Hi all!
People in this forum and in many other discussions are fast to talk about the 'need for regulations'.
Most of the times it is in connection to mass adoption and for price speculation ideas.
Is regulations really only for Bitcoin to increase in price? What about the whole idea about a P2P currency without governments and banks being involved as a middle man .... Regulations issued by authorities, is that not only for the old system to take control of this emerging p2p currency market? I dont know but why should Bitcoin be regulated by governments and other authorities according to you?
No. Not all regulation is good, first of all. You could have regulation that essentially makes it extremely difficult for people to use bitcoin or use it to transact, which obviously hinders the growth of the network in certain countries.
Secondly, regulation doesn't mean that banks or governments become middlemen. The regulations are placed on third parties who use bitcoin as a means of exchange, not on the network itself. Since it is decentralized there is really no way of actually doing this, even if governments tried.
Positive regulation in a specific context that encourages businesses to adopt bitcoin, or to give out licenses to businesses could be beneficial, and as a result, lead to the value of BTC increasing in the short term as the markets generally over-respond. However, short term rise in value isn't the ultimate objective whatsoever.