I wonder if wallets will be illegal someday, as unlicensed financial centers. Maybe only government wallets will be legal. Then with the transparent block chain, and government wallets, that could be bad. CBDC with BTC.
They will say unregulated wallets are causing massive money laundering and financial fraud. (They love using words like that).
I think it's just too much in people's diamond hands for that to ever happen. Best reason to self-custody.
Oh Frank. This will most certainly happen as we capture more market cap. Banking and financial Institutions will have their licensed wallets.
First rule of war is to destroy roads and control the flow of supply. BTC in cold storage will be very valuable supply but can only be used in a circular economy in cyberspace. Changing it back to fiat or purchasing assets in the real world will require you to do so via banks through their licensed wallets.
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If the government made bitcoin wallets illegal and you could only use the governments wallet, and with the transparent block chain, they will know every transaction you make.
Just like everyone still pays taxes instead of going to prison. People will break and give up.
If the government takes over bitcoin and forks it however they wish, it would be a CBDC.
The government plays to win. I wonder what the future holds.
Most Bitcoiners dismiss pragmatic theories but as an asset grows in fiat value terms, the more a structure of control in the real world is established around it.
Right now, 500B market cap is no threat to the system. This will change.
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Imo if the course of events continues the same way as for the past 3 years , I’m sure they will eventually de-legalise private (with undisclosed owners) wallets. I won’t be surprised if they would want everyone who keeps their assets off the CEXs to report wallets and will keep registers of those with the owners all doxed obv. I wouldn’t be surprised if these eventually will lead to the p2p black market that already exists to expand even more , payments for services/products will also be restricted only for „registered” wallets. Same as it was with FX market in Soviet Union. It was almost in 100% illegal to own foreign currency (with few exceptions) and you were able to either spent it in the gov owned stores or exchange in the gov owned banks as per their rates but first you were required to explain how you got it in the first place. Black p2p market was thriving even though engagement in this type of activity was a serious criminal offence. Sorry for dark visions but nothing indicates that we will suddenly go in the liberalisation direction, at least in the majority of countries (with few exceptions). It’s just happening so slowly that we don’t feel how we are being slowly boiled to death as proverbial frogs. And btw what is the point in even developing CBDCs from gov point of view if there is still a parallel market that is not fully controlled by them?
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