This is a guest post submitted on CryptoTapas.
You might have heard that Bitcoin is a completely decentralized cryptocurrency. It allows investors to transfer money to any corner of the world without even requiring any middle-man or specific regulatory body.
Many new-age investors in the cryptocurrency world are worried if Bitcoin will be soon targeted by government and the regulations may ruin its value in the market. Well, you should not believe such rumors. The fact is that no regulation or control can stop bitcoin from growing now.
If we look at the stats, government agencies and regulatory bodies show some lack in understanding the technical concepts behind bitcoin. Its complex structure has made it difficult for them to control the movements. With its decentralized investment strategies, it is almost impossible for governments to regulate the flow. Investors can expect huge rise in the Bitcoin market value even if governments take some actions for regulation.
Top 10 reasons why regulations will not kill bitcoin:
Below we have highlighted a few reasons for why government regulations cannot kill the potential of Bitcoin in the market:
#1. Lower risks of frauds:
The biggest benefit of investing in cryptocurrencies is that there are lesser risks of online frauds for Bitcoin transactions. The buyers and sellers need not share their sensitive financial credentials or other personal details to complete the transactions. The anonymity on the network makes it a suitable choice for long term investments. Whether government regulate the transactions or not, hackers cannot track your digital currencies due to highly advanced network protocols.
#2. Free from the risk of inflation:
Bitcoin industry runs with zero risk of inflation. In general, government issues some money every year, and it decreases the purchasing efficiencies of people; this scenario leads to inflation. When we talk about bitcoin network, it is designed with a finite number of coins that are limited to 21 million. There is no way to issue excess of currency, and hence, market value cannot be degraded like traditional currencies. Government has no way to interfere in its market potential.
#3. Lesser transaction fee:
If we compare to the credit and debit card transactions, the transaction fee for bitcoin-based payments is considerably low. Even the big, as well as small scale ventures these days, are stepping towards Bitcoin transactions to ease their business and to attract more customers. Even if government pose some regulations; the decentralized system will still maintain low fee for transactions and people will find it easier to buy and sell.
#4. Easy international transportation:
It is usually difficult to trade using traditional currencies in different countries. People need to exchange money on counters while moving to other nations. But this is not the case with Bitcoins. This digital currency maintains the same value all over the world, and you can carry an unlimited amount overseas without any restriction. There is no need to look for currency conversions, and it doesn’t include any bank involvement. Everything happens online, and government cannot interfere in its international transportations.
#5. Free from third party involvement:
The government can plan to create regulations on Bitcoin industry, but in actual they cannot seize the transactions in any case. Note that, all transactions in the cryptocurrency world happen via peer to peer networks and there is no direct involvement of any third-party agency or authority. No one can pose tax on your coins, and they cannot freeze as well. The network will keep on running irrespective of government decisions.
#6. Ability to make instant payments:
It is possible to lock the credit card or debit card transactions even for weeks or more days. But such payment delays are not possible with Bitcoin-based transactions. This digital network ensures quick transfers online without requiring conventional settlements. The increased convenience make bitcoin as preferred more of transaction online.
#7. Safe and reliable ecosystem:
In technical terms, all the bitcoin transactions from wallets are signed via authentic digital signatures. They cannot be controlled by any external movement or regulation. With such a reliable ecosystem, it ensures safe storage options and easy exchange between cryptocurrencies. You will definitely find it worth for long term investments. Hence, it is definitely good to plan your investments in Bitcoin industry.
#8. Growth opportunities for small business ventures:
Cryptocurrency has the ability to provide new growth opportunities to business ventures. Earlier, it was difficult for new businesses to sell their products and services on international stage due to cross border transaction issues. But Bitcoin has its global impact, and it relieves the pressure of heavy fee while making all payments faster, cheaper and easier as well. It can automatically help in boosting economy of every country and hence, ensure more growth opportunities for the governments as well. Hence, even government regulations cannot pose any negative impact on market value of bitcoin.
#9. Smart contracts
Bitcoin industry is influenced by the idea of smart contracts where the buying and selling parties can set up programmable and self-executing agreements while avoiding any interference from third parties. This technology eliminates the risk of disturbance in the market value of concerned digital currency. Bitcoin can rise high by following smart contracts between parties.
#10. Bitcoin mining
Unlike traditional currency, the Government cannot control the generation and circulation of bitcoins. The mining algorithms follow a completely digital platform and the transaction happen within the secure network without being influenced by any outside factor. The bitcoin mining concept has the real potential to prove it the big business opportunity for coming years. The government cannot interfere in its online momentum.
There is no doubt to say that Bitcoin has proven its edge as an emerging technology in the market. It is believed to have huge potential to change the status of the business industry while providing new investment opportunities. The fact is that even if government make efforts to regulate Bitcoin transactions, this cryptocurrency will keep on rising and investors can ensure great profits for the long run.
Thank you for reading this article.
Get weekly IMPORTANT updates right into your mailbox. No more than one email per week.
Please let us know if we have missed any important news?
Save data, time and money by using BRAVE Browser.
Binance now allows Lending with interest rates of up to 15%. Open your Binance account.
Want to guest post?
You can submit guest posts to Cryptotapas to get your articles published here. Click here to Guest Post.
All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by them.
Everything in this article is an opinion, not an advice of any kind. This material has been prepared for general informational purposes only and it is not intended to be relied upon as accounting, tax, investment, legal or other professional advice. Please consult with a professional for specific advice.
This is a guest post. We do not endorse or guarantee the accuracy of the information and claims made.