Bitcoin regulation sparks controversy

Many states (in the United States) have implemented or are considering implementing regulations for Bitcoin, and some of these controversial measures may limit the use of Bitcoin by community members. There are many discussions in the Bitcoin community. One of the most prominent is the issue of Bitcoin block size, and another important topic is Bitcoin regulation. Some companies and institutions believe that the Bitcoin field should be regulated more, while the opposite camp believes that doing so goes against the original purpose of Bitcoin. The debate on Bitcoin regulation is always heated, and one state in the United States has decided to introduce legislation for digital currency. For the founders of Bitcoin, he (they) created Bitcoin as a peer-to-peer trading method, and his (their) purpose was to prevent banks, governments, and other third-party institutions from interfering with personal financial freedom. Even Bitcoin was launched at a time when the US banking system was in the midst of an economic slowdown and could only barely survive without government rescue. Introducing regulation would require Bitcoin companies to collect user information, track transactions, limit accounts, and report to the government like traditional banking institutions, which would negate the advantages of digital currency over legal tender. However, those who call for regulation of Bitcoin and Bitcoin-based services argue that digital currency regulation will make it easier for them to manage trade without worrying about legal issues, which means that the public interest will take a back seat. Those who call for Bitcoin regulation are not part of the community, but companies that have been running for a long time and making a lot of money. Now, US state governments have begun to draft bills for digital currencies and digital currency-based applications. New York is the first to do so, and North Carolina is the latest to do so. On an international level, Japan recently granted Bitcoin legal tender status, equivalent to the yen, dollar, and pound. However, it is worth noting that New York’s move to introduce a “Bitcoin license” has shot itself in the foot, and many Bitcoin and blockchain-based companies have chosen to leave New York rather than apply for a costly “Bitcoin license”. These developments in Bitcoin law and regulation are constantly being monitored by Coin Center, a cryptocurrency intelligence group in Washington, DC. By analyzing the regulation of Bitcoin by various states, we can see that these states are trying to abuse the authority that should belong to the federal government to implement “AML” and “KYC” (anti-money laundering and know your customer) regulations. Additionally, there is a lack of uniformity in Bitcoin regulation across the United States, which makes it difficult for Bitcoin companies to operate across the country using the same license. There is no proper Bitcoin regulation at the moment, so we expect more and more states and countries to introduce their own laws in the coming months. However, it is worth being careful about the extent to which these laws attempt to restrict the activities of Bitcoin companies.