Why Everyone Supports Bitcoin (Why Bitcoin is Not Illegal)

Why Everyone Supports Bitcoin Bitcoin is the world’s most popular cryptocurrency, surpassing gold and fiat currencies. Since its creation in 2011, every transaction on its network has been recorded on the blockchain, with no one knowing how it works or if it can be used by any third party. Why do these companies support Bitcoin? Let’s take a look at the reasons why they support Bitcoin.

First, we can see that many investors have a very high support rate for BTC, and they believe that this number will increase over time, even surpassing the price of Bitcoin. But when it comes to Bitcoin, most investors do not believe that this store of value can last in the long term, so they tend to hold Bitcoin. Therefore, if people really want to invest in a new asset class, they must buy more BTC to participate. This is one of the main reasons for all this influx of funds. Is Bitcoin itself a “borderless electronic cash”? Of course not. But in fact, compared to fiat currencies, it is still an attractive payment option.

The second reason is that Bitcoin is an important part of the global financial system, so historically, Bitcoin has been a highly secure and scalable way to send and receive value transfers. In addition, Bitcoin is also affected by other factors due to its decentralized nature and features such as immutability and security: such as lax government regulation; lack of built-in security measures for Bitcoin; wider adoption. The third point is also an important concern for everyone, because Bitcoin offers a higher level of anonymity and is easy to verify. Although many people are speculating now, Bitcoin is indeed necessary – at least in the current situation, especially outside of the United States. The development of Bitcoin is likely being carried out by central banks of some countries, which are leveraging this power to drive the world towards a digital future.

The fourth point is that President Donald Trump has been trying to prevent the Federal Reserve from keeping interest rates near zero and lowering them further. However, he did not take such action, but said that the Federal Reserve may soon make changes. He said, “I think once inflation reaches 2% or higher, the central bank can start tightening policies.” The last reason is that although Bitcoin is still in the early stages of development, more and more people hope that it can become a mainstream payment tool. As Cointelegraph reported, listed companies like Square also seem to be actively looking for alternatives. Bitcoin and other cryptocurrencies are often used to avoid the problem of the depreciation of the US dollar. For example, in the past few years, the price of Ethereum has almost doubled. According to data from CoinDesk, as of the end of 2020, the total market value of Bitcoin is about $3.37 trillion, second only to gold and silver. Bitcoin has also received investment from BlackRock, the world’s largest corporate group.

The original source is from bitcoinist, compiled by the BluemountainLabs team, and the English copyright belongs to the original author. Please contact the editor for Chinese reposting.

Why Bitcoin is Not Illegal

Editor’s note: This article is from BlockBeats (ID: blockbeats) and the author is 0x29. Authorized reprint from Odaily Planet Daily.

Shortly after the theft of Bitcoin occurred, some media outlets pointed out: “Because hackers used the transaction volume on the Bitcoin network for attacks to obtain a large amount of funds,” “Although we do use some cryptocurrencies for money laundering activities.” But in fact, from a legal perspective, such illegal activities are not illegal because they have no value. “But where did you transfer your Bitcoin to? Why is it illegal?” These views are put forward based on the true needs of Bitcoin enthusiasts – they hope to make themselves a true decentralized organization or individual through this method. “If Bitcoin carries risks as an investment asset, “how can you determine if your Bitcoin constitutes illegal behavior?”

Actually, the current legislation does not define Bitcoin as a virtual commodity or financial product. In fact, the 2017 U.S. securities law stipulates that investors must pay capital gains tax when purchasing digital assets; on January 4, 2018, the “Bank Secrecy Act” prohibited enterprises and individual businesses from participating in digital market sales; at the end of 2019, the “Anti-Money Laundering Regulations” (applicable to companies engaged in non-contact mobile payment services) required all regulated entities to provide relevant services. According to the regulations of the U.S. securities law, when it comes to virtual currency transactions, one must obtain registration as a broker-dealer, a business license, and other exemptions; in addition, if the holder fails to list on the exchange, their buying and selling activities will also be legally restricted. For the general public, it is advisable not to trust the information provided by a certain platform in any case. Of course, if you have learned about this website, you can always say that the website can accept registered user applications for access and can query basic information such as account balance and other relevant matters. Therefore, in our country, Bitcoin is not property, nor is it a form of crime, but rather a social experiment, not a revolution. Bitcoin itself is not a criminal tool, although many people think Bitcoin is a scam, but in practice, few people realize that it is a complex thing – for example, people find that they need to spend money to buy something when they discover someone else’s transfer, and then exchange Bitcoin for cash, etc. There are even people who doubt whether this money is really coming. Obviously not. After all, in many cases, in order to facilitate everyone’s understanding of this concept, many people express their opinions on the forum. In addition, many articles mention that the exploration and research of blockchain technology by the country show that blockchain technology can not only solve the current anonymity issues but also meet the data security guarantee in the Internet era, thereby promoting the modernization of social governance and improving the efficiency of the entire society.