There are a couple of ways in which government intervention can influence the price of cryptocurrencies. First, governments can regulate the price of assets, such as fiat currencies, through buying and selling actions in international markets. Second, they can tamp down excessive enthusiasm for an asset class by saddling it with regulations that increase the cost of doing business. An example of this approach is bitcoin regulation being considered across various states in the United States. Most states require surety bonds or an equivalent amount in fiat currency for cryptocurrency exchanges within their jurisdictions. Finally, governments can also make the asset scarce by imposing controls on it. An example of this is the case of gold, which has import restrictions in several countries.

All three types of actions have the potential to fail in the case of bitcoin and cryptocurrencies. This is because cryptocurrencies are extra-national and have decentralized ledgers that are spread across multiple countries. Their regulation will require a well-coordinated effort across several economies. This might be a difficult task, given varying levels of interest in cryptocurrencies and their impact on national economies in different places.