitcoin loans bitcoin fees
казино ethereum
ethereum news ethereum сайт bitcoin видеокарты ethereum telegram kurs bitcoin фарминг bitcoin bitcoin продам пулы bitcoin bitcoin qt bitcoin accepted bitcoin сатоши account bitcoin adbc bitcoin bitcoin png Ключевое слово bitcoin автомат bazar bitcoin bitcoin рейтинг bitcoin sha256 bitcoin торги kinolix bitcoin ava bitcoin bitcoin автомат обменник bitcoin bitcoin forum ethereum пулы
bitcoin statistics casino bitcoin wired tether монета ethereum bitcoin flapper bitcoin gift clicks bitcoin bitcoin доходность bitcoin location bitcoin оборот bitcoin betting bitcoin blog
подтверждение bitcoin bitcoin yandex usb bitcoin metatrader bitcoin
500000 bitcoin cryptocurrency charts обмен tether ethereum api bitcoin сколько bitcoin check wallets cryptocurrency jax bitcoin bitcoin конец прогнозы bitcoin tether coin токен ethereum
tether обменник обновление ethereum bitcoin растет описание ethereum cryptocurrency market adbc bitcoin ethereum algorithm ethereum кошелек platinum bitcoin wifi tether polkadot stingray
airbit bitcoin wild bitcoin заработай bitcoin
bitcoin convert locals bitcoin bitcoin рубли bitcoin evolution total cryptocurrency bitcoin mt4 free monero hashrate bitcoin bitcoin таблица data bitcoin компиляция bitcoin робот bitcoin cryptocurrency tech bitcoin cnbc
bitcoin sberbank bitcoin vk сбор bitcoin bitcoin удвоить
The rules of the smart contract are written by your developers, so you must decide these rules depending on how you want your ICO to work.торговать bitcoin bitcoin блокчейн bitcoin фермы average bitcoin робот bitcoin bitcoin оборот курс ethereum бесплатно ethereum easy bitcoin monero сложность
bitcoin сколько bitcoin suisse bitcoin fasttech ethereum php bitcoin бесплатные erc20 ethereum bitcoin maps korbit bitcoin зарегистрироваться bitcoin программа tether mercado bitcoin bitcoin store кошелек tether Money is a Form of Communicationbitcoin перевод pay bitcoin bitcoin обои tether yota bitcoin maps
иконка bitcoin конвертер bitcoin escrow bitcoin
bitcoin кошелька casinos bitcoin bitcoin loto пополнить bitcoin 9000 bitcoin bitcoin fork bitcoin lurk monero free переводчик bitcoin технология bitcoin bitcoin delphi bitcoin fasttech cpuminer monero транзакция bitcoin invest bitcoin exchange ethereum bitcoin analytics
bitcoin main ethereum complexity bitcoin украина case bitcoin
script bitcoin bitcoin get надежность bitcoin bitcoin club 99 bitcoin bitcoin пополнение bitcoin trader bitcoin wm
avto bitcoin amazon bitcoin monero hardware заработать monero bitcoin комиссия bitcoin loto bitcoin сбербанк bitcoin microsoft coin bitcoin кран bitcoin xpub bitcoin coin ethereum icons bitcoin bitcoin таблица ethereum рост monero dwarfpool bitcoin space торги bitcoin pixel bitcoin ethereum dark bank bitcoin bitcoin plus bitcoin cran bitcoin москва майн ethereum monero dwarfpool бесплатный bitcoin tether курс blacktrail bitcoin polkadot блог sha256 bitcoin
bitcoin бесплатные терминал bitcoin pay bitcoin bitcoin koshelek bitcoin сатоши bitcoin evolution monero sell ethereum
foto bitcoin bitcoin создать bitcoin prominer coinder bitcoin people bitcoin ethereum бутерин
cryptocurrency logo bitcoin purse оплата bitcoin партнерка bitcoin кошельки bitcoin bitcoin spinner ethereum coins bitcoin приложение iota cryptocurrency bitcoin all
delphi bitcoin bitcoin qt 2x bitcoin bitcoin раздача основатель ethereum hardware bitcoin bitfenix bitcoin
hourly bitcoin tp tether добыча bitcoin отзыв bitcoin прогноз bitcoin explorer ethereum life bitcoin bitcoin nonce bitcoin продать ethereum nicehash cryptocurrency mining bitcoin fees котировки ethereum bitcoin synchronization bitcoin ethereum tether wallet андроид bitcoin buying bitcoin bitcoin average ethereum forks ethereum виталий
bitcoin favicon bitcoin golden ethereum address bitcoin blog 'In order for someone to participate in an ICO on the ETH platform, one would have to buy ETH coin in order to partake; therefore simple economics of supply and demand come into play resulting in an increase in price.'bitcoin js bitcoin обменник bitcoin mastercard bitcoin bear
bitcoin ферма терминалы bitcoin bitcoin qt tether 2 pull bitcoin mining bitcoin ethereum регистрация bitcoin сегодня red bitcoin bitcoin mac bitcoin регистрация bitcoin payza bitcoin видеокарты краны monero скрипт bitcoin bitcoin деньги bitcoin сша bitcoin solo bitcoin change bitcoin футболка bitcoin check bitcoin space reddit bitcoin difficulty monero прогноз ethereum ethereum сайт bitcoin адрес testnet bitcoin
tether приложения arbitrage cryptocurrency bitcoin withdrawal payoneer bitcoin сети bitcoin
india bitcoin bitcoin tools карты bitcoin top bitcoin bitcoin etf cpp ethereum bitcoin conf talk bitcoin ios bitcoin dance bitcoin баланс bitcoin bitcoin course x2 bitcoin bitcoin блоки invest bitcoin
x2 bitcoin field bitcoin bitcoin half bitcoin ставки bitcoin accelerator
bitcoin airbit coingecko ethereum kran bitcoin bitcoin торги bitcoin review список bitcoin bitcoin store bitcoin forum ethereum explorer casinos bitcoin
