I just read a post about some guy that had his entire bankroll confiscated by the European Commission of $700,000. They just took it without any warning or consent. Now, that guy would be worth millions if this didnt happen.
Why do governments think they will control Bitcoin? BTC is a decentralized system immune to governments. Are they blind and can't see this or are they simply ignorant to accept the truth?
Bitcoin can be tracked, but there will likely be a hugely increased black market economy similar to the cash economy right now.
Any completely anonymous coin will likely be banned for registered companies.
Major purchases such as property and cars still need ownership records.
Companies still need to provide tax records for salaries.
People still want security from fraud.
Even with private / freelance sales.
Everyday crypto use will only happen when transfer fees fall to a few cents, and there is more stability.
Right now, would anyone do a $1000 job for bitcoin ?
Knowing the price could drop 20% in a day ?
That's just gambling.
Some folks might accept crypto, but would probably want it converted into regular fiat currency immediately.
Prices aren't going to keep going up forever, and there will be a LOT of caution after the first big crash, and run on the exchanges.
So I think the governments are still going to get their tax share.
I do think income taxes will fall to compensate for increased black economy, and sales taxes will increase.