Bitcoin has also been hit by new regulations just come in to reporting any transaction over $10k to prevent money laundering. Although how they are going to invoke it I don't know since the whole of bitcoin is it's anonymity
I dont get how people didn't see this coming. There are three broad trends.
1- Increase desire for anonymity from users/consumers
2- Tax agencies from all over have been getting better at tracking money, including sharing info, which had been exceptionally rare till now.
3- Regulations regarding money laundering are becoming stricter.
1 directly (or indirectly if you prefer) collides with 2 and 3. And the people with decision power can play around with 2 and 3, but not with 1.
I have asked the following question to crypto 'experts' a plethora of times. I've yet to receive an answer that makes sense: John is a German national living in Germany. Has a a job, a wife, two kids, a house and a car. Assume no or little debt. Assume also he is a law-abiding citizen. He spends most of what he earns, saves a bit. In what way(s) could the use of crypto improve his life? Other than as a speculative investment.
Blockchain is not a valid answer (you don't need cryptos for that and similar techs have existed for a while).
Every single answer I've received was either a lie (you can transfer money instantly and at zero cost*) or a brutal display of ignorance on the subject
I've also talked with a few people who have money on this. They have no idea, whatsoever, what they are talking about.
I am not saying it is impossible for this to work. I am saying I've yet to meet someone who can explain it to me.
You tell me "Byron in Douala, works in IT and wants to transfer his money to his family in Lagos. Cryptos are the easiest and cheapest way". It is probably true. However, I do not know, but i am 99% sure, that that sort of transfer is, unless you follow a very specific bureaucratic filling and reporting, illegal. That reporting is not cheap either, which beats the purpose as it destroys the value that cryptos bring to the table. They get away with it now because, relative wise, amounts are not that big, so tax authorities let it slide. The minute it becomes 'big' government will track it and 'control' it (audit, tax it, whatever).
Speculatively it could work. I don't know. Long term sustainable business? I'd like to see some numbers.
Happy to be proven wrong in any of the above. But i need evidence and sound arguments. I've talked about this with enough people to see a trend. Never in my life I've seen so many people rally up behind an idea that no one could explain clearly in layman terms. It's like a cult.
And never, ever, accept the 'it's too complex' argument. Not here, not for this. Absolutely not.
*: you can do that with crypto, but a german citizen with a german bank account can do that without cryptos too, to pretty much anyone (no everyone, granted) he might need or want to transfer money to.