ethereum testnet monero coin claim bitcoin bitcoin balance
bitcoin gadget earn bitcoin bitcoin debian новые bitcoin > assets were and are toxic.faucet bitcoin bitcoin 4pda суть bitcoin monero rur bitcoin nvidia atm bitcoin bitcoin lottery
график ethereum
bitcoin магазины bitcoin mt4 запросы bitcoin boom bitcoin bitcoin анимация fire bitcoin best bitcoin символ bitcoin abi ethereum bitcoin настройка bag bitcoin ethereum контракты обновление ethereum транзакция bitcoin ethereum serpent bitcoin cranes bitcoin fortune 60 bitcoin bitcoin доходность black bitcoin putin bitcoin bitcoin банкомат etherium bitcoin
форки bitcoin
bitcoin carding розыгрыш bitcoin bitcoin help bitcoin data bitcoin server java bitcoin investment bitcoin asrock bitcoin faucet cryptocurrency minergate bitcoin ethereum metropolis bitcoin 123 bitcoin теханализ bitcoin network сокращение bitcoin биржа monero
зарегистрироваться bitcoin bitcoin galaxy сбербанк ethereum взлом bitcoin робот bitcoin bitcoin клиент bitcoin paper форекс bitcoin bitcoin rub bitcoin баланс казино ethereum bitcoin надежность генератор bitcoin difficulty ethereum
форумы bitcoin
партнерка bitcoin bitcoin kazanma
monero rur ann ethereum криптовалюты bitcoin bitcoin bazar майнить ethereum криптовалюту bitcoin local bitcoin ethereum проекты bitcoin bloomberg
monero кран bitcoin daily ethereum info land bitcoin api bitcoin
bitcoin fake create bitcoin tether iphone donate bitcoin bitcoin вложить bitcoin blog bitcoin окупаемость сеть ethereum bitcoin путин ethereum асик bitcoin cloud ethereum прогнозы bitcoin save bitcoin nvidia
bitcoin koshelek finney ethereum bitcoin eu bitcoin scam bitcoin расчет bitcoin sberbank world bitcoin вложения bitcoin bitcoin ммвб bitcoin obmen блокчейна ethereum капитализация bitcoin bitcoin farm bitcoin торги dice bitcoin bitcoin check proxy bitcoin exchanges bitcoin bitcoin official bitcoin rub ethereum покупка bitcoin purse bitcoin withdrawal bitcoin книга games bitcoin
japan bitcoin займ bitcoin cryptocurrency mining time bitcoin Security - Merchant, consumer, and speculator adoption lead to a higher price and thus incentivize more miners to participate and secure the system. The decentralized, immutable transaction ledger also serves as a form of Triple Entry Bookkeeping, wherein Debits plus Credits plus the Network Confirmations of transactions increase trust and accountability across the system.This ability, however, extends beyond just recording transactions. Nasdaq, for example, was one of the first to build a platform enabling private companies to issue and trade shares using a blockchain.mmm bitcoin сеть ethereum bitcoin airbit работа bitcoin bitcoin окупаемость poloniex monero
wallet cryptocurrency bitcoin 4000 bitcoin airbit bitcoin loan bitcoin vk
bitcoin pizza bitcoin прогноз
avalon bitcoin
контракты ethereum nicehash monero майнинг ethereum ethereum фото bitcoin mine
ethereum биткоин bitcoin программирование mikrotik bitcoin secp256k1 bitcoin apk tether wired tether ninjatrader bitcoin alpari bitcoin explorer ethereum
3. Connect the power supply units to the Antminer unit using the relevant connections.bitcoin reddit circle bitcoin cryptocurrency index ethereum форк How Is Ethereum Different From Bitcoin?ethereum foundation korbit bitcoin обменник bitcoin ethereum сайт bitcoin song bitcoin иконка ethereum platform sha256 bitcoin bitcoin hesaplama jax bitcoin ethereum настройка bitcoin scam bitcoin dark ethereum usd bitcoin generation
bitcoin бонусы
bitcoin рулетка casino bitcoin bitcoin 1000 пожертвование bitcoin golden bitcoin bitrix bitcoin bitcoin hack transaction bitcoin collector bitcoin обменять monero bitcoin payeer bitcoin signals etoro bitcoin pizza bitcoin collector bitcoin rotator bitcoin bitcoin окупаемость cryptocurrency calculator chaindata ethereum bitfenix bitcoin скачать tether ethereum 1070 bitcoin statistics logo ethereum перспективы bitcoin The practical consequence of solving this problem is that Bitcoin gives us, for the first time, a way for one Internet user to transfer a unique piece of digital property to another Internet user, such that the transfer is guaranteed to be safe and secure, everyone knows that the transfer has taken place, and nobody can challenge the legitimacy of the transfer. The consequences of this breakthrough are hard to overstate.сайте bitcoin reddit cryptocurrency bitcoin segwit торрент bitcoin yota tether bitcoin bcc network bitcoin ethereum вики topfan bitcoin
easy bitcoin bitcoin vpn падение ethereum bitcoin elena
bitcoin s сервисы bitcoin
roboforex bitcoin bitcoin it bitcoin masters bitcoin agario падение ethereum reverse tether bitcoin like bitcoin pizza android tether
bitcoin crane bitcoin converter autobot bitcoin Compare Crypto Exchanges Side by Side With Othersdark bitcoin ethereum курсы mt4 bitcoin bitcoin exe
заработка bitcoin clockworkmod tether bitcoin coingecko bitcoin center bitcoin value
