Bitcoin in the crosshairs due to bank and government intervention

    Bitcoin, launched in 2009, has come a long way to rival the U.S. dollar and other major fiat currencies. Now, banks and financial institutions that are responsible for people's wealth also feel threatened by it, as they find themselves defenseless in the face of the new digital currency. Bitcoin is completely independent and anonymous, even central banks and other government agencies have nothing to do with it. And so far, no single entity can control Bitcoin.

     The decentralized nature coupled with high security, speed and low transaction costs all contribute to Bitcoin's ability to replace currencies in the global economy. Bitcoin has become a symbol of financial liberalization and independence, with individuals, rather than banks or governments, being the trusted third parties to conduct Bitcoin transactions. Bitcoin has created a world of concepts - a currency that actually abolishes the entire foreign exchange structure. It is only a matter of time before the Bitcoin network reaches mainstream status with a large enough demand for users to make transactions possible without fiat currencies or exchanges.

     If that day comes, the government will completely lose control of the economy and taxation, banks will be abolished, and traditional payment processors that rely on huge transaction fees for profit will be forced to stop their activities, because the transaction fees of the Bitcoin network are completely negligible compared to before. Simply put, the rise of Bitcoin will threaten the selfish and powerful real enterprises and weaken their influence. It hopes to return the benefits to individuals in this way.

     Neither the government nor the banks want this to happen and have taken any measures that can prevent the popularity of Bitcoin. Therefore, whenever they get the chance, they always jump in to interfere with the operation of digital currency transactions. For example, these are typical examples: Australian banks recently cracked down on the activities of the national Bitcoin exchange. They closed the exchange's account without providing any explanation; the United States has strict regulations for Bitcoin companies and introduced various tax systems; Russia can increase the prison sentence by up to four years for the activity of exchanging Bitcoin for rubles; the European Union has also imposed strict regulations on alternative payment methods such as Bitcoin without any evidence of its use by terrorists.

Most of these decisions have been made in such a hasty manner, and institutions and governments have often ignored due process. As long as these governments, banks and financial institutions believe that Bitcoin threatens their existing way of operating, digital currencies will continue to be in their target of attack.