Bitcoin is illegal in my country where I live.
It's not that Bitcoin is illegal in my country so I can't invest.
What is it really? Is bitcoin legal or illegal in your country?
Because of bitcoin's decentralized nature, it has become
almost impossible for the government to identify who are or who aren't using bitcoin. But I said almost because they can still somehow trace back the owner of an address and follow the strings.
Especially if you are using a centralized exchange, the chances of the government finding you has heightened. But if bitcoin is illegal in your country then it is most likely that centralized exchanges are banned as well. On the other hand, some people can still use bitcoin because they are very careful and discrete when making transactions.
in my country bitcoin is clearly prohibited as a means of payment, the rest is not a problem, trading or investing is permitted by the government. However, when the time comes to exchange it for fiat, the government can track it, because it is mandatory for KYC. On the other hand, in this way the government can collect taxes and generate income for the state