Bitcoin Regulation Fears Tank Markets – World Governments are in for a Big Surprise.
Cryptocoin markets are plummeting again. Bitcoin regulation fears tank markets every time. Here we go again. This time it’s South Korea considering a 24.2% tax on profits generated by South Korean exchanges as Indonesia bans cryptocoin transactions altogether. The government of South Korea is either trying to eliminate the use of cryptocoin through these punitive taxes or attempting to profit by them. Either way, the outcome will not go the way they want. I’ll explain why shortly.
Indonesia is altogether moronic for banning cryptocoin transactions entirely. Most Bitcoin transactions originate from tourists and most happen in Bali, a travel destination. The long story short; tourism income goes down which will impact the entire Indonesian economy from shops to restaurants to the government itself through a drop in sales – and tax revenue.
Regardless, Bitcoin regulation fears tank markets will soon be a thing of the past. With decentralized cryptocoin exchanges on the rise it’s just a matter of time before all the government cryptocoin regulations in the world won’t make a lick of difference. Couple this with the upcoming Bitcoin lightning network and you have a global digital currency with near-instant transactions in a totally decentralized environment.
The end result will be any given government will be left high and dry with no way to regulate Bitcoin or any other cryptocoin and no way to generate any meaningful tax revenue on day-to-day transactions. The day will soon come when headlines like “Bitcoin Regulation Fears Tank Markets” will be relegated to the history books as Bitcoin and other cryptocoins with real-world usefulness will drive what we buy, how we pay our bills including buying real estate and cars even more than now. The single biggest benefit as I see it is the elimination of market uncertainty that led to the cryptocoin bloodbath last week and the market tanking we’ve seen so far today